Legally reviewed by:
Daniel Smith August 28, 2024
Car accidents can be very devastating, and many times, they are caused because someone else has completely disregarded traffic rules.
You've probably seen other drivers running a red light, exceeding the speed limit, or driving under the influence of alcohol and other substances. Getting into an accident with those people could be especially frustrating because you know you did everything right and are not at fault.
Naturally, car accidents caused by another party should result in you getting compensated. So, you might wonder if getting a lawyer for a car accident you weren't responsible for is necessary. After all, you just need to sit back and wait for your settlement.
However, having a personal injury lawyer is extremely important after a car accident regardless of fault. With a lawyer, you can focus on your recovery, while they make sure you fulfill all legal obligations related to an accident. Lawyers also make sure you get the maximum possible compensation.
In this article we discuss the benefits of having a lawyer, the challenges you may face without one, and all the legal connotations of being involved in a car accident.
Legal Implications of Being Involved in a Car Accident
Car accidents have far-stretching implications beyond any injuries or property damage you may suffer due to the accident. And most of the time adopted state law significantly affects these consequences.
Explanation of fault vs. no-fault states
All states adopt either fault-based or no-fault laws for car accidents. Depending on which is practiced, there is a marked difference between the nature of insurance claims in these states. So, what does fault vs no fault mean?
Definition and differences
Fault or tort-based states adopt a system that makes the driver who caused the accident financially liable for any injuries or damage suffered by other parties. Thirty-eight states and the District of Columbia practice the fault system.
In Maryland (a fault state), for instance, Md. Code, Transp. Law § 17-103, requires that the minimum insurance coverage of any vehicle should cover the bodily injury, property damage, and death of others.
No-fault states, on the other hand, make each driver responsible for their post-accident medical expenses and other losses through their insurer. 12 states including Florida, North Dakota, and Utah practice this system. Utah Code § 31A-22-209(1), for instance, provides that anyone required to have a policy that includes Personal Injury Protection (PIP) will not be able to claim damages arising out of personal injuries except in certain circumstances.
It is important to note that Kentucky, New Jersey, and Pennsylvania are, however, choice no-fault states. This means that drivers are allowed to select whether they want to practice a no-fault system or an at-fault system.
The primary difference between both systems is the financial liability in an accident. While at-fault states require that the responsible driver be financially liable, no-fault states do not consider fault in insurance settlements for personal injury. The different systems also affect insurance claims and legal proceedings.
Impact on insurance claims and legal proceedings
Insurance claims in no-fault states for personal injuries and lost wages are typically first-party since people have to claim against their PIP coverage. However, property damage is usually claimed against the responsible party except in states like Michigan where property protection insurance is mandatory (Mich. Comp. Laws §§ 500.3121 & 500.3123).
Meanwhile, insurance claims in at-fault states are almost always third-party claims, which means the injured driver claims against the insurance of the responsible driver. However, some at-fault states like Delaware (Del. Code tit 21, §2118) still requires drivers to have PIP.
Where insurance claims develop into lawsuits, legal proceedings in no-fault states are usually against the injured driver's insurance company. It could also be against the responsible driver where the accident resulted in death, severe injury, or medical expenses exceeding the minimum PIP limit. But, no-fault states generally have a lower rate of car accident-related lawsuits.
Legal proceedings are more likely in fault states because the responsible driver is automatically liable to the person who has been injured or suffered damages. An injured driver may therefore institute legal proceedings at any time within the statute of limitations.
The role of insurance companies in these scenarios
The responsible driver’s insurer will try as much as possible to prevent a lawsuit against their client by settling with you. But unfortunately, that may not be their sole priority.
Insurance company priorities & potential conflict of interest
Most insurance companies are for-profit businesses, and naturally, they prioritize their bottom line. As you can imagine, their core business model revolves around receiving money from their clients through premiums and minimizing settlement payouts.
This puts you in quite a precarious position for an accident that wasn’t your fault. Because even though you are entitled to compensation, the company might attempt to frustrate you into accepting the cheapest possible settlement. The less they successfully pay out per claim, the more profit they can make at the end of the year.
