Last year in New Jersey, there were over 300,000 vehicle accidents throughout the state. Most drivers are covered, and an expert car accident lawyer can help provide for those involved.
However, what if the second driver has no insurance or is underinsured? Data available from the Insurance Information Institute shows that 12.6 percent drivers throughout the country do not have auto insurance. In most cases, the victim does not attempt to sue the other party as it is likely little to no money involved.
What Does UIM Insurance Cover?
As a high number of injuries result from auto accidents, most states require the purchase of some level of auto insurance. In addition, states can also provide underinsured or uninsured car coverage, or UIM Insurance, though it is usually rejected due to higher premium costs. The coverage will pay damages to the plaintiff if the person responsible has little to no insurance. These damages can include:
- Lost income
- Doctor’s bills
- Costs of car damage repair
- Pain/suffering costs
If a driver has UIM coverage, the plaintiff’s insurance company handles paying damages up to the limits of their plan. In addition, a lawsuit usually does not occur as the person that caused the accident does not have to be sued to prove cause for an UIM claim.
The Role of a Car Accident Lawyer in Uninsured Accidents
The first step if you are involved in a wreck with someone you believe to be uninsured is to inform your insurer of intent to file an uninsured claim. Depending on the provider you have, there are firm deadlines for notifying an insurer of intent to file, some as little as 30 days.
Before contacting an attorney, there are additional steps to note for uninsured driver cases:
- Notify your insurer immediately if the other person involved in the accident informs you they don’t have car insurance, refuses to provide insurance information, or if required insurance data cannot be provided.
- Uninsured or underinsured driver claims follow the same processes as typical auto accident claims, with the difference being the claim is against your insurance provider. If a settlement amount cannot be determined between you and the insurer, a lawsuit cannot be filed against them. These cases are handled by binding arbitration.
Peter N. Davis & Associates, LLC has been helping auto accident victims in New Jersey with claims since 1988. For more information on how our firm can help you with car accidents involving uninsured or underinsured drivers, call us at (877) 470-8948 or visit us online today.