Underinsured motorist insurance coverage can be a little confusing. In today’s world of insurance, many people are opting for low or state minimum insurance coverage and when they cause a car accident the person hurt may find that this is not enough insurance to cover their medical bills, pain and suffering, lost wages and other damages. This is where underinsured motorist insurance coverage on your own policy becomes important. Underinsured motorist coverage allows you to collect the money from the person that caused the accident’s insurance and then you may be paid the rest of the value of your case by your own insurance coverage.
I recently had a case where this exact circumstance came into play. My client had medical bills of more than $28,000.00. The person that caused the accident only had insurance coverage of $25,000. This left my client unable to recover even enough money to cover the medical bills without the providers taking significant reductions (which we were able to negotiate). My client had underinsured coverage of $100,000 so we were able to go to the client’s insurance company and ask for an additional $75,000 after accepting the person that caused the accident’s maximum of $25,000. We made a claim for the addition money and negotiated a settlement that resulted in a significant amount of money getting paid to my client for their pain and suffering and to make sure all medical bills were paid.
Indiana law does not allow “stacking” of underinsured insurance coverage so there is no way to add your underinsured policy limits to those of the person that caused the accident. As a result, the maximum that can be recovered for an injury with underinsurance coverage is the amount of your insurance policy limits. Still, it is better to have this coverage and make this claim than to not receive adequate compensation for your injury.
There are certain requirements that must be followed in order to make an underinsured motorist claim with your own insurance company. Time frames that requests must be made and paperwork that must be considered by the insurance company to negotiate your claim. The terms of your underinsured motorist insurance coverage will govern whether a claim that cannot be resolved through negotiation will be heard by a jury or an arbitration panel.
Jason Wischmeyer knows how to work with insurance companies and file your underinsured motorist claim. Call us at 317-429-0210 and we will make sure that you get what you deserve for your underinsured motorist claim and compensation for your injuries, medical bills, pain and suffering and lost wages.