What Happens If A Claim Hits The Insurance Limit?
For a personal injury lawyer, it's usually a good thing to learn that a defendant in a case has insurance. After all, this means there's a party in the matter that can pay up if the claim or suit is successful. One downside, though, is that most insurance policies have upper limits, and the damages in your case may go beyond those limits.
How do you get the rest of the compensation you're owed? Let's take a look at some of the possible options a personal injury attorney might consider.
Proving Catastrophic Injuries
In some instances, the limits only apply if the injuries are considered less than catastrophic. Generally, a catastrophic injury is one that's life-changing. These include things like the loss of a body part, facial disfigurement, muscle damage, and visible scarring. Brain, nerve, and spinal damage are also considered catastrophic. If you can prove you suffered a catastrophic injury, you might be able to get past the limits in the policy's payout.
Suing the At-Fault Party
While the amount of payable insurance may be exceeded, that doesn't mean you can't continue to pursue legal action. A suit directly against the defendant is one way to try to get more compensation. If they're unable to pay a settlement or judgment, your personal injury lawyer can ask the court to impose a lien on their assets or a wage garnishment to collect the balance owed.
One problem that occurs in these situations is that a defendant can sometimes be judgment-proof. That means they're essentially so broke that it's impossible to recover more money from them even by selling their stuff or going after their wages.
Questioning What the Applicable Section of the Policy Was
This is a little more legalistic of an approach, but the idea is to show that the insurance company is applying the wrong part of the policy. Doing this can be challenging because the claims adjuster generally believes they have all the details nailed down tight when they offer a settlement. You may have to go to court to get a judgment stating that the policy was misapplied and that a different section should have been used to pay out the settlement.
It's sometimes possible, however, to raise these questions with the adjuster during the negotiation process. They are authorized by the company to make judgment calls based on the policy, and a personal injury attorney can make a persuasive argument.
To learn more, contact a personal injury lawyer.
