Do Policy Limits Affect My Personal Injury Claim?
If you are injured in an accident and someone else was at fault then their insurance policy may cover your damages. However, will the limits of that insurance policy affect how much you receive? What if your damages were more than those policy limits? Keep reading to find out how policy limits affect personal injury cases and then reach out to Law Offices of Fernando D. Vargas at 909-982-0707 if you are in need of a free legal consultation.
Yes, Policy Limits Are There to Limit How Much You Can Recover – But There Are Exceptions
Generally speaking, it is true that you will only be able to recover to the policy limit. However, there are exceptions. Consider one example: A person was injured in a car accident. The policy coverage was limited to $50,000 yet she received $650,000 from the insurer. How? Let us take a look.
This Case Involved Medical Bills in Excess of the Limits of the Policy
The case in question involved a woman who was in a severe car accident and a defendant who was drunk driving. The defendant was driving her parent’s car that had a $50,000 insurance policy limit. The injured party suffered a broken leg and had medical bills of more than $50,000. The insurance company offered to pay their maximum of $50,000 with one catch: They wanted the victim to release the girl who hit her but they also wanted the victim to release the parents of the girl who hit them because they were named on the policy.
Unfortunately, this is a tactic used all too often by insurance companies. In this case, the injured party agreed to release the defendant for the $50,000 payout but did not agree to release her parents. This worked out favor of the victim as she went to court and received a $585,000 judgment. What is more, the insurance company was forced to pay an additional $65,000 for failure to provide a reasonable settlement.
There Are Other Instances of Policy Limits Being Superseded
If the policy limits of an insurance policy do not cover your injuries then there are other options. One main option is to determine if there was more than one party at fault. For example, if you were involved in a car accident and the accident was 75% the fault of one party because they ran a red light, but another party was found to be 25% at fault for speeding, then you could potentially make claims against both insurance companies.
Let Us Help You Find the Best Way Forward
The bottom line is that while policy limits can affect your personal injury claim this does not mean that they always will. The best way to find out what your actual options are and how you can get the funds you deserve is to contact Law Offices of Fernando D. Vargas at 909-982-0707 for a free legal consultation.