When you’re injured in a car accident, one of the first steps is often filing an insurance claim to cover your losses. However, there’s a limit to how much an insurance company will pay, called the policy limit.
This limit can sometimes fall short, especially in severe accidents. Understanding how often settlements exceed these limits and what to do in those cases. Our Denver car accident lawyer at Levine Law has helped countless clients in Denver handle these challenging situations and fight for fair compensation.
What Are Policy Limits in Auto Accident Cases?
Policy limits refer to the maximum amount an insurance company will pay under a specific policy. In Colorado, drivers are required to carry minimum liability coverage that includes:
- For bodily injury to each person: $25,000
- For bodily injury for each individual accident: $50,000
- For property damage: $15,000
For example, if you’re hit by someone with a $25,000 policy limit, but your medical bills total $50,000, the insurance company is only obligated to pay $25,000. Anything beyond that becomes your responsibility to recover through other means. Many drivers purchase higher limits, but even those can fall short in serious cases.
Factors That Influence Settlement Amounts
Several factors determine how much compensation you might receive after an accident, including:
- Severity of Injuries: The more severe the injuries, the higher the medical bills and long-term care costs. Serious injuries like traumatic brain injuries or spinal cord damage often exceed policy limits.
- Economic Losses: This includes medical expenses, lost income, and ongoing treatment or rehabilitation costs.
- Non-Economic Losses: Pain and suffering, emotional distress, and reduced quality of life can significantly add to the settlement value.
- Strength of Evidence: Documentation, witness testimony, and strong legal representation can greatly impact the settlement amount.
Our team at Levine Law understands these factors and works tirelessly to present the strongest case possible.
When Do Settlements Exceed Policy Limits?
Settlements exceed policy limits, most often in cases involving catastrophic injuries or wrongful death.
Here are some scenarios:
- Catastrophic Injuries: Injuries that require lifelong care, like paralysis or brain trauma, often surpass standard policy limits.
- Wrongful Death Cases: Families who lose a loved one may be entitled to compensation for funeral expenses, lost future income, and emotional suffering.
According to Colorado statistics, many accidents involve damages beyond the minimum required coverage. This is why underinsured motorist coverage (UIM) is so important. UIM coverage steps in when the at-fault driver’s insurance isn’t enough, providing additional funds to cover your losses.
Legal Options When Policy Limits Are Exceeded
If your damages exceed the at-fault driver’s policy limits, you still have options:
- Filing a Lawsuit: You may pursue the at-fault driver’s assets if they can pay additional compensation.
- Underinsured Motorist Coverage (UIM): Your own UIM coverage can bridge the gap between the at-fault driver’s insurance and your total damages.
- Bad Faith Insurance Claims: If an insurance company unreasonably denies or delays your claim, you may file a bad faith lawsuit to recover damages.
At Levine Law, we explore every avenue to ensure our clients get the compensation they deserve.
How Our Denver Car Accident Lawyer Can Help
When facing cases that exceed policy limits, having an experienced legal advocate on your side is critical. At Levine Law, our Denver car accident lawyers are committed to maximizing your compensation by taking these key steps:
Thorough Investigation
We leave no stone unturned in gathering evidence for your case. This includes obtaining police reports, medical records, accident scene photos, and witness statements to build a compelling argument on your behalf.
Aggressive Negotiations
Insurance companies often attempt to minimize payouts, offering settlements far below what you deserve. Our team pushes back, using strong evidence and negotiation strategies to fight for the compensation you’re entitled to.
Litigation Support
We are ready to take your case to court if negotiations fail to deliver a fair settlement. Our lawyers are skilled litigators who will present your case effectively, advocating for your rights before a judge and jury.
Accountability
We hold at-fault drivers and insurance companies accountable for their actions. We aim to ensure you recover the financial support you need for medical bills, lost wages, and other damages.
Whether your claim is straightforward or involves complex legal challenges, our team has the needed experience to help you secure results. At Levine Law, we’re here to support you every step of the way.
Call Our Denver Car Accident Lawyer Today
If you’ve been injured in a car accident and are unsure how to recover compensation beyond policy limits, don’t wait to seek help. Our team at Levine Law has extensive experience handling these types of cases.
Contact us today for a free consultation with a Denver car accident lawyer. Let us fight for the justice and compensation you deserve.
