What to Do If You’ve Been Hit By an Uninsured Driver in California
It is illegal to drive in California without motor vehicle insurance. Here’s what to do after being hit by an uninsured driver in California.
Despite insurance being required of drivers in California, the Insurance Research Council estimates that around 15% of California motorists are uninsured. Thus, it is important for drivers and motorists alike to understand steps to take following an accident involving an uninsured driver.
Uninsured Motorist Coverage
It is highly recommended that every California motorist purchase Uninsured Motorist Coverage as part of their insurance policy. California requires that all car insurance companies offer Uninsured Motorist Coverage to their policyholders. Though California law does not require each motorist to have Uninsured Motorist Coverage, it can be critical as liability coverage in the event that a policyholder gets into an accident with an uninsured driver (so long as the uninsured driver was at fault).
The Uninsured Motorist Coverage will pay for all economic and non-economic damages sustained from the accident. In essence, it acts as motor vehicle insurance for the uninsured, at-fault party. Typically, the payments for Uninsured Motorist Coverage pale in comparison to the expenses an individual may have to pay in the event that they are hit by an uninsured driver.
Negotiating a Settlement
Given that it is a policyholder’s own insurance company that is covering the liability, the settlement must be negotiated with the insurer. First, a policyholder needs to obtain a signature from the uninsured, at-fault party certifying that they do not have motor vehicle insurance. Policyholders should treat the negotiation process as if it were any other and hire an attorney because insurance companies will almost always try to pay the least amount possible.
If individuals wish to use their Uninsured Motorist Coverage, they should make an uninsured motorist claim right away with their insurance company. If the policyholder and their insurance company are unable to reach an agreement, they need to negotiate through a process called binding arbitration. In binding arbitration, the negotiating parties waive their right to a trial and appeal, and allow a neutral arbitrator to come to a decision regarding the settlement amount. Policyholders should hire experienced attorneys to ensure that their cases are argued as persuasively as possible during the arbitration hearing.
What If You Don’t Have Uninsured Motorist Coverage?
If an individual does not have Uninsured Motorist Coverage, they may still be able to obtain some compensatory damages from their insurer, namely collision insurance coverage and medical payments coverage.
Collision insurance covers damages to the vehicle itself and can help with repairing and replacing the vehicle. It is almost always required by lenders for cars that are leased, and is optional on most paid-off car insurance policies. Collision coverage usually has a deductible that varies based on the policy. Collision coverage also usually has a limit (the maximum amount the insurer will cover) which is based on the actual cash value of the vehicle. It is highly recommended that individuals purchase collision coverage, as they will receive compensation for certain vehicle-related damages regardless of whether or not the at-fault party is insured.
Medical Payments Coverage, or MedPay, is a type of car insurance that covers all medical bills for policyholders and their passengers in the event of a motor vehicle accident. MedPay covers damages for a wide variety of situations, such as being hit as a pedestrian or involved in a public transportation accident. Unlike some other types of car insurance, MedPay covers all reasonable medical bills regardless of whether or not the policyholder is at fault. MedPay payments go directly to the doctor or hospital, so policyholders do not have to pay out of pocket initially. There are no deductibles or co-pays, and it covers all medical bills and funeral expenses related to the accident (there are no limitations on the type of medical providers). Given that MedPay covers all passengers in the vehicle, it is highly recommended that even individuals who have quality health insurance purchase MedPay coverage.
Lawsuits
Individuals seeking compensation from uninsured drivers may seek to file a lawsuit against the uninsured driver. However, the payment may not be worth the court and attorney fees required to file the suit. Individuals should consult with an experienced personal injury attorney in order to determine whether or not this is the best course of action.
Related: Grounds to File a Car Accident Lawsuit in California
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If you have any more questions about what to do after being hit by an uninsured driver in California, get your free consultation with one of our California Personal Injury Attorneys today! We won’t charge you a dime unless you win your case.