According to statistics from the United States Centers for Disease Control and Prevention, more than 32,000 individuals are victims of fatal car accidents every year in the United States, with approximately two million people suffering from some type of injury received in a car accident. The best way to get monetary compensation following a car accident depends on a variety of factors, including whether you live in a jurisdiction that follows a fault-based system or a no-fault-based recovery system.
If you live in a fault-based jurisdiction, for example, and someone else is at fault for your accident, you will likely need to file a claim or lawsuit against the at-fault individual and pursue monetary compensation that way.
In some instances, the at-fault driver’s insurance coverage may not be sufficient to compensate you for your injuries and damages. Alternatively, the at-fault driver may not have any insurance coverage at all. In these types of cases, you may file a claim for uninsured or underinsured motorist benefits with your own insurance company. An experienced car accident attorney in your jurisdiction can review all of your legal options and help you determine the best way to maximize your compensation.
Recovering Compensation in No-Fault Jurisdictions
A minority of jurisdictions in the United States employ a no-fault system of recovery in motor vehicle accident cases. In these jurisdictions, if you suffer an injury in a motor vehicle accident, you must file a claim with your own insurance company. This policy holds even if someone else negligently causes your accident. When you submit the claim to your insurance company, you can pursue compensation for medical bills and lost wages, among other types of damages.
Even in no-fault jurisdictions, however, there are usually cases when you may file a claim or lawsuit directly against the at-fault driver (and indirectly against the at-fault driver’s motor vehicle insurance company). You might involve the at-fault driver’s insurance company if you suffered a severe injury in your car accident that left you permanently disabled. It may also be possible to include the at-fault driver’s insurance company if the damages that you incurred in your accident exceeded the maximum limits of coverage under your own insurance policy.
In addition, some no-fault jurisdictions allow for car accident claims against the at-fault individual when the accident victim suffers a severe injury, such as a broken bone.
A knowledgeable car accident lawyer near you will know whether or not the accident took place in a no-fault jurisdiction. Your lawyer can help you file a claim with your insurance company for monetary compensation if it has. Moreover, if you sustained a serious or permanent injury in your accident (such as a traumatic brain injury, spinal cord injury, or paralysis injury), your lawyer may involve the at-fault driver’s insurance company and can file a claim or lawsuit against the at-fault driver on your behalf.
Recovering Monetary Compensation in Fault-Based Jurisdictions
When it comes to motor vehicle accidents, the majority of jurisdictions in the United States are fault-based. “Fault-based” means that if you suffer injuries in a motor accident that results from another driver’s negligence, you can file a claim or lawsuit directly against the at-fault individual (and indirectly against that person’s insurance company).
In these jurisdictions, some accident victims may have some form of personal injury protection (also known as PIP) coverage through their own insurance company. This coverage is usually in place to cover a portion of a person’s medical bills and lost wages that stem from an accident.
To pursue and recover monetary compensation in a fault-based jurisdiction, the accident victim first files a claim with the at-fault driver’s insurance company. In these jurisdictions, the accident victim typically has to prove both fault (liability) and damages. More specifically, the accident victim must demonstrate, by a preponderance of the evidence, that the at-fault driver breached the standard of care and operated their vehicle unreasonably under the circumstances at the time of the accident.
Violating a traffic law, for example, is usually sufficient to establish an at-fault driver’s breach of the standard of care. The accident victim must also show that this breach caused the accident that led to the accident victim’s injuries and damages.
In some severe accident cases, the at-fault driver’s insurance company may go ahead and admit fault for the accident, such as in a DUI crash. In these cases, the accident victim may only need to address the issues of causation and damages. Specifically, the accident victim must show that they suffered at least one physical injury in the accident and that the accident was the cause of the injury or injuries sustained.
If you live in a fault-based jurisdiction, an experienced car accident lawyer near you can assist you with satisfying the legal elements of your car accident claim and meeting the required burden of proof. They can also help you pursue the monetary compensation you deserve from the at-fault driver’s motor vehicle insurance company.
What if the At-Fault Driver Is Uninsured or Underinsured?
In many jurisdictions, it is against the law to operate a motor vehicle without having the necessary insurance coverage in place. However, in both fault-based and no-fault jurisdictions, some drivers still choose to operate their motor vehicles without insurance. Other drivers are underinsured, meaning that their insurance coverage limits are not sufficient to compensate an accident victim for the injuries they suffer in a motor vehicle collision.
In cases where an at-fault motor vehicle driver is uninsured or does not have sufficient coverage, an accident victim may turn to their own insurance company to pursue monetary compensation for the injuries sustained in an accident.
