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Vehicle Accidents

The Role of Car Insurance in Car Accidents

Posted by on Aug 21, 2014 in Vehicle Accidents | 0 comments

Most drivers complain about the costs of car insurance, but it is only in cases of car accidents do they realize its value. All states require a minimum third-party liability insurance, which kicks in for the at-fault driver that would otherwise have to pay out-of-pocket for the property damage and personal injuries of another person. In cases where the car accident involves another vehicle, the insurance also covers injuries of passengers.

Of course, the minimum coverage required by state law will not always cut it. That is why it is recommended that additional coverage be purchased. This is especially desirable when the at-fault driver is found to have been negligent; the insurance company will be the one paying for all damages subject to the limit of the policy. The driver will be liable for anything over and above that, so the higher the coverage, the less the driver will have to personally pay.

According to the website of Habush Habush & Rottier S.C. ®, car insurance rates vary from state to state. In Illinois, for example, the average annual premium for minimum car insurance coverage for 2014 is $1,370, compared to Michigan’s $2,551. Purchasing Chicago car insurance, therefore, would be less costly than Lansing car insurance.

However, the comparison may not be entirely accurate. Some no-fault states such as Michigan require personal injury protection (PIP), because in no-fault states each driver is responsible for their own injuries as well as those of their passengers to the limits of their insurance and may be restricted from pursuing a claim against a negligent driver.

Illinois, on the other hand, is a fault state, and a car accident victim can get a Danville car accident lawyer to make a claim with the insurer of the other driver for damages and injuries provided it is proven that said driver was legally at-fault. If the insurer denies the claim, the case can be elevated to civil court with a personal injury lawsuit.

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