Whose Insurance Pays After a Car Accident?
Determining whose insurance pays after a car accident can be complicated. Generally, in a no-fault state like Pennsylvania, each party must first turn to their own insurance policy for coverage of medical bills and lost wages. However, if their policy does not cover the damages or the losses exceed the policy limits, they may be entitled to pursue a claim under the at-fault driver’s liability coverage.
However, it is more challenging to determine who pays and how much in crashes involving severe injuries, shared fault for the collision, or uninsured or underinsured drivers. Our skilled car accident lawyers at Cordisco and Saile LLC can help you navigate the insurance claim process, handle settlement negotiations, and advise you on filing a lawsuit.
Complete our online contact form to get started on your free case evaluation.
How Car Insurance Works in Pennsylvania
Pennsylvania is a no-fault state for car accidents. As in other no-fault states, a driver’s own insurance pays first for medical bills and lost wages after a crash, regardless of who caused the accident. However, unlike other states, Pennsylvania also offers drivers a choice of coverage types that affect when they can sue an at-fault driver and the damages they can seek.
Relying on your insurance first after a car accident doesn’t mean you cannot ever pursue damages against an at-fault driver. Their liability coverage pays for your property damage and economic damages, such as medical bills, exceeding your coverage. The type of insurance coverage you choose determines whether you can seek other damages, such as pain and suffering.
Choosing Limited Tort vs. Full Tort Coverage in Pennsylvania
Pennsylvania requires drivers to choose between limited tort and full tort car insurance coverage. That choice significantly impacts your legal options after a car accident.
Limited tort coverage generally only allows you to seek damages against an at-fault driver for economic losses. Unless you meet an exception, you cannot pursue non-economic damages, such as pain and suffering, if you have limited tort insurance. Exceptions that allow you to seek non-economic damages include crashes with an at-fault drunk driver or if you have sustained a serious injury, which Pennsylvania law defines as one resulting in “death, serious impairment of body function, or permanent serious disfigurement.”
If you have full tort coverage, you can sue an at-fault driver for all your economic and non-economic losses. You do not have to have a serious injury or meet other exceptions. Full tort insurance is more expensive than limited tort, but it allows you to pursue all your losses in the event of a crash that was someone else’s fault.
Filing a Car Accident Lawsuit in a No-Fault State
One purpose of a no-fault insurance system is to reduce litigation. However, no-fault states do allow lawsuits if an at-fault driver causes significant harm that exceeds the victims’ insurance coverage or if the crash’s outcome fits other legal criteria.
For example, you could collide with an at-fault driver and have economic damages, including $90,000 in medical bills and lost wages, and $10,000 in property damage. If you have minimum Pennsylvania car insurance coverage, your policy won’t cover all your bills, not to mention your non-economic losses. You can sue the other driver for the difference.
However, in Pennsylvania, the coverage you have purchased will affect the damages you can pursue. You can’t pursue non-economic damages unless you have full tort coverage or meet one of the limited-tort exceptions. Your injury severity, insurance coverage for both parties, and legal strategy all play a part in deciding how to pursue compensation.
An experienced car accident attorney can assist you by wading through sometimes complex insurance policies and identifying compensation sources. They can also analyze your case to see if you are eligible to file a lawsuit.
Claiming Through Your Uninsured and Underinsured Motorist Coverage
After collecting damages from your no-fault insurance, you normally turn to the at-fault party’s liability coverage. But in some cases, the other driver is uninsured or doesn’t carry enough to cover your damages. In such a case, you can turn to your uninsured or underinsured motorist coverage.
Pennsylvania requires insurance companies to offer uninsured and underinsured coverage, but drivers can opt out. While doing so may lower monthly premiums, it can also result in significant out-of-pocket expenses after a crash.
Uninsured motorist coverage protects you when an at-fault driver has no insurance or you are involved in a hit-and-run. Underinsured motorist coverage pays damages if the at-fault driver’s policy limits aren’t sufficient to cover your losses.
Your insurance company may push to settle for less than you deserve in an uninsured or underinsured motorist claim. A skilled car accident attorney can take over settlement negotiations and push for a fair resolution. They can also assist you in determining if filing a lawsuit is in your best interest after exhausting all of your insurance options.
"After an accident, not only are people in pain, but they're fearful. They don't know what to do next. At Cordisco and Saile, we know how to fight, we take cases to trial from beginning to end, and we never give up on our clients."
How a Pennsylvania Car Accident Lawyer Can Help
Having an attorney with significant experience in car accident cases can be worth it to avoid mistakes and pursue fair damages. They can assist you in navigating insurance claims and are especially helpful in cases with complications such as limited tort coverage, shared fault for the accident, or when your or the at-fault driver’s insurance won’t pay.
An accomplished attorney handles all the legal details, such as investigating, gathering evidence, negotiating with insurers, and calculating damages. They can also tell you when an insurance company isn’t acting in your best interest and advise whether a settlement is fair.
Don’t fight alone. Insurers know you mean business when you partner with our nationally recognized team of attorneys.
Talk to an Experienced Car Accident Attorney at Cordisco & Saile About Your Insurance Claim
Our knowledgeable Pennsylvania car crash attorneys understand the state’s complex laws and how they affect whose insurance pays after a car accident. We’ve been practicing personal injury law for over 30 years and have recovered millions for our clients.
You can’t count on your own or another party’s insurance company to treat you fairly. Let us level the playing field and protect your rights at every step of pursuing fair compensation for your damages.
You don’t have to worry that your finances will prevent you from getting top-rated legal representation. We pay the costs associated with your claim, and you only pay us if we win.
Call our respected legal team at 215-642-2335 or complete our contact form for a free consultation.
