What Happens When a Car Accident Claim Exceeds Insurance Limits?

If a car accident claim exceeds insurance limits in North Carolina, the insurance company may not fully cover the losses of the injured party. In this situation, you may need to pursue other avenues to secure fair compensation for your losses. 

For example, you may need to file a personal injury lawsuit against the at-fault driver if your claim goes past the limits of the insurance policy. A Raleigh car accident lawyer can assist with filing a lawsuit or handling an insurance claim after a crash. 

What Happens When Your Car Accident Claim Exceeds Insurance Limits?

The insurance company may refuse to cover all of your losses if your car crash claim exceeds policy limits. Insurance companies only have a legal obligation to pay out to the limits of the policy purchased by the at-fault driver; the company does not have to cover losses that go beyond these limits. 

What Are Insurance Policy Limits? 

Insurance policy limits refer to the set amount of money an insurance company has to pay out in the event of a crash. 

These limits can vary significantly because drivers get a chance to choose how much insurance they want to carry, as long as they meet the standards for state minimum coverage. 

What Are Insurance Minimums in North Carolina?

Drivers can legally operate a vehicle in North Carolina as long as they meet minimum insurance requirements. These insurance requirements only require drivers to carry:

• $30,000 for bodily injury for one person
• $60,000 for bodily injury for two or more people
• $25,000 for property damage 

These limits often fail to cover the full extent of the losses caused by a crash, leaving car accident victims without fair compensation for their economic and non-economic damages. 

What Compensation Can You Get Through Insurance?

You may have a chance to secure compensation for all the losses you face after an accident through an insurance claim. For example, your attorney may help you get funds to pay for your:

• Current and long-term medical expenses
• Lost wages
• Property damage
• Pain and emotional suffering

However, the insurance company will only cover these expenses up to the policy limit. If you sustain catastrophic injuries or have substantial losses for other reasons, your lawyer may need to explore other options to bring you fair compensation. 

Note that you can only secure compensation if your lawyer can prove that someone else caused the collision. Your lawyer may need to establish that another motorist struck you due to drunk driving, distracted driving, aggressive driving, or other negligent behavior. 

How Do You Get Compensation Through an Insurance Claim?

You need to file a claim with the insurance company to secure compensation. An attorney can handle this process. Typically, your lawyer will need to include proof of your losses and evidence that shows that someone else caused your crash to resolve an insurance claim successfully. 

After filing a claim, your lawyer will enter a period of negotiations with the insurance company. During the negotiation process, your attorney will review any settlement offers made by the company and compare them against your losses. 

In many cases, lawyers can resolve car crash claims with a fair settlement. However, if the other driver has minimal insurance, you may discover that your losses exceed their policy limits. 

You Have Options if Your Car Accident Claim Exceeds Insurance Limits

If your car accident losses exceed the at-fault party’s insurance coverage, you may explore several options to secure fair compensation for your losses. Depending on your situation, a Raleigh personal injury lawyer may focus on:

Filing a Lawsuit Against the Liable Party

Your attorney may help you file a personal injury lawsuit against the party responsible for your car crash if they do not have enough insurance to cover your losses. Your attorney can present your case before a judge and jury, potentially securing compensation from the liable party’s personal assets. 

Seeking Compensation Through Your Insurance

You may have a chance to seek some level of compensation through your insurance policies after a crash caused by another motorist. Your uninsured/underinsured motorist coverage may provide this compensation. 

An attorney can provide more information about these options, what happens when a car accident claim exceeds insurance limits, and Raleigh insurance claims. 

Talk to Us About Insurance Limits After a Car Accident

What happens when a car accident claim exceeds insurance limits? In this situation, you may need to explore other options to get money for your losses, as the insurance company will refuse to pay more than the policy limits. 

Our team at the Whitley Law Firm can help you navigate the legal system after a crash. We have over 120 years of experience that we can apply to your claim, and we always put our clients first. 

You can find out more by contacting us for help immediately after a crash.