Everyone knows the drill: if you get into an accident, you need to exchange information with the other driver. One of the most important things to collect is the other driver’s auto insurance information. But what happens if the other driver isn’t insured?
Any accident can be emotionally draining, but getting hit by an uninsured driver adds an additional level of stress. Luckily, there are things you can do to protect your rights after an accident with an uninsured driver. Read on as our Birmingham car accident lawyer answers common questions about being hit by an uninsured driver.
What are Alabama’s Car Insurance Requirements?
Alabama law requires all drivers to have car insurance. Currently, Alabama’s minimum auto insurance liability limits are “25/50/25.” These numbers mean that every driver must have an auto insurance policy that provides: 1) $25,000 worth of bodily injury coverage per person; 2) $50,000 coverage for all bodily injuries from any one accident; and 3) $25,000 coverage for property damage per accident.
Here’s how this works: Let’s say that Jimmy has an auto policy that provides the minimum coverage required by Alabama law. He causes an accident that creates a total of $45,000 worth of bodily injury for all passengers. Jimmy’s policy should cover all injuries.
What Is an Uninsured Motorist?
Simply put, an uninsured motorist is any driver who doesn’t have an auto insurance policy that covers the minimum amounts specified by state law. In the example above, if Jimmy caused $45,000 of bodily injuries but didn’t have insurance, he’d be an uninsured motorist.
Nationally, about 12.5% of drivers lack proper insurance coverage. Unfortunately, the situation is worse here in Alabama. As of 2019, 19.5% of Alabamians were driving without insurance. This number places Alabama 7th in the nation for uninsured motorists. So, in Alabama, there is a higher-than-average chance that a driver is uninsured.
What Is an Underinsured Motorist?
Underinsured drivers can also be a problem. An underinsured driver has insurance, but the policy limits aren’t enough to cover all of the injuries from the auto accident. So, going back to Jimmy, if Jimmy caused $60,000 worth of bodily injuries, but his policy has a $50,000 maximum for all bodily injuries, he’d be considered underinsured.
Uninsured Motorist Laws in Alabama
Alabama law requires insurance companies to offer uninsured motorist coverage to anyone who purchases auto insurance. Although the policyholder is not required to purchase this coverage, it must be included in every policy by default unless the policyholder rejects it in writing.
According to the Insurance Information Institute, in one recent year, 16.8 percent of Alabama’s drivers were uninsured. Alabama ranked 15th in the list of uninsured motorists by state.
Additionally, under Alabama law, every driver of a vehicle involved in an accident in which someone is killed or injured, or in which there is property damage exceeding $250, must report the accident. You can use Form SR-31 if an uninsured driver hits you.
What Is Uninsured Motorist Coverage?
If you’re hit by an uninsured driver, your best bet is an uninsured motorist policy, also known as “UM” coverage. There is also underinsured motorist coverage, also called “UIM” coverage.
Similar to normal auto insurance, UM/UIM policies work based on limits. Insurance experts recommend that your UM/UIM coverage mirror your regular coverage. So, if your car insurance covers injury costs up to $50,000 per person, a total of $100,000 per accident, your UM/UIM policy should cover the same amounts or more.
How Do I Get Uninsured Motorist Coverage?
Getting UM/UIM coverage is easy. Alabama does not require UM/UIM policies, but Alabama does mandate that all insurance companies offer UM/UIM coverage to a potential insured. If this coverage is rejected, the insurance company must have that rejection in writing.
UM/UIM coverage is affordable. In most cases, it costs about five percent of your auto policy premium. So, if your annual policy premium is $1000, UM/UIM coverage will only cost you an additional $50 per year. This adds up to less than five dollars per month.
If your insurance agent offers you UM/UIM coverage, please accept it. It’s inexpensive, and it’s better to have it and not need it than to need it and not have it.
How Does Uninsured Motorist Coverage Work?
Here’s how UM/UIM works: After being hit by an uninsured driver, you’ll contact your insurance company to report the accident. The company will also investigate the accident and review your medical records. If the investigation proves the other driver is uninsured, you’ll file a claim against your UM policy. If your injuries or property damage exceed the driver’s policy limits, you’ll file a claim against your UIM coverage.
Let’s go back to Jimmy one last time. Let’s say Jimmy hit you and caused medical bills of $60,000, but he didn’t have insurance. If you had the $50,000/$100,000 UM policy described above, your UM policy would cover $50,000 of your medical bills. If Jimmy had only the minimum coverage required by Alabama law, your UIM coverage would chip in to cover the remaining $10,000.
Your Legal Options After Being Hit by An Uninsured Driver
What happens if you get hit by an uninsured driver? You’ll need to find other ways to cover your expenses. Your health insurance can cover medical bills, or use MedPay from your own policy. Collision coverage can help repair your vehicle. You may also be able to file a lawsuit directly against the at-fault driver.
Here are the most important steps to protect your health and strengthen your case:
Call the Police
Report the accident immediately and make sure an official police report is filed.
Get Medical Care
Seek treatment right away, even if injuries seem minor. Document everything.
Get the Police Report
Obtain an official copy — it’s critical evidence for your claim or lawsuit.
Follow Doctor’s Orders
Attend every appointment and follow all treatment recommendations.
Document Everything
Write down all details about the accident as soon as possible while it’s fresh.
Keep All Records
Save medical bills, reports, prescriptions, repair receipts, and mileage logs.
Don’t Give Statements
Never give a recorded statement to any insurance company until you speak with an attorney.