Potential Challenges Without Legal Representation
If you fail to get a lawyer here are some situations you’ll likely run into while trying to get your settlement:
Difficulty in proving fault and liability
One of the most important things a lawyer brings to car accident cases is their ability to meticulously investigate or review existing evidence to determine what exactly transpired effectively.
Since they are also reasonably distanced from the case (not as emotionally involved as you), they can remain clear-headed and logical in their investigation and presentation.
All those are important traits necessary to prove fault and liability in a car accident. Without a lawyer, you might fail to get all the evidence to prove the other driver's fault. And even if you get all the evidence you need, you may not be able to present it as you should.
Underestimating the true value of your claim
Since you're also emotionally involved in the case, you likely underestimate the true value of your claim. This is especially common when you have some other insurance policy (like health insurance) to cover some of your costs so you don't have to pay out-of-pocket for everything.
Other times, even after suffering significant economic damages, you just want to be done with the whole process and fail to account for non-economic damages when making your claim.
Risk of accepting inadequate settlements
Your emotional attachment and the costs you've incurred may make you eager to receive any compensation from the insurance company. The insurers know this and often try to frustrate claimants by delaying payouts for as long as possible.
When they finally offer something, you hastily accept it and release them of liability even though the settlement is inadequate.
Navigating complex legal procedures and deadlines
The legal procedures and deadlines associated with car accident claims could be complex and difficult to understand. For instance, Oregon requires drivers to report to the Department of Transportation within 72 hours if an accident results in death, injury, or property damage of more than $2,500, and if any vehicle is towed (Or. Rev. Stat. §811.720). You are also required to call the police when any of those things happen but also when an unattended vehicle is damaged (Or. Rev. Stat. §811.745).
All these requirements and deadlines are very different and could be even more complex across states.
Dealing with aggressive insurance adjusters
Insurance adjusters may be aggressive and try to take advantage of you if they feel you have no knowledge of your rights and don't have a lawyer in your corner. They will attempt to devalue your claim multiple times, and they could act in bad faith due to their bias against you.
Benefits of Hiring a Lawyer
So, what benefits do you get with an experienced personal injury lawyer on your side?
Expertise in navigating legal complexities
Lawyers help you go through the many legal complexities associated with car accidents. State law varies on insurance requirements, negligence laws, and statute of limitations which are all essential legal aspects tied to successfully getting a settlement. It could be difficult to keep track of accident reporting requirements in your state.
An experienced lawyer on your side will ensure you remain on the right side of the law throughout this process. And that will prevent your claim from being denied due to legal technicalities.
Assistance with insurance claims and negotiations
Lawyers will also help with drafting insurance claims which can be tricky. The wording of your claim and the description of your damages/injuries with the evidence you attach is extremely important. Lawyers understand that and can help you come up with a potent claim.
With their mediation and negotiation skills, they also help you fight for the settlement you deserve in negotiations. Most lawyers are analytical enough to recognize all the tricks an insurance company might try to play during a negotiation, and they can avoid them.
Identifying and maximizing compensation for damages and injuries
Without a lawyer, you might only claim for medical expenses and repair costs to your damaged properties. But with a lawyer, you could get so much more.
Lawyers are skilled at appropriately demanding non-economic damages like pain, trauma, and suffering when making claims. They also understand that economic damages could exceed medical expenses and damages and include lost wages and loss of earning capacity.
Depending on the situation, a lawyer may also seek punitive damages, a proportion of which you will be entitled to as provided under state law.
While they will work to maximize compensation, lawyers will still settle on amounts that insurance companies or juries could still find, unlike claimants who may seek outrageous amounts that will result in the denial of a claim.
Calculating long-term costs and damages
To effectively maximize compensation, many lawyers have developed systems to calculate economic and non-economic damages effectively. Naturally, damages like pain, disfigurement, and mental anguish may seem difficult to quantify financially. But with their systems, a lawyer can put a price you'll be happy with on those damages.
