Filing an Uninsured Motorist Claim
The law requires all motorists to have insurance if they drive a car on New Jersey’s roadways. However, not everyone follows the law.
Many people drive without insurance. New Jersey’s uninsured motorist rate sits at roughly 14%. This means that approximately 1 in 7 drivers have no auto insurance.
While this rate is not as high as some other states, it is still a concerning statistic. If you drive often, you have a high risk of being involved in an accident with an uninsured driver.
Dealing with the aftermath of an accident is hard enough when all parties involved have adequate insurance. When one party is uninsured or underinsured, filing a claim and getting adequate compensation for all your damages can be frustrating. Here is what you need to know about filing an uninsured motorist claim in New Jersey.
Coverage and Claims
Uninsured motorist (UM) coverage applies when the at-fault driver has no insurance at all. Underinsured motorist (UIM) coverage, on the other hand, comes into play when the at-fault driver has insurance, but their policy limits aren’t enough to fully cover your damages.
If you carry a standard policy in New Jersey, your own insurance company may cover damage to your vehicle in situations involving:
- A driver or entity with no liability insurance.
- A driver whose insurer denies coverage for the accident.
- A driver whose policy limits are too low to fully compensate you.
There are a few key points to keep in mind. First, you can only recover UIM benefits if your coverage limits are higher than the at-fault driver’s liability limits. Second, all UM and UIM property damage claims typically require you to pay a $500 deductible.
If you only have a basic policy, you will not have coverage for vehicle damage caused by uninsured or underinsured drivers. For those with UM/UIM property damage coverage, the minimum limit is $5,000, though higher limits can be purchased. However, your UM/UIM limits can never exceed your own liability coverage limits.
When you file a UM or UIM claim, your insurance company essentially steps into the shoes of the at-fault driver. This means they will only pay if that driver is legally responsible for the accident. Under New Jersey’s comparative negligence law, you can recover damages only if your share of fault does not exceed that of the other party. If you are partially at fault, your compensation may be reduced by your percentage of responsibility.
You will need proof that the other driver was uninsured. A police report, insurance verification, or documentation showing a denial of coverage is typically required, especially in hit-and-run cases. If the other driver’s insurance denies the claim, your UM coverage may