Auto insurance protects drivers from paying out-of-pocket if they are in an accident and have to pay for their own or other people’s damages (injuries and financial losses). Likewise, injured parties can pursue compensation via an at-fault driver’s insurer if the person who caused their accident was negligent.
If you or your loved one suffered injuries in a car accident, a car accident attorney can help you seek compensation for losses covered by your own or the at-fault party’s insurance. However, it may be difficult to start the process if you’re a little fuzzy on the details of car insurance basics. We can help provide a foundation for your auto insurance policy information.
Liability Insurance Is Mandatory in Georgia
According to the Georgia Office of Insurance and Safety Fire Commissioner, all Georgia drivers must insure their vehicles with a minimum of:
- $25,000 in bodily injury liability per injured person
- $50,000 per accident
- $25,000 in property damage liability.
If you are legally at fault for a collision, these policies pay for the other party’s medical expenses, property damage, and other losses.
What if the Damage Exceeds the Policy Limits?
The amount of money your insurance company will pay depends on your policy’s limits. So, for example, if you carry only the minimum coverage, your insurer will pay each injured party up to $25,000 – but not more than $50,000 for all injuries combined. If the injured party’s damages exceed your coverage limits, they may seek additional compensation with a lawsuit.
You Can Add Optional Coverage to Your Auto Insurance Policy
As mentioned, all motorists are legally required to carry a minimum amount of liability insurance. However, you can pay to increase your liability coverage or add policies that protect you in other circumstances. Here is a basic explanation of optional auto insurance policies:
- Medical payments (“med pay”). Med pay compensates for injuries to the covered driver and their passengers, regardless of who is liable for the collision but also protects you if you are the victim of a pedestrian or bicycle accident. It supplements your health insurance but does not require a copay or deductible. This policy will cover medical treatment, dental care, and funeral expenses.
- Uninsured/underinsured motorist (UM/UIM) coverage. You can add UM/UIM coverage for bodily injuries and property damage. These policies protect you from injuries or vehicle damage caused by uninsured drivers or drivers without enough insurance to cover all of your losses. UM/UIM also pays for accidents caused by hit-and-run drivers.
- Collision coverage. This policy pays for damages to your vehicle, no matter who is at fault. So, even if you are liable for an accident, collision insurance will pay to fix your car or compensate for its fair market value if the damage amounts to a total loss. Without this coverage, you may get stuck paying out-of-pocket for repairs if you cause a crash.
- Comprehensive coverage. Comprehensive insurance pays for vehicle damage caused by something other than a crash, such as theft, vandalism, fire, flooding, and hail. It will also pay for damages caused by a tree or limb falling on your car.
In general, your liability coverage and additional policies will pay for accidents involving you or other drivers listed on your policy, such as your spouse or children. Coverage usually also extends to drivers you allow to borrow your car (however, if they do so regularly, they should be included in your policy). Your insurance will still cover you if you are in an accident in another state.
For a free legal consultation, call 404-214-2001
The Basics of Your Car Insurance Policy
The “declaration page” of your insurance policy lists the different types of insurance coverages available under your particular insurance policy. In other words, the declaration page is a basic summary of the insurance coverages that you pay for as part of your insurance premium. An explanation (in plain English) of the different types of coverages is below.
Liability Insurance Coverage
Bodily Injury Liability Insurance Coverage: This protects you if you are found legally responsible for the bodily injury of another person resulting from an auto accident. You are protected up to the policy limit that you select on your auto insurance policy. The minimum amount of bodily injury liability coverage in Georgia is $25,000.00 per person; $50,000.00 per accident.
As an example, if you had the minimum limits of $25,000.00/$50,000.00, any one person can collect up to $25,000.00 for their injuries from your insurance company. If you were legally responsible for the injuries of more than one person, each person could collect up to $25,000.00, but your insurance company will not pay more than $50,000.00 for everyone’s injuries combined.
Property Damage Liability Insurance Coverage: This protects you if you are found legally responsible for the damage to someone else’s property resulting from an auto accident. You are protected up to the policy limit that you select on your auto insurance policy. The minimum amount of property damage liability coverage in Georgia is $25,000.00 per accident.
As an example, if you had the minimum limits of $25,000.00 and were legally responsible for the damages to another person’s property resulting from an auto accident, that person could collect up to $25,000.00 from your insurance company for their damaged property.
Additional information is available through the Georgia Office of Insurance and Safety Fire Commissioner.
Medical Payments Insurance Coverage
Medical Payments Insurance Coverage (or “Med Pay”): This coverage is optional in Georgia. In the event of an auto accident or auto related injury, med pay covers the costs of medical, dental and funeral expenses for you and your passengers. Med pay is different from health insurance in that there are no copays or deductibles. Instead, med pay is a dollar-for-dollar benefit up to the insurance policy limits. Frankly, whether you have health insurance or not, med pay protects you.
