If you are hurt in an accident caused by someone else, their insurance coverage may pay your losses. Will the policy's restrictions, on the other hand, influence the amount you receive? What if your losses exceeded the policy's limits? Continue reading to learn how policy limits influence personal injury claims, and then contact The Law Offices of Larry H. Parker for a free legal consultation at 800-333-0000 if you have any questions.
Policy limits exist to limit the amount of money you may recover, but there are some exceptions
In general, you will only be able to recover up to the limit of your policy. There are, however, exceptions. Consider the following scenario: In a vehicle accident, someone was hurt. Despite the fact that the policy's coverage was restricted to $50,000, the insurer paid her $650,000. How? Let's take a closer look.
This case included medical bills that exceeded the policy's limits
A woman was involved in a serious vehicle accident, and the defendant was driving while inebriated. The defendant was driving her parent's automobile, which was insured up to $50,000. The injured person fractured his leg and incurred medical costs totaling more than $50,000.
The insurance company promised to pay up to $50,000 with one condition: the victim had to release not only the girl who had struck her, but also the parents of the girl who had hit them because they were mentioned on the policy.
Insurance companies, unfortunately, employ this approach much too frequently. In this case, the wounded party consented to release the defendant in exchange for a $50,000 settlement, but not her parents. This worked in the victim's advantage, as she went to court and was awarded a $585,000 judgment. Furthermore, the insurance company was fined an extra $65,000 for failing to offer a fair settlement.
There are other cases where policy limits have been obsoleted
There are alternative possibilities if an insurance policy's coverage limitations do not cover your injury. One of the most common options is to establish if more than one party is to blame. For example, if you were in a vehicle accident and one party was determined to be 75 percent at blame because they ran a red light, but another party was found to be 25 percent at fault because they were speeding, you might possibly file claims against both insurance companies.
Allow us to assist you in determining the best course of action
The basic conclusion is that while insurance restrictions may have an impact on your personal injury claim, this is not always the case. Contact The Law Offices of Larry H. Parker at 800-333-0000 for a free legal consultation to learn more about your choices and how you may obtain the resolution you deserve.