An experienced lawyer in your jurisdiction can review the policy limits of coverage available to you and determine if you might be eligible to file a claim for wholly uninsured or underinsured motorist benefits in your case.
Settling a Car Accident Case
One way that you can recover monetary compensation arising from a car accident is by accepting a settlement offer from the at-fault driver’s insurance company. The settlement process begins by filing a demand package with the insurance company. In most instances, a lawyer will not submit a demand package to the insurance company until the accident victim has completed all of (or at least the majority of) their medical treatment from the accident.
When a lawyer submits a demand package to the insurance company, that package will typically include:
- Demand letter – The letter that accompanies a demand package will make a monetary demand for settlement. In serious car accident cases, the accident victim’s initial demand may be the insurance company’s policy limits of coverage. If the attorney believes that the car accident case is not a policy-limits case, they may make a lower demand to settle. The purpose of the demand letter is to state the accident victim’s version of events, summarize the medical treatment that the accident victim received following the accident, and make a monetary demand for settlement. With your attorney’s help, you will formulate the monetary demand total.
- Medical records and bills – Along with the demand letter, your lawyer will supply the insurance company with copies of all of your medical records of treatment and resultant bills. The medical records will outline the specific treatment that you received following your accident, including medical procedures and physical therapy. Your attorney may use these records to establish a causal connection between your accident and the injuries that you sustained. Medical bills are necessary to establish the cost of your medical treatment and procedures.
- Photographs – If you have any photographs related to the car accident, you should send those photos to your attorney as soon as possible. Your attorney can then forward them to the insurance company. Photographs considered important in motor vehicle accident cases include pictures of your injuries, as well as property damage to your vehicle. Your lawyer may use these photos to convince an insurance company’s adjuster (or a jury) that you sustained severe injuries in your accident and that those injuries are compensable.
- Police reports – It is essential to include a police report in a settlement package, since your lawyer can use this document to establish how the motor vehicle accident occurred and who likely caused the accident. The police report may also indicate if the officer issued the at-fault driver a citation, as well as the specific details of that citation.
- Witness statements – Similarly, it is very important to include witness statements in a settlement demand package. Your lawyers can also use these statements to show how an accident occurred. These statements are invaluable if an insurance company is disputing the issue of fault (or liability) in your car accident case.
An experienced car accident attorney in your jurisdiction may submit a demand package to the insurance company on your behalf. They can then negotiate with the insurance company, in an attempt to obtain a favorable settlement offer for you.
In most cases, initial settlement offers from an insurance company are low and do not adequately compensate car accident victims for injuries sustained or for the emotional impacts of those injuries. Therefore, it may take several rounds of negotiations before the insurance company’s adjuster and your attorney come to a settlement amount to which both parties agree.
Before accepting any settlement offer, however, your lawyer must obtain your consent to settle. If you do decide to settle your case, you will sign a settlement release, and the case will end. You will not have to take your case to trial.
Litigating a Car Accident Claim
If you are in a fault-based jurisdiction and the settlement negotiations break down, your lawyer can file a lawsuit against the at-fault driver on your behalf. Sometimes just filing the lawsuit is enough to get the insurance company to take your case seriously and offer you additional money to settle. At other times, your lawyer will need to file a lawsuit and engage in litigation with the other side for you to receive the compensation you deserve.
The litigation process typically includes discovery (written questions and oral depositions) and a settlement conference, where both sides will appear before a neutral third party or judge and try to resolve the case. The litigation process does not always end with a jury trial, since car accident cases may settle at any time. If the case ultimately goes to trial, a jury will decide any open issues in the case.
More often than not, the open issue is the question of damages. When damages are in dispute at trial, the jury will resolve the question of what, if any, damages the accident victim is entitled to recover.
In some cases, the parties may decide to take their car accident case to mediation or arbitration, where a neutral third-party mediator attempts to facilitate a settlement in the case. An experienced car accident attorney in your jurisdiction will thoroughly explain all of the legal options that are available to you and help you decide on the best path for your case.
Types of Recoverable Damages in Car Accident Cases
Regardless of whether you settle or litigate your car accident case, there are several types of damages to which you may be entitled, depending upon the type of accident and the severity of the injuries.
Potentially compensable damages include:
- Payment of medical bills
- Payment of lost earnings
- Compensation for physical pain and suffering
- Compensation for emotional distress and mental anguish
- Compensation for loss of earning capacity
- Compensation for loss of enjoyment of life or loss of use of a body part
- Compensation for loss of family or spousal support due to the accident
The aftermath of a car accident can leave you in pain and dire financial straits, but you don’t have to do it alone. Secure the services of a local car accident attorney who will use their skills and experience to ensure you receive the compensation you deserve.
