Getting compensation for your car accident typically means going after the other driver. In most cases, their insurance pays, whether you file your case as an insurance claim or go after them directly in a lawsuit. However, if they have no insurance, it can complicate things.
You can still recover compensation from an at-fault driver by suing them directly, but their ability to pay will limit you. If they have significant assets and can pay for your damages, then a lawsuit might succeed. If they cannot pay, we can turn to your own insurance coverages to help you out.
For your free case review, call Mitchell Rogers Injury Law’s Las Vegas, NV car accident lawyers at (702) 702-2622 today.
Can You Sue an Uninsured Driver?
If someone hit you and caused you injuries, you can sue them. In most cases, their insurance carrier will provide them with a lawyer and defend them, then pay damages when they lose. If they don’t have car insurance, that doesn’t stop you from suing them.
The law in Nevada still allows a lawsuit against an uninsured driver. It would be up to them to get a lawyer to defend themselves and potentially negotiate a settlement. However, their ability to pay for a lawyer and afford the damages really calls into question whether you should sue them.
What Happens if They Can’t Pay?
If an uninsured driver is independently wealthy, owns a company, or otherwise has assets to cover your damages, they might be able to afford to pay your damages. This means they would have no problem hiring a lawyer and, if we win the case against them, paying the judgment. However, most drivers simply cannot afford to do this.
Drivers who cannot pay out of pocket for the damages they caused are often called “judgment-proof.” While our Nevada car accident lawyers might be able to sue them, we would not be able to enforce a judgment against them to get them to actually pay you.
You can potentially go through the process of attaching their house or other assets to the case, but at the end of the day, you would be paying a lot of money to go to trial against a party who will only be able to pay a fraction of the damages.
When an uninsured driver is judgment-proof, a lawsuit against them is usually a waste of time.
How Do I Get Paid if The At-Fault Driver Can’t Afford It?
Instead of suing them, the better option is often to use your own insurance coverages to pay for your damages. Many drivers have optional coverages on their policy beyond state minimum requirements that can pay for damages they suffer instead of just covering the harm they cause in a crash.
Uninsured and Underinsured Motorist Coverage in Nevada
The two main options you can add to help in this situation are uninsured and underinsured motorist coverage (UM/UIM). Your UM coverage kicks in to cover damages when the other driver has no insurance, and UIM kicks in when the other driver’s insurance is too low to cover you.
Insurance laws require you to have liability coverage of at least $25,000 per person for injuries, $50,000 per accident for injuries, and $20,000 per accident for property damage, but this covers the damages you cause, not the damages you suffer. But insurance companies also have to offer you UM/UIM coverage at this same minimum coverage level.
If you opt to take this coverage, you can use it in any crash where the other driver doesn’t have insurance, potentially including hit and runs where you can’t find the other driver. You can also use it when they can’t cover your whole case, such as when their $25,000 isn’t enough to cover your injuries.
Other First-Party Coverages
You may have other coverages on your policy that can help you, too. These are optional, but many are low-cost and are worth adding to your policy before you get into a crash, so they are there when you need them:
Medical Payment Coverage
This covers medical costs related to your crash, whether you caused the crash or someone else did. This has deductibles and policy limits, but you can usually adjust them to your preference, depending on what premium you are comfortable paying.
Collision Coverage
The other driver’s $20,000 is potentially enough to cover your auto damage, but if they hit two cars or also damaged signs, guardrails, or telephone poles, it can be hard to get full coverage from them. Collision coverage allows your insurance policy to pay for your auto damage after you pay a deductible.
What Does My Coverage Pay for When the At-Fault Driver Doesn’t Have Insurance?
If you do not have any of these additional coverages, your insurance will probably cover nothing. That is why it is important to review your insurance policy and consider what coverages you need.
If you do use your own insurance, your medical payment coverage and collision coverage usually have deductibles and only cover certain damages. This typically excludes pain and suffering payments.
However, your UM/UIM pays as though it is in the other driver’s shoes. That means it can cover any damages you faced, including the deductible payments you haven’t gotten reimbursed, plus pain and suffering your other first-party benefits wouldn’t have covered.
Do I Have UM/UIM?
UM/UIM coverage is not required in Nevada, but your insurance company is required to offer it to you in writing. This usually means you have to make a knowing choice to reject it or accept it, so you might have some idea of whether you have it or not. Our lawyers can check your policy and see what coverages might help you get the damages you need if the other driver can’t pay.
Call Our Car Accident Lawyers in Nevada for Help Today
Call (702) 702-2622 to speak with Mitchell Rogers Injury Law’s Henderson, NV personal injury lawyers in a free case evaluation.