What Happens To My Car Accident Injury Claim If the Other Driver Does Not Have Enough Insurance?

This is Kentucky injury attorney Tate Meagher with the Meagher Injury Lawyers.

Understanding Minimum Liability Policy Limits

First, keep in mind that in Kentucky, the minimum liability policy limits that vehicle owners must maintain are $25,000 per person and $50,000 per accident. If you have been involved in a car accident with someone who only has these minimum limits and you have significant injuries, hopefully, you have what is called underinsured motorist coverage on your automobile policy.

What is Underinsured Motorist Coverage?

Underinsured motorist coverage is designed to compensate you in scenarios where your damages from a car accident exceed the amount of insurance the other driver has. In Kentucky, underinsured motorist coverage is optional, so when speaking with your insurance agent, you may want to check to ensure you have this type of coverage to be protected in such scenarios.

Pursuing Recovery Beyond the At-Fault Driver's Policy Limits

You can pursue recovery for your damages that exceed the at-fault driver's policy limits against the person’s personal assets. However, in my experience, if the person only has minimum policy limits, it is very likely that they do not have significant assets to pursue and are what we would call judgment-proof.

Preserving Your Underinsured Motorist Coverage Claim

In Kentucky, if you settle a car accident injury case for the other driver's policy limits, you must preserve your underinsured motorist coverage claim by following the COOTS procedure. This procedure requires you to provide specific written notice to the underinsured motorist insurer of your intention to accept a policy limit offer. This gives them the opportunity to check and see if they desire to pursue a claim against the at-fault underinsured driver for any amounts they end up paying under your underinsured motorist coverage.

Importance of Following the COOTS Procedure

I highly recommend that you retain an attorney before sending what is known as a COOTS letter. There are specific requirements you must follow, and if you mess it up, you may be barred from pursuing an underinsured motorist coverage claim altogether.

Conclusion

Thank you for watching my video. Remember, if you have been injured in a car accident in Louisville Kentucky, please contact me. I'll be happy to help you out. Don't wait. Call Tate. Please subscribe to my YouTube channel and watch more of my videos. Thank you.