Most states have laws requiring drivers to have a minimum level of liability insurance to cover damages or injuries they may cause in an accident. This is known as "minimum liability coverage."
Minimum liability coverage requirements vary by state, but typically include coverage for bodily injury and property damage. Some states have relatively low minimum coverage limits while others have higher limits. For example, in California, the minimum coverage requirement is $15,000 per person, $30,000 per accident for injury, and $5,000 per accident for property damage.
While most drivers do carry at least the minimum liability coverage required by their state, some drivers choose to purchase more coverage than the minimum requirement. They might want to protect themselves against financial loss in case of an accident with high damages, for example. In addition, drivers can also purchase additional coverage such as collision coverage, comprehensive coverage, and uninsured motorist coverage.
Also, some people may be unable to purchase car insurance due to lack of funds, or driving history, or lack of legal status.
Ultimately, the vast majority of drivers carry car insurance and the majority carry the minimum liability coverage required by the state. But, there are many different types of car insurance policies and coverage limits available, so it is best to consult with a insurance agent or compare the different options to find the right coverage for you.
How much extra does it cost to add more liabilty coverage to an auto policy?
The cost of adding additional liability coverage to an auto insurance policy will vary depending on a variety of factors, including the specific coverage limits you choose, the insurance company you're working with, and your location. However, generally speaking, increasing your liability coverage limits will typically result in a higher premium.
There are a few reasons why adding extra liability coverage to an auto policy can increase the cost of your premium. Firstly, the higher coverage limits will generally mean a greater potential payout for the insurance company, which will increase the risk for the company. Secondly, the higher coverage limits also means you are more protected which also contributes to the increase in premium.
The amount of the increase in premium will depend on the specific coverage limits you choose. For example, increasing your liability coverage from the minimum state requirement to $100,000 per person/$300,000 per accident for bodily injury, and $50,000 for property damage may cost 20-30% extra than the minimum coverage required by the state.
It's also worth noting that other factors such as your driving record, location, and type of vehicle you drive can also impact the cost of your premium.
In summary, increasing your liability coverage limits will likely result in a higher premium, but the exact cost will depend on the specific coverage limits you choose and the insurance company you're working with. It's always best to get quotes from different insurance companies to find the best deal for you.
What happens in an accident where the case value exceeds the minimum liability coverage?
In an accident where the case value exceeds the minimum liability coverage that the at-fault party has, the person who was not at-fault may be entitled to seek additional compensation for their damages.
If the value of the damages exceeds the at-fault party's liability coverage limits, the injured party may be able to seek additional compensation by filing a lawsuit against the at-fault party. This would be the process of suing them personally and proving that they have assets that can cover the costs.
In other cases, if the injured party has underinsured motorist coverage on their own insurance policy, they may be able to make a claim under that coverage to collect additional compensation for their damages.
However, it's important to note that in the event the case value exceeds the minimum liability coverage, it does not guarantee that the injured party will be fully compensated for their damages. The injured party is entitled to seek compensation from the at-fault party, but whether or not they can collect that full amount depends on the at-fault party's assets, and if they are in a position to pay.
It's also worth noting that carrying higher liability coverage limits can provide greater protection for yourself, should you be found at fault for an accident, as it can provide coverage in case the case value exceeds the minimum liability coverage.
In summary, if an accident where the case value exceeds the minimum liability coverage, the injured party can sue the at-fault party, however, the outcome is not guaranteed and will depend on the at-fault party's assets, and if they are in a position to pay. Additionally, it's worth to have higher liability coverage limits to have more protection.Regenerate response
Can you rephrase that so a young adult can understand?
Sure, let me try to explain it in a simpler way:
Imagine you're in a car accident and the person who caused the accident only has the minimum amount of car insurance required by the state. But the cost of fixing your car and paying for any medical bills is more than what the other driver's insurance will cover.
In that case, you can ask the person who caused the accident to pay for the extra costs, but if they don't have enough money or assets to cover it, you may not be able to get all of the money you need to pay for everything.
That's why it can be smart to get extra insurance coverage beyond the minimum required by the state, that way you will be better protected financially in case something like this happens.
In addition, if you have a insurance coverage called "Underinsured Motorist Coverage" this coverage will help you pay for the extra costs if the person who caused the accident doesn't have enough insurance.
In summary, if the cost of an accident is more than the insurance the person who caused it has, you might not be able to get all the money you need to pay for everything. So, having more insurance than what is required by the state, or Underinsured Motorist Coverage can protect you in case something like this happens.
Can I receive chiropractic care for a car accident, and have my attorney pay for it?
Yes, in most cases, you can receive chiropractic care for a car accident and have your attorney pay for it.
If you were injured in a car accident that was caused by another person, you may be entitled to compensation for your medical expenses, including chiropractic care. You can use the services of a chiropractor as part of your medical treatment and recovery, and can include the cost of that care in your personal injury claim.
If you have retained an attorney, they will typically handle the process of seeking compensation for your injuries and expenses related to the accident, including chiropractic care. Your attorney will work with the insurance company of the person who caused the accident, or if a lawsuit is necessary, will file and proceed with the lawsuit.
If your claim is successful, your attorney will usually arrange for the insurance company or the at-fault party to pay the chiropractor directly. You, on the other hand will be responsible for ensuring you follow the treatment plans, and providing any necessary medical documentation or test results.
It's worth noting that, if you have your own health insurance, they may cover some or all of the costs of chiropractic care, and in that case, the attorney can use the settlement to reimburse the health insurance company.
It's important to keep in mind that it's common to have a medical lien in place with the chiropractor in personal injury cases to ensure they will be reimbursed for their services and that the payment happens once your case is settled.