Injury Claims: Which Driver and Car Insurance Company Pays?
Whenever someone is injured in an auto accident, who becomes financially responsible for paying medical expenses? The answer is not always easy to come by, because car insurance laws differ from state to state. For instance, some states have a fault-based auto insurance system, which requires that medical bills and injury claims be paid according to who caused the accident, while others might have a no-fault system. If you ever face the misfortune of being injured in a car accident, it’s important for you to know how your personal injury claims are going to get paid, and contact your car insurance company immediately to report the accident.
Fault-Based vs. No-Fault
Fault-based (or tort liability) auto insurance systems require insurance companies to cover expenses according to how much fault their respective clients had in causing the accident. Because this system assigns responsibility, the party who is not at fault can sue the party who is for uncompensated financial damages and even for the pain and suffering inflicted.
Unfortunately, this can lead to all sorts of legal disputes and complications, which is why around 22 states have sought an alternative: a no-fault car insurance system. This makes it possible for any involved party to collect compensation from his or her own insurance company regardless of who was at fault. However, no-fault insurance means the innocent party cannot sue for emotional trauma or for the pain and suffering caused by the car accident.
What To Do If You’re Injured…
The first thing to do if you’re involved in a car accident is seek needed emergency medical treatment. Your health is top priority. At least initially, any medical treatment required as a result of a car accident will become your financial responsibility. Assuming the state in which you live has a fault-based car insurance system, legal fault will determine who pays your medical bills when your treatment is complete.
Once you have received medical care, and if you believe you are not at fault, call the other driver’s insurer to start the claims process as soon as possible. It is important to keep a clear record of every medical expense resulting from the accident. Once the auto insurance company completes its investigation and takes all of your expenses into account, you will receive a final reimbursement settlement.
As needed, continue with follow-up, non-emergency medical care. If you sue the at-fault party for pain and suffering, proper documentation of this treatment and expenses will help you obtain just compensation.
Again, the financial costs for medical treatment are your immediate responsibility. You may receive compensation from your auto insurance company if your policy includes medical payments or personal injury coverage. If you don’t have these options, your next choice is your health insurance.
If the accident were your fault, simply submit your bills to your health or auto insurance company, but if it were the other driver’s fault, you’ll need to discuss the final settlement with his or her auto insurance company. Bear in mind that some or all of your settlement may be owed to the lawyers, healthcare providers or insurers involved. Alternatively, if the at-fault driver does not have car insurance, contact your own auto insurer to activate your uninsured or underinsured motorist protection, and then discuss your settlement from there.
Affordable Car Insurance Quotes
If you want the peace of mind insurance can bring, comparison shop several companies in your area with MyCarInsuranceRates.com. All it takes is your ZIP code to start shopping and comparing car insurance rates online. You can browse affordable plans and policies, and get the best, free car insurance quotes on the right policy and options for you. Begin an auto insurance quote now and find cheap car insurance rates for you and your family.
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