What are the Different Type of Insurance Coverage in Vehicle Accident Cases

Alabama has passed legislation requiring vehicle owners to carry a certain minimum amount of liability care insurance. Under Alabama’s mandatory liability insurance law, drivers must have a minimum of $25,000 for death or bodily injury liability to one person injured or killed in an accident you cause. The law also requires that a driver must have a minimum of $50,000 for total death bodily injury liability when two or more people are injured or killed in an accident you caused. This mandatory liability insurance also covers $25,000 for property damages in an accident you cause.  Insurance Types in Injury Claim

In addition, there are a few other common types of car insurance coverage in Alabama: accidental death coverage, bodily injury liability coverage, collision coverage, and roadside assistance. Comprehensive coverage is another common form of insurance in Alabama which covers damage or theft caused by something other than a collision with another car. Another very important type of coverage offered in Alabama is uninsured or underinsured motorists coverage. This type of coverage is important because it covers injuries and losses you sustain as a result of a collision with an underinsured, uninsured, or a hit and run driver. 

This coverage is used to pay for any medical bills, property damage bills, and other costs of anyone who is injured in a car wreck that you cause, up to the coverage limits. Many insurance providers advise  people to carry a larger insurance policy than the minimum in the case that there is a catastrophic injury. 

Alabama has a fault-based insurance system, under this system you have three options to recover damages. First, you can file an insurance claim with the at-fault drivers insurance, under a third party insurance. Second, you can file a claim with your own insurance company, then your insurance company will then pursue reimbursement from the at-fault drivers insurance company. Third, you may file a personal injury lawsuit against the at-fault driver’s insurance company assuming that the driver has coverage. 

If you are caught driving in Alabama without insurance, you can be fined up to $500 for the first conviction. If you are driving in Alabama without insurance you will be held personally liable for any damages that you cause. If you do not have the money to cover the damages you cause the injured party may be able to garnish your wages, and take your assets. If you call our local Calhoun County injury lawyers today we can help.

Quick Contact

Choose from the office locations above for contact details