Approach to get carrier to pay the higher per accident cost?

[Redemptionman]

Jurisdiction

Mississippi

Say you are involved in a wreck and at the time you are carrying 25/50k policy limits. How do you get to the higher per accident liability limit instead of the individual lower 25k limit?

Is there an approach that works best in lets say a single car accident vs multiple vehicle wrecks?

 

[Zigner]

I'm trying to figure out what your misunderstanding is.

If those are your liability limits, then that is what is paid to others. No one entity can get more than $25k from you, and if there is more than one entity who you owe money to based on your liability in an accident, then the max your policy will pay is $50k.

 

[PayrollHRGuy]

I'm assuming you are talking about liability insurance and the state minimums.

Mississippi drivers must have $25,000 liability coverage for bodily injury or death of one person, $50,000 for total bodily injury or death, and $25,000 for property damage.

There is no way to get them to move the coverages around.

For example, Let's say you hit another car and do $35,000 in property damage and $10K in bodily injury to the other driver. They are only going to pay $25K for the car damage and $10K for the injury.

 

[Redemptionman]

That is not what I am asking, injury only.

policy limits are 25/50 for bodily injury -- 25k individual and 50k per accident. Your injury costs are more than 25k, how do you get to the 50k per accident total and not 25k per individual injured.

Is the only way to get to the per accident limit is to have multiple injured or more than two vehicles in the accident.

 

[Zigner]

policy limits are 25/50 for bodily injury -- 25k individual and 50k per accident. Your injury costs are more than 25k, how do you get to the 50k per accident total and not 25k per individual injured.

You don't - not through insurance.

 

[PayrollHRGuy]

You don't.

 

[Redemptionman]

You don't.

Okay then why is there a per accident limit and when would that be paid?

 

[Zigner]

Okay then why is their a per accident limit and when would that be paid?

Let's say that you have an accident and you injure 4 people. Each of them has $25,000 in injuries. The maximum that your insurance will pay is $50k and, since there are 4 people injured, it gets divided 4 ways. Each person gets 12.5k

Now, same scenario, except there are only 2 people you injured. The maximum that your insurance will pay is $50k and each person can get $25k.

Now, same scenario, except there was only 1 person injured to the tune of $40k. Since your policy pays $25k per person max, the max that 1 person can get is $25k. Of course, that person is free to sue you personally for the amount that exceeds your insurance limits.

 

[Redemptionman]

Let's say that you have an accident and you injure 4 people. Each of them has $25,000 in injuries. The maximum that your insurance will pay is $50k and, since there are 4 people injured, it gets divided 4 ways. Each person gets 12.5k

Now, same scenario, except there are only 2 people you injured. The maximum that your insurance will pay is $50k and each person can get $25k.

Now, same scenario, except there was only 1 person injured to the tune of $40k. Since your policy pays $25k per person max, the max that 1 person can get is $25k. Of course, that person is free to sue you personally for the amount that exceeds your insurance limits.

That is a very nice and well thought out post and explains it well. Guess I would think that it would be inclined to pay over the 25k if the persons injuries were more than the minimum but as you said they are under no obligation to do so when faced with split limits.

 

[adjusterjack]

Not only are they not obligated to pay more, they are prohibited from paying more because the policy limits how much can be paid. They couldn't pay more than the limits even if they wanted to.

You may have lost sight of the fact that an injured person can collect additional amounts with his own Underinsured Motorists Coverage provided he has sufficient limits.

 

[army judge]

You may have lost sight of the fact that an injured person can collect additional amounts with his own Underinsured Motorists Coverage provided he has sufficient limits.

Even if he/she/it doesn't have sufficient coverage, or has no coverage in that regard, he/she/it can sue the individual who damaged him/her/it.

 

[Redemptionman]

@army judge not if they don't have any assets at least on paper for you to get.
Worthless Judgement = Worthless Person = Worthless

@adjusterjack, it is the policy limit per accident limit not the individual limit

 

[Zigner]

@adjusterjack, it is the policy limit per accident limit not the individual limit

No, you misunderstand. It is a POLICY LIMIT. The policy has more than one limit.

 

[army judge]

@army judge not if they don't have any assets at least on paper for you to get.
Worthless Judgement = Worthless Person = Worthless

I suggested a person can sue.
I never said the person MUST or SHOULD sue.
Before you sue anyone or anything, it is best to investigate the target.
If YOUR target is broke down, tore down, bum, residing in a shack somewhere inside of "shantytown"; it might behoove you to let it go.
That said, very few people are strong enough or smart enough to let IT go.
The vast majority of people gotta get a piece of that rotting carcass!

 

[Redemptionman]

No, you misunderstand. It is a POLICY LIMIT. The policy has more than one limit.

Okay then why don't they pay out the policy limit per accident instead the lesser of the two?

Makes sense since it is the total per accident not total per person.

 

[Zigner]

Okay then why don't they pay out the policy limit per accident instead the lesser of the two?

Makes sense since it is the total per accident not total per person.

Because there is the maximum per person to take into account as well.

 

[PayrollHRGuy]

Okay then why is there a per accident limit and when would that be paid?

Okay then why don't they pay out the policy limit per accident instead the lesser of the two?

Because when they (insurance company) pay out the lesser of the two they pay less and the premiums paid by the covered person.

Personally, I think the states need to increase the minimums. The average new car costs $47K and the average used car costs $27K both above most states' required on property damage. And as we all know one can blow through $25K medical with hardly even trying.

Add that to the fact that anyone with minimum coverage also likely has no money to get in a lawsuit you simply end up taxing those that actually have some assets to protect because they have to pay for underinsured motorist coverage.

Most of these minimums were set many years ago and haven't been increased.

 

[Redemptionman]

Because when they (insurance company) pay out the lesser of the two they pay less and the premiums paid by the covered person.

Personally, I think the states need to increase the minimums. The average new car costs $47K and the average used car costs $27K both above most states' required on property damage. And as we all know one can blow through $25K medical with hardly even trying.

Add that to the fact that anyone with minimum coverage also likely has no money to get in a lawsuit you simply end up taxing those that actually have some assets to protect because they have to pay for underinsured motorist coverage.

Most of these minimums were set many years ago and haven't been increased.

That is true but you also have people working the system, knowing that they are rolling around in a 60k vehicle for example and only carry 25k liability. So, they total out their vehicle on you and are on the hook for only 25k of your as you said worth vehicle.

 

[adjusterjack]

You keep repeating yourself.

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