Med pay covers you and your passengers for their auto related injuries whether the accident is your fault, someone else’s fault or nobody’s fault. Only your vehicle’s occupants are entitled to your med pay benefits so it only matters if your vehicle has med pay coverage. Med pay can even protect you if you are a pedestrian, cyclist or a passenger in somebody else’s vehicle.
Many people take the position that “I have health insurance, so I don’t need med pay.” This might be okay but it depends on the specifics of your health insurance plan language. Many health insurance plans try to deny claims because the injuries relate to an auto accident. Other plans have very high deductibles or expensive co-pays. Almost every health insurance plan wants to be reimbursed for the payments that they made for the auto accident-related injuries.
While auto insurance companies do try to be reimbursed for the payments that they make under the med pay claims, these attempts are mostly unsuccessful.
Other people often ask “Why should my auto insurance company pay for my medical expenses when it’s the other driver’s fault?” The answer is simple, if you pay for med pay insurance coverage, you should use it (or stop paying for it). The bottom line is that med pay will help you get and pay for medical treatment for auto accident injuries at less expense to you. Not using your med pay insurance is similar to not cashing in a life insurance policy after someone passes. If you are not going to use the insurance benefits, stop paying for them.
The biggest question injured people ask is, “Will using my med pay increase my insurance premium?” Georgia law says no. Specifically, an insurance company cannot increase an auto insurance premium or even cancel the insurance policy as a result of the insured being involved in a multi-vehicle auto accident so long as the insured was not at fault for the accident.
Property Damage
Collision Insurance Coverage: This coverage is optional in Georgia. Collision insurance pays for the damage done to your vehicle resulting from an auto accident regardless of who is at fault for the collision. This is important because if you are legally responsible for causing an accident, collision insurance is the only type of insurance coverage that will pay for your vehicle to be repaired.
Collision insurance can also be helpful if the insurance company for the person who is legally responsible for causing the accident delays in repairing your vehicle. You can get your own insurance company to pay to have your vehicle fixed under your own collision insurance coverage. After paying for your vehicle to be fixed, your own insurance company will file to be paid back from the other person’s insurance company. If they are successful, you will also be reimbursed for your deductible (see the section labeled “insurance deductibles” below). This process is called “subrogation.”
Comprehensive Insurance Coverage: This coverage is optional in Georgia. Comprehensive insurance pays for the damage done to your vehicle resulting from any incident that is not an auto accident. This is different from collision insurance coverage (explained above) as comprehensive insurance coverage protects you for damages related to theft, fire, vandalism, flooding, hail, etc.
The best example specific to Atlanta would be if your car is parked and a tree falls on top of it. Comprehensive insurance coverage would pay for this type of damage.
Rental Car Insurance Coverage: Depending upon your auto insurance company and policy language, you may or may not be protected or insured when renting a car. It is best to first verify whether rental cars are insured under your auto insurance policy before renting the car. In the alternative, you can purchase rental car insurance from the car rental company and some credit cards offer rental car insurance coverage if you pay for the rental car using that credit card.
Insurance Deductibles: Most Georgia insurance policies include deductibles for both collision insurance and comprehensive insurance claims. A deductible is the amount that the insured is responsible for paying before the insurance company pays. For example, if your deductible is $500.00 and you make a claim under your collision insurance for $1,500.00 in damages, you are responsible to pay the first $500.00 and your insurance company will pay the remaining $1,000.00.
You Can Seek Compensation for Auto Accident Damages
A lawyer with our firm can help you file an insurance claim and negotiate a fair settlement with your insurer for your covered losses. If your accident was not your fault, we can pursue compensation from the responsible driver with a claim against their liability insurance. We can also help you recover damages with a lawsuit if necessary.
Recoverable car accident compensation may include:
- Ambulance transportation and emergency treatment
- Doctor and hospital fees
- Medical procedures
- Mobility aids
- Physical therapy
- Rehabilitation
- Long-term nursing care
- Lost wages, benefits, and earnings
- Lost earning capacity
- Vehicle and personal property damage
- Physical pain
- Mental and emotional suffering
- Inconvenience
- Scarring, disfigurement, and permanent and disabling injuries
- Reduced quality of life
You Have A Limited Time To File a Car Accident Lawsuit
If you are only filing an insurance claim, you will have to abide by the deadline your insurer sets.
However, if you need to file a lawsuit, it’s important to get started before Georgia’s statute of limitations expires. An expired statute will likely bar you from taking action in court and reduce your insurance bargaining power, possibly resulting in a denied payment or reduced settlement.
According to O.C.G.A § 9-3-33, you have up to two years to file a personal injury or wrongful death lawsuit. The clock starts at the time of injury or your loved one’s passing. We can help you get started before time runs out.
Contact Kaine Law for More Information
Contact Kaine Law today to learn more about seeking compensation through your auto insurance policy or a claim against a liable driver. Free consultations. 24/7 support.
Call or text 404-214-2001 or complete a Free Case Evaluation form
