WHY YOU AND YOUR FAMILY NEED UNINSURED AND UNDERINSURED COVERAGEMany of my clients' cases are impacted by whether or not they have uninsured and underinsured coverage on their auto policies. The peace of mind this coverage provides can be immense. By paying just a few more dollars a year, clients can obtain uninsured/underinsured coverage what can protect them on the roads.Unfortunately, many drivers in California maintain bare minimum auto insurance liability coverage of $15,000 per person and $30,000 per accident. The hard truth is that many auto collisions result in medical bills approaching $15,000, which means there is literally no money left for a person to be compensated for pain and suffering.For smaller cases where the medical bills are approximately $5000, a $15,000 insurance policy may still be inadequate to compensate for pain and suffering above and beyond medical bills. If a client does not maintain uninsured/underinsured coverage, there may be very little the firm can do to obtain adequate compensation for the injuries (unless the at-fault driver has substantial assets outside of insurance coverage).If you and your family purchase uninsured/underinsured coverage, the firm may be able to demonstrate that you are entitled to tap your auto coverage to make up for the lack of coverage held by the at-fault driver. Below is a classic example.You are rear-ended by a distracted driver while stopped at a red light. Your car is totaled. You are taken to the hospital to be treated for your injuries (often whiplash, neck strains, back injuries). Your medical bills after treatment (including all visits, physical therapy, chiropractic appointments) total $10,000.The firm learns that the at-fault driver has a minimum policy of $15,000. In this case, two outcomes are possible:1) The firm maximizes the at-fault driver's policy for the "policy limit" of $15,000, and that is the end of the case. After reimbursing the hospital and medical providers for your medical bills and paying the firm, you have limited settlement money in your pocket. This is the scenario with no uninsured/underinsured coverage.OR2) The firm settles with the insurance company for the at-fault driver for $15,000. Then, then firm negotiates with your auto insurer to make up the difference between the $15,000 we obtained already and your total damages. If you maintain a policy of at least $100,000, you have a much better chance of being fully compensated for your injuries.I know this a lot to digest - but it is critical information. Few things are more frustrating than being injured by another person who is unable to make you whole. If you have any questions about uninsured/underinsured coverage, please don't hesitate to contact Duncan Law Firm.
