Understanding Whose Insurance Pays After a Car Wreck

Whose insurance pays after a crashTexas is a modified comparative fault state when it comes to car accidents, which means that whoever caused the accident is financially responsible for any resulting injuries and losses. However, this also means that if you are 51% or more at fault for the cause of the crash, you are ineligible to recover financially. If you’ve recently been in an accident, it’s important you understand how insurance works after a car wreck and how fault can impact those claims.

If You Were Not at Fault

If another driver crashed into you, his insurance policy may be sufficient to cover your injuries. You’ll file a claim with the other driver’s insurer and will receive the amount to cover your losses negotiated by your attorney. However, Texas insurance requirements may cause problems if the other driver only purchased the bare minimum. In Texas, every driver must carry at least:

  • $30,000 each person and $60,000 each incident for bodily injury
  • $25,000 for property damage

Texas also requires the following minimum coverages, but drivers may reject them in writing if they wish:

  • $2,500 for personal injury protection (PIP)
  • $30,000 for each person and $60,000 each incident for uninsured/underinsured motorist (UM) bodily injury coverage
  • $25,000 with a $250 deductible for UM property damage coverage

However, by waiving these requirements, the driver accepts full financial responsibility in place of the coverages.

If You Caused the Accident

When you contribute to 51% or more to the cause of a crash, your insurance will be used and exhausted, depending on the extent of the other driver’s injuries and damages. For this reason, it’s important you consider purchasing more than the minimum coverage. Without sufficient coverage for the other driver and yourself, you may also need to pay out of pocket or use your medical insurance.

Do You Need Trusted Legal Advice?

Whether or not you contributed to the cause of your crash, you should get into contact with an attorney after a car accident. At the Cain Law Firm, we dedicate time to each of our clients and make sure each understands his legal options for recovery. To get started on your case review, send us a message through our online contact form today.