Lawyers also look beyond present costs when calculating damages for a claim. They factor in direct or indirect costs that may arise as a result of the accident
Handling disputes and avoiding pitfalls
Disputes, especially regarding fault are common with insurance claims, especially for complex accidents. If you do not take the right steps when you ought to, and avoid some common mistakes, these disputes may devalue your claim, even when the person disputing has no basis to do so.
Lawyers can help you avoid pitfalls to ensure you emerge victorious in any dispute. And even when it is too late to avoid these pitfalls, a lawyer could still help you present your version of events in the clearest way possible while discrediting any opposition grounds for dispute.
Protection of your legal rights
You are legally entitled to be compensated after a car accident, especially if it is one you weren’t responsible for. Insurance companies may try to rob you of this right. But a lawyer will employ all the legal tools at his disposal, and go the distance to ensure your right is protected.
Situations Where a Lawyer is Especially Beneficial
In certain accident-related situations, having a lawyer on your team will prove extremely beneficial. The situations are:
Severe injuries or significant damages
When dealing with significant injuries or damages, the last thing you want to be doing at that moment is trying to meet legal deadlines or requirements. Even though they are important and could be necessary to get your settlement, it is generally best to focus on your recovery.
With a legal representative, however, you can almost do both at once. While you focus on your health or any other thing demanding your attention, your lawyer acts in your name to make sure every other thing regarding your settlement is taken care of.
Unclear liability or disputes over fault
In accidents where it is difficult to establish who is at fault like collisions while trying to merge or multi-party accidents, it may be difficult to say who is at fault. The person who you believe to be at fault may think that something else caused the accident.
Given the priority of insurance companies and their conflicting interests we discussed earlier, an insurance company may then try to assign some of the blame to you in these murky situations. Depending on state law, accepting a portion of the blame will likely reduce your settlement or may disqualify you entirely from being entitled to a settlement.
But a lawyer will be able to go over the evidence or carry out further investigation to absolve you from liability.
Issues with insurance companies
We've established that running into issues with the insurance company happens quite often. Even though states (like California in Cal. Code Regs., tit. 10 §§ 2695.7 & 2695.8) have laws to prevent these bad faith practices by insurance companies, most of them have not stopped. Here are some of the most common ways they create issues or act in bad faith:
Denial of claims
Many insurance companies could deny a valid claim unreasonably or without proper investigation. This is most common with first-party claims, and the insurer could be guilty of bad faith when the insurer fails to focus on the right issues or is biased.
Some insurers intentionally misrepresent policy language after a claim to avoid paying a settlement. In Casper v. Guar. Tr. Life Ins. Co., 2016 COA 16, a Colorado court held that misrepresenting a policy’s language constituted valid evidence of insurer bad faith.
Lowball settlement offers
Repeated lowball settlement offers could also constitute bad faith dealings depending on the exact nature of the claim, policy, and state law.
But in whatever form, if you suspect an insurance company of intentionally acting dishonestly with your claim, you would need a lawyer to assess the situation carefully.
Cases involving commercial vehicles or government entities
Handling an accident with commercial and government vehicles is very different. With commercial vehicles, you'll likely have to deal with the driver's employer, who will then refer you to their insurer. It can also become more complicated if the driver's employer is only leasing the truck, and the truck owner is the one with the insurance.
With government vehicles, the entity that owns the car will be liable to you if its driver is responsible for the accident. However, they may not be an insurer to talk to, and you may have to institute legal proceedings immediately.
Quickly deciding on and pursuing a course of action is essential here because the statute of limitations is often different and shorter for commencing legal action.
Contact the Accident Helpers
Having a lawyer to help you out in a car accident that you are not responsible for is very important. Not only can they provide the support you deserve during that challenging time, but they can also ensure you remain compliant with the law, negotiate with the insurance company on your behalf, and ensure you get the best possible settlement.
Lawyers are a necessity for accidents you were not responsible for. Without one, you could fall victim to the schemes of insurance companies. And generally, the sooner you get a lawyer to help you the better.
Here at The Accident Helpers, we can help you get the settlement you deserve by connecting you to the best car accident lawyers in your area. All you have to do is schedule a free consultation with us to discuss your situation, and we’ll get to helping you right away.
