Car accidents can turn lives upside down in seconds. Besides disabling your primary mode of transportation, a wreck may lead to life-altering personal injuries.
Should the person behind the wheel of the other vehicle only carry liability insurance, you might worry about how to pay for the resulting automobile fixes and medical expenses.
Know what liability insurance covers
Liability insurance pays for auto damage and bodily harm the policyholder causes. When the other driver is the cause of the incident, their liability insurance should cover your bills up to the policy’s limit. However, the odds are high that the payout will be insufficient if you need physical therapy or surgery.
Analyze your insurance policy
After the accident, find out what types of insurance coverage you have. You might own collision insurance, uninsured/underinsured motorist coverage or personal injury protection (PIP). Collision coverage can help repair your car, while uninsured/underinsured motorist coverage makes up the difference if the at-fault driver’s insurance cannot cover everything. PIP can help with medical bills, regardless of which driver is at fault.
Document everything
Keep detailed records of the accident scene, including photos and receipts for debts relating to the accident. Also, gather witness statements. This information will be important when you file a claim. It will be equally significant should you decide to sue the other driver.
File a claim
Notify your insurance company about the wreck as soon as possible. Double-check that everything you provide their representatives is accurate. The person you speak with will walk you through the entire claims process.
Consider what options there are for covering the gap
The at-fault driver’s liability insurance and your insurance may be inadequate. If so, you will need to investigate financial alternatives. Setting up a payment plan with your healthcare provider may make sense. In some instances, people use emergency savings or apply for a loan.
Finding out the driver responsible for your car accident only has liability insurance might initially cause panic. Fortunately, there are pathways to bridging the financial gap, so you may recover without worrying about heading toward bankruptcy.
