If you are driving a car, you should have the proper insurance coverage. In most states – 48 out of 50 – minimal auto insurance coverage is required by law. If you were driving without insurance and caused a crash, you are probably nervous about the outcome, and you do have cause to be.
There are some different options available for you to resolve the issue through. You will most likely face penalties for breaking the law – such as fines, loss of your car registration, license suspension, and you might even face jail time depending on your state laws. You will still be responsible for the damage to your own vehicle out of pocket, plus any others involved could sue you.
The Claims Process
In most states, if you are at fault for the auto accident your insurance company will cover the costs related to the victims’ injuries and damages. If you don’t have insurance, or not enough coverage, you could be sued.
In the 12 states that use a no-fault approach, drivers will file claims with their own insurer for minor injuries regardless of fault. This means that you can’t be sued for medical expenses unless the costs are significant.
Every state has its own laws regarding personal injury claims. If you live in a state that observes “no pay, no play” laws, any uninsured driver is barred from suing for damages that can’t be quantified with a dollar amount, so they can’t recover mental anguish or pain and suffering.
What You Will Pay
If you cause a crash while you are uninsured, it will be costly to you. Depending on the state where you are located, you will face a fine.
As an example, in Texas first time offenders are fined $175 while in Minnesota uninsured drivers might be fined as much as $1,000, lose their license and vehicle registration, and face 90 days of jail time. You will also still be responsible for the damages that you caused. This means the accident victims can sue you.
While their uninsured motorist coverage might pay the cost, the insurance company will come after you for reimbursement. After a judgment is received in court, depending on the state laws, your paycheck could be garnished if you don’t pay back the insurance company for their expenses related to your claim.
Also, if you cause a crash without insurance, that will be on your driving record and insurance will be more expensive for you. For example, the average cost of insurance for a driver with a good record is $1,293 per year in California, but with one accident at fault the rate jumps to $2,016 per year. If that at-fault crash occurred without proof of insurance, that rate jumps to $2,084 per year.
Consult With a Personal Injury Lawyer
If you have been involved in an auto accident, you should consult with a personal injury attorney who is licensed in your state. Complete the Free Case Evaluation Form on this page today!