Contact an Attorney
Call an experienced Alabama car accident lawyer immediately for guidance on your rights and options.
Important: Insurance companies are not on your side after an uninsured motorist accident. Protecting your rights and maximizing your compensation requires experienced legal guidance. Collins Law is here to help you fight for the recovery you deserve.
Can I Sue an Uninsured Driver?
You can, but there may be issues. Sometimes, uninsured drivers can’t be identified. If you’re the victim of a hit-and-run accident, you may be unable to sue simply because the driver can’t be found. (Your UM/UIM coverage will still apply, though.)
Also, whether you’re dealing with an insured driver or an uninsured driver, the whole point of a personal injury lawsuit is to compensate you for your injuries. But most people who drive without insurance coverage do so because they can’t afford it. So, it’s not likely that you’ll recover much in a lawsuit against an uninsured driver. However, if the person has valuable assets (a luxury car, a boat, etc.), a lawsuit could be a good option. Your Alabama accident attorney can help you decide if a lawsuit is in your best interests.
When Suing Is Worth It & Isn’t
Can you claim against an uninsured driver? While you can’t file an insurance claim against the at-fault party’s insurer because there isn’t one, it is possible to sue the driver directly. However, is it worth it?
Uninsured people usually have few financial assets. If you do some investigation and determine that the person who hit you really has very little in terms of assets, then filing a lawsuit will likely not be worth it. You’ll have to pay your lawyer, pay court costs and fees, and even a favorable verdict may be uncollectible.
However, if the at-fault party has significant assets, it could be worth your while to file suit. Perhaps the at-fault party is cash-poor but asset-rich. If their home has significant value, or if they have high-dollar assets, such as luxury vehicles, yachts, jewelry, other valuables, or significant investments, filing a lawsuit against them makes sense.
How to File a Lawsuit Against an Uninsured Driver
Strongly recommended: Although you can represent yourself, your best chance of success comes from working with an experienced Alabama car accident attorney who handles these cases daily.
The process of filing a lawsuit in Alabama generally follows these steps:
Determine the Filing Deadline
Alabama’s statute of limitations gives you two years from the date of the accident to file your lawsuit. Missing this deadline usually means you lose your right to compensation.
Determine the Appropriate Court
Small Claims Court: up to $6,000
District Court: $6,000 – $20,000
Circuit Court: over $20,000 or complex cases
Prepare the Required Documents
You’ll need a Complaint (facts and claims), a Summons (official notice to the defendant), and a Civil Cover Sheet.
File the Lawsuit
Submit your documents to the court clerk in the appropriate county. Filing fees are typically around $300 in Circuit Court.
Serve the At-Fault Party
Deliver the Complaint and Summons via certified mail, sheriff, or private process server. File proof of service with the court.
Await the Response
The at-fault party usually has 30 days to respond to your Complaint.
Important: Filing a lawsuit against an uninsured driver involves many procedural rules and deadlines. An experienced attorney can handle the paperwork, negotiations, and court proceedings so you can focus on recovery. Collins Law offers free consultations — contact us today.
Types of Compensation Available
When you file an uninsured motorist claim through your own insurance policy, you can seek compensation for your accident-related medical expenses and any income you lost because you had to be off work due to your injuries. Your policy will only pay up to the policy limits, so if your injuries were severe, your policy may not cover all your costs. If you opted to purchase collision coverage, you can use that policy to cover repairs to your vehicle.
If you file a lawsuit against the at-fault party, you can seek compensation for all the costs you incurred because of the accident, including the intangible personal costs like pain and emotional harm. You could get money for your:
- Medical expenses
- Lost income
- Future lost earning capacity
- Pain and suffering
- Loss of enjoyment of life
- PTSD
- Anxiety
- Property repair or replacement
Because people who choose not to purchase auto insurance often have limited resources, even filing a lawsuit against the at-fault party may not allow you to obtain money that covers all your expenses from the accident.
Do I Need An Attorney If I Get Hit by an Uninsured Driver?
Yes. After an accident with an uninsured driver, you should reach out to a Birmingham accident attorney as soon as possible. An experienced lawyer can help you deal with an uninsured driver in several ways.
First, an Alabama accident lawyer can help you deal with the insurance company. Your insurance company will probably ask you for a recorded statement after the accident. You might feel safe dealing with your own insurance company, but every insurance company wants to avoid paying money. An injury attorney can help you craft a statement that protects your right to compensation.
Second, your insurance company might undervalue your injuries. If this happens, the terms of your policy probably say that you can’t take them to court. However, you can take them to arbitration.
Arbitrations are led by neutral parties called arbitrators. In an arbitration, you and your accident attorney will explain why you think the insurance company’s determinations are wrong. The good news is that arbitration is usually less expensive and less involved than going to court. On the other hand, if you disagree with the arbitrator’s decision, you won’t have many options. However, an Alabama accident attorney can help you get a successful result at arbitration.
More Questions About Getting Hit by an Uninsured Driver?
If you’ve been in a car accident in Alabama, you probably have lots of questions about what happens next. Contact our Alabama car accident lawyer at Collins Law, LLC. Our firm’s founder, April H. Collins, has been recognized as one of Birmingham’s leading personal injury attorneys. Our clients give our team high marks for our compassion and customer service. Call us at 205-588-1411 or fill the form below to schedule a free consultation. We provide services to those looking for a car accident lawyer in Madison, Birmingham, and other areas in Alabama.
