Injury Liability Inquiry
A few weeks ago, I shared my concerns about a potential injury lawsuit in Florida where I’ve been deemed at fault.
Since that time, I’ve learned that the other driver’s medical expenses amount to $10,000, with PIP covering 80% of that cost. He is seeking reimbursement for the remaining $2,000. Although he has underinsured motorist coverage, his insurance company is reluctant to pay out, which has prompted him to hire a private attorney.
I can see two potential scenarios unfolding from here:
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If his insurance company accepts the underinsured motorist (UM) claim, should I prepare for the possibility of them seeking reimbursement from me directly? What are the ramifications if I’m unable to cover that payment?
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If his UM claim is denied and he chooses to proceed with his attorney, how likely is it that they would pursue payment from me, and what would happen if I can’t afford to pay?
It sounds like you’re navigating a complex situation regarding injury liability, so it’s important to understand the potential outcomes and implications.
If his insurance carrier accepts the UM claim: It’s likely that the insurance company will seek reimbursement from you for the amount they paid out, in this case, the $2,000. They may also pursue additional damages if applicable. If you are unable to pay, you might face several consequences such as a collections process, damage to your credit score, or even a lawsuit. If they decide to take legal action, they could obtain a judgment against you, which might lead to wage garnishment or liens on your property, depending on your financial situation and the amount owed.
If his UM claim is denied and he hires a private attorney: In this scenario, it’s quite possible he could pursue a lawsuit against you for the unpaid medical expenses and any other damages he is seeking. Given that he has retained an attorney, it’s likely he is serious about pursuing compensation. If he sues and obtains a judgment against you, the same consequences apply as mentioned previously, including potential damage to your credit and the possibility of wage garnishment.
In both outcomes, it’s crucial to communicate with your insurance company and potentially consult with a legal professional who specializes in personal injury or liability cases. They can help you understand your options and obligations moving forward and may assist in negotiating with the other party or their insurer to possibly minimize your financial exposure.