If another driver caused your accident, their liability insurance is generally responsible for covering your damages. This means their policy should pay for your medical bills and vehicle repairs, not yours. However, the process of getting fair compensation can be more complex than it sounds, as you will be dealing with an insurance company focused on its own bottom line.
Key Takeaways about What Liability Insurance Covers if You’re Not at Fault
- When a person is not at fault for an accident, the at-fault driver’s liability insurance is responsible for covering damages.
- Liability insurance in New Hampshire is divided into two main parts: bodily injury liability and property damage liability.
- Bodily injury coverage can pay for medical expenses, lost income, and non-economic damages like pain and suffering.
- If the at-fault driver has no insurance or not enough, the injured person’s own Uninsured/Underinsured Motorist (UM/UIM) coverage may apply.
- Properly documenting injuries and damages is crucial for substantiating a personal injury claim.
Understanding At-Fault Insurance Rules in New Hampshire
New Hampshire operates under a “fault” or “tort” based system for car accidents. This means the person who is legally responsible for causing the crash is also responsible for paying for the resulting damages. To cover these costs, drivers are required to demonstrate financial responsibility. Most people do this by purchasing liability insurance.
According to the New Hampshire Division of Motor Vehicles, drivers must be able to cover specific minimum costs if they cause an accident. Liability insurance is the policy that pays out to others when the policyholder is at fault. It is specifically designed to cover injuries and property damage you cause to someone else.
If you were hit by a negligent driver, you will be filing a claim against their liability insurance policy to seek compensation for your losses.
What the At-Fault Driver’s Liability Insurance Should Cover
When you are injured by a careless driver, their liability coverage is split into two primary categories that can help pay for your different types of losses. A successful claim can provide compensation for both the economic and non-economic costs you have faced.
- Bodily Injury (BI) Liability: This portion of the policy is designed to cover the costs associated with the physical injuries you sustained. This can include payment for your ambulance ride, hospital stays, doctor’s appointments, physical therapy, prescription medications, and any future medical care you may need. It can also cover lost wages if your injuries prevent you from working.
- Property Damage (PD) Liability: This part of the policy covers the cost to repair or replace your damaged property. Most commonly, this means your car, but it can also apply to other items damaged in the crash, such as a bicycle, a laptop, or even a fence if the accident happened on your property. It can also help pay for a rental car while yours is being repaired.
- Pain and Suffering: In a personal injury claim, you may also seek compensation for non-economic damages. This is a legal term for the physical pain, emotional distress, and general loss of enjoyment of life that resulted from the accident and your injuries. This compensation is typically paid from the at-fault driver’s bodily injury liability coverage.
These coverages are intended to help you get back to the position you were in before the accident occurred.
What If the Other Driver Doesn’t Have Enough Insurance?
Unfortunately, some drivers carry only the minimum required insurance, and some have no insurance at all. If your costs exceed the limits of the at-fault driver’s policy, or if they are uninsured, you may feel like you have no options. This is where your own car insurance policy can help.
Your Uninsured/Underinsured Motorist (UM/UIM) coverage is a part of your policy that you can use when the at-fault party cannot cover your damages.
- Uninsured Motorist (UM) Coverage: This applies when the at-fault driver has no liability insurance. You can file a claim with your own insurance company under your UM coverage to pay for your medical bills and other related costs.
- Underinsured Motorist (UIM) Coverage: This applies when the at-fault driver has insurance, but their policy limits are too low to cover the full extent of your damages. For example, if your medical bills are $75,000 but their bodily injury limit is only $25,000, your UIM coverage could potentially cover the remaining $50,000.
Using your own UM/UIM coverage should not be treated as an at-fault claim and generally does not cause your insurance rates to increase.
Steps to Take to Protect Your Right to Compensation
After an accident on a busy road like I-93 or a local street in Nashua, the actions you take can significantly impact your ability to recover fair compensation. Once you have addressed any immediate medical needs, it is important to be organized and careful in your communications.
- Document Everything: Keep a detailed file of all accident-related documents. This includes medical bills, receipts for prescriptions, repair estimates for your car, and any correspondence with insurance companies. It can also be helpful to keep a simple journal detailing your pain levels and how the injuries are affecting your daily life.
- Report the Accident: Notify your own insurance company about the accident, even if you weren’t at fault. You are usually required to do so by your policy, and it is necessary if you end up needing to use your UM/UIM or MedPay coverage. Stick to the facts of what happened without speculating on fault.
- Be Cautious with the Other Insurer: The at-fault driver’s insurance adjuster may contact you quickly. Remember that their job is to resolve the claim for the lowest possible amount. Avoid giving a recorded statement or signing any documents without fully understanding what they are.
Taking these steps can help build a strong foundation for your claim and protect you from the tactics insurance companies may use to reduce their payout.
Liability Insurance Coverage FAQs
Here are some answers to common questions about dealing with insurance after an accident that wasn’t your fault.
What if the insurance company offers me a quick settlement?
A fast settlement offer may seem helpful, but it is often an attempt by the insurance company to close the case for less than its full value. It is wise to be cautious, as these initial offers may not account for future medical needs, all of your lost income, or the full extent of your pain and suffering.
How is fault determined in a New Hampshire car accident?
Fault is determined by looking at the evidence from the accident to see who was negligent. Negligence is a legal term for failing to act with reasonable care. Evidence can include the police report, witness statements, photos of the accident scene and vehicle damage, and traffic laws. Sometimes, one driver is 100% at fault, while other times, fault can be shared.
Does my health insurance pay for accident injuries before the liability claim is settled?
Yes, you should use your health insurance to pay for your medical treatment as you receive it. A personal injury claim against the at-a-fault driver’s liability insurance can take time to resolve. Your health insurer may seek reimbursement from the final settlement, a process called subrogation, but using it upfront ensures you get the care you need without delay.
What is MedPay coverage and should I use it?
Medical Payments coverage, or MedPay, is an optional part of your own auto insurance policy that covers medical expenses for you and your passengers, regardless of who was at fault. Using your MedPay coverage can help with co-pays and deductibles right away and will not affect your claim against the at-fault driver.
How long do I have to file a personal injury claim in New Hampshire?
In New Hampshire, the statute of limitations generally gives you three years from the date of the injury to file a lawsuit. Under New Hampshire law, if you do not file your claim within this time frame, you may lose your right to seek compensation through the court system permanently.
Contact a New Hampshire Personal Injury Attorney
Dealing with an insurance claim can be a difficult process, especially when you are focused on recovering from your injuries. You do not have to handle it by yourself. At Coates Law Office, we are committed to helping people in New Hampshire hold at-fault parties accountable and seek the full compensation they deserve. Attorney Bradford Coates has recovered millions for his clients and uses his experience as a former prosecutor to advocate for the injured.
We offer a free, no-obligation consultation to discuss your case and give you an honest assessment of your legal options. To get started, call our Merrimack and Nashua office today.