When you are involved in an accident and the person at fault either has no insurance or does not have enough insurance to cover the injuries or damage, the legalities can get extremely complicated and confusing. One reason for the confusion is dealing with two different insurance companies, both of which may try to deny the claims.
When the driver at fault has no insurance, they are considered an uninsured motorist. The same is true if an accident is a hit-and-run as the authorities have no information on the other driver. In Pennsylvania and New Jersey, any vehicle owner is required to carry $15,000 per person and $30,000 per accident as well as $5,000 for property damage.
In Delaware, motor vehicle owners must have $15,000 per person and $30,000 per accident as well as $10,000 in property damage.
When a driver is underinsured, they do not have enough coverage to pay for damages to the car or injuries suffered by others involved in the accident. When this happens, the victim must file claims with their own insurance company.
It is possible to purchase underinsured motorist coverage but since it is not mandatory and does raise insurance premiums, many drivers choose not to purchase such coverage.
If you are involved in an accident and discover that the driver at fault has no insurance or does not have enough insurance to cover the accident, you must notify your insurance company immediately.
In some cases, the insurance company may require filing of an uninsured motorist claim within 30 days, so it is critical that you do not delay in filing the claim with your company. If you have underinsured or uninsured motorist coverage, your insurance company may pay your claim and try to collect the difference from the party who is at fault.
If you do not have such insurance, it may be necessary to file a claim in court.
If you or a loved one have been involved in an accident involving an underinsured or uninsured driver, contact Lundy Law today to learn what rights you may have. Lundy Law provides Pennsylvania, New Jersey and Delaware drivers with advice on personal injury matters so that they can receive the justice they deserve.