What Happens if Damages Exceed Policy Limits?
A car accident can be highly destructive, resulting in severe physical injuries, expensive medical costs, and extensive property damage. Serious motor vehicle accidents in Chicago often cause damages that exceed the limits available on the involved insurance policies. Knowing what to do in this situation can ensure that you are financially protected.
What Are Illinois’s Insurance Requirements?
Every motor vehicle owner in the State of Illinois is legally required to maintain certain amounts of automobile insurance coverage. The required amounts are as follows:
- $25,000 for bodily injury or death per person
- $50,000 for bodily injury or death per accident
- $20,000 for property damage per accident
- $25,000 per person and $50,000 per accident in uninsured motorist insurance
Operating a vehicle without insurance comes with a minimum fine of $500. The driver’s vehicle registration will also be suspended until proof of insurance can be shown.
Who Pays When Damages Exceed Insurance Policy Limits?
Illinois enforces a fault-based insurance system when it comes to determining who pays for motor vehicle accidents. Under this rule, the driver or party at fault for causing a crash is held liable, or financially responsible, for the victims’ damages.
If a driver causes a car accident in Chicago that inflicts damages above and beyond the amount available on the at-fault driver’s policy, the driver can still be held liable for the remaining costs. This means the driver has to pay out of pocket. The victim can file a personal injury lawsuit against the at-fault driver in pursuit of financial compensation in excess of the coverage available on the driver’s policy.
Another option is supplemental insurance from the victim’s own insurance policy. Types of coverage such as uninsured or underinsured motorist insurance, collision coverage, comprehensive insurance, and medical payment (MedPay) insurance, can help a victim’s costs by supplementing the coverage available from the at-fault party.
How to Pursue a Claim for Damages That Exceed Policy Limits
More than one option may be available to you if you suffer damages and losses that extend beyond the coverage available on the at-fault driver’s insurance policy. Start by pursuing supplemental coverage from your own car insurance company. Call your insurance provider to ask if you have underinsured motorist insurance or other types of coverage that can help you pay for your losses.
If this is still not enough, explore your other options by contacting an attorney. A lawyer in Chicago with experience in car accident law can help you protect yourself and secure the financial compensation you need with creative legal solutions.
An attorney will start by investigating your crash to identify the at-fault parties and look into the insurance available. An investigation will be able to determine if a party other than the driver shares fault, such as the manufacturer of a defective vehicle part. If so, this could give you another outlet for financial recovery.
If a lawsuit is necessary to secure the compensation you deserve, either against the at-fault driver or a third party, your lawyer can represent you in and out of the courtroom to make your case more efficient and effective. You can trust your attorney to always protect your best interests during the fight for maximum compensation. Meanwhile, you will have the ability to focus on healing from your painful injuries.