Auto Accident Settlements That Exceed Insurance Policy Limits in Kansas

Most auto accident settlements in Topeka fall within the auto insurance policy limits that drivers are required to have. That is as it should be—because insurance policies are intended to protect against such accidents and unforeseen events.

However, more serious car accident injuries may require extensive hospitalization, rehabilitation, and time off work. The amounts can exceed the auto policy limits that insurance providers set and that drivers agree to when they purchase the policies.

In such cases, what do you do? How can you receive fair compensation for your injuries from a negligent or reckless driver if their insurance policy does not fully cover your economic and non-economic damages?

Let’s find out.

A policy limits settlement is the maximum amount an insurance policy can pay out for an individual claim. These amounts should be made clear to buyers when they purchase the policy but can vary depending on the type of coverage and the particular insurance company.

Under Kansas state laws, drivers are required to carry certain minimum liability insurance coverage as follows:

• $25,000 auto insurance for bodily injury per person
• $50,000 auto insurance for bodily injury per accident
• $25,000 auto insurance for property damage per accident

Kansas law also requires that drivers carry uninsured motorist coverage on their auto policy, covering a minimum of $25,000 per person and $50,000 per accident.

These are the minimum amounts of coverage required. Drivers may purchase more coverage but many drivers simply settle for the bare minimum required by law to keep the premium payments more manageable.

In the event of an accident, the policy limits may need to cover the following types of accident-related losses that would be due compensation:

• All medical expenses
• Costs of rehabilitation
• Lost wages
• Property damage
• Pain and suffering

Policy limits may be sufficient for relatively minor car accident injuries—and even for some more serious injuries, such as broken bones and soft tissue injuries. These generally heal in a few weeks without the need for long-term hospitalization, homecare or time off work.

However, car accidents, motorcycle accidents, and truck accidents often result in more serious or even catastrophic injuries that impact lives in the longer term and incur much higher damages. The medical bills alone may surpass policy limits.

For some injuries, auto accident victims may be entitled to higher compensation than the auto policy limit allows. Such injuries include:

• Spinal cord injuries, resulting in temporary or permanent paralysis
• Traumatic brain injuries (TBIs)
• Severe, lifelong injuries and impairments
• Loss of a limb (arm/leg)
• Severe burns

Such injuries often incur high medical costs from significant periods of hospitalization, surgeries, inpatient rehabilitation, and at-home support and nursing care. Some injuries may impact victim’s lives long into the future or even forever.

Most standard auto policy limits are not designed to meet such costs. Insurance companies will only pay the compensation up to the policy limits—except in rare cases involving insurance bad faith where they are pressured to pay more, usually with the active involvement of a personal injury lawyer.

The medical costs of severe auto injuries quickly exceed the limits and potentially leave victims severely out of pocket. However, there are other options for the victims to recover the compensation they deserve.

In Kansas, if damages exceed the limits of the policy, the remaining damages must usually be paid by the at-fault party.

Often, however, claiming these damages from the responsible party can be challenging, especially if limited means exist to pay out-of-pocket damages.

In such instances, it is essential to seek legal advice from an experienced car accident lawyer. A seasoned personal injury attorney can advise on the best way to recover the compensation due. This may include any of the following strategies:

• Umbrella insurance policies from the at-fault party: if the responsible party has liability insurance, this can provide additional coverage beyond standard limits to cover excess damages.
• The personal assets of the at-fault party: in some cases, the at-fault party has substantial personal assets such as real estate or investments that can cover the excess damages—but this often requires legal action to enforce.
• Filing a lawsuit: if negotiations fail or the at-fault party refuses to pay, legal action may be necessary and the case can end up in court. If your case proceeds to trial and you win a verdict in excess of the at-fault party’s insurance limits, the at-fault party is personally responsible for paying for the excess verdict.
• Underinsured or uninsured motorist coverage: In situations where the at-fault party does not have sufficient insurance coverage to pay for your damages, your own personal car insurance may contain excess coverage, called underinsured (UIM) or uninsured (UM) motorist coverage, to pay for uncompensated losses.

Call Irigonegaray & Revenaugh now

If you or a loved one are in Topeka and seeking a car accident settlement that fully covers your losses, speak to a car accident lawyer at Irigonegaray & Revenaugh during a free case evaluation. Contact us online or call us at 785-267-6115. We will advise you of your legal options and assess how best to claim the compensation you deserve.