Understanding Insurance Policy Limits in a Bodily Injury Claim

Auto insurance varies from state to state. Some states, like New York, are no-fault states. This means that the insurance company will generally pay for the driver’s medical expenses and lost income/wages regardless of whether that person was at fault for the collision. Some states are fault states, in which the insurance company of the party considered primarily at fault will pay for the expenses and income of the other drivers and passengers. The part of your insurance policy that pays for injuries to others is called bodily injury coverage.

What Is Bodily Injury Coverage?

Bodily injury coverage is generally used to pay for pain and suffering. This is the pain and physical anguish you go through after a collision.

How Much Coverage Is Offered?

The minimum amount of bodily injury coverage a driver is supposed to have varies from state to state. In New York, the minimum amount of bodily injury coverage is $25,000.00. Although, drivers do have the option to purchase additional coverage, some drivers only get as much coverage as they are required to get. However, it is safe to assume that there are a lot of drivers out there with only $25,000.00 in bodily injury coverage.

What Happens To A Bodily Injury Claim When The Coverage Runs Out?

Generally, insurance companies will only pay out on claims up to the maximum amount of coverage the policy offers. There is typically no way to extend coverage or add to it once an accident has taken place.

What Happens Next?

Some states, like New York, have an auto insurance coverage option called personal injury protection (PIP). The PIP coverage is used to pay for the medical expenses and lost income of the owner of the policy.

Other Options

If PIP coverage runs out, the driver can choose to sue the other driver’s liability coverage in their auto insurance policy.

Suing The Driver

Suing an individual can sometimes be risky because even if you win, the other party might not have the financial resources to satisfy your claim. That is why the law requires bodily injury insurance.

Even if you win and the other driver has the financial means to pay you, it will be years before you see any money. Your attorney could spend a long time filing another lawsuit to get the court to pressure the other party to pay, but this is not always effective.

Our legal team does know how to get results and we are ready to help you get the maximum available compensation for your accident injuries. We invite you to contact one of our personal injury accident attorneys and let us be the legal team that helps you pursue all of the options that you have to try and get your medical bills paid. We can be reached 24/7 at (844) 444-4444.