What to Expect When Hit By An Underinsured Driver?

Sun, May 26, 2013

Financial Advice



If you have found yourself in an accident with an underinsured motorist, you may have a few extra steps to take in order to collect.  Underinsured basically means the motorist has liability insurance required by the state.  However if the accident was severe and you suffered any medical bills, the motorist’s policy limits may cap out at a far lower then your medical costs.  Below I’ll be discussing what steps you’ll need to take in order to get financial compensation after being hit by an underinsured driver.

Document the Accident and All Medical Bills

Upon the unfortunate accident, if you’re physically capable, it’s a good idea to take pictures of all automobile damage and personal injuries.  If you don’t have a camera in your car, using your cell phone to take pictures will ensure you capture critical evidence which will be used later when settling your case.  As a researcher for Bob Knows Phones, a cell phone repair company, I’ve run into many situations where clients used their mobile phones to gather evidence.  Even when the phone was slightly damaged, taking pictures was still possible and images could be recovered from the phone’s internal SD card.

All medical documentation and pictures should be collected and presented to the motorist insurance company.  Depending on the policy limits, they will pay up to the cap on the driver’s policy. This is usually around $15,000.  If your medical and automobile costs exceed the cap, don’t worry, you’re not out of luck.

What Happens After The Settlement?

Once the other driver’s insurance company issues their settlement, it’s time to gather all bills not paid by the initial settlement. Contact your own insurance company to recover the remaining balance. They will require proof that the other drivers insurance was not sufficient enough to cover all of your financial costs.  Provide documentation of the other driver’s insurance policy that shows the policy limits along with the settlement letter.

You should receive a settlement minus the initial amount you received from the drivers insurance.  Most insurance policies have a $50,000 cap. Let’s say your settlement was $15,000 but your medical bills were $29,000 you should receive a check for an additional $14,000.

An accident with an underinsured driver doesn’t have to financially ruin you. With proper documentation, sufficient evidence and a bit of patience you should be able to get the compensation you deserve. A good rule of thumb is to discuss with your own insurance agent the procedures they use for cases like this.

Author Bio – Sarah Shade is a team member of a cell phone and iPad Repair company called Bob Knows Phones. Sarah researches legal issues, financial issues, new technologies and current trends. She brings valuable information to mobile device users by finding accurate and interesting answers to all the important questions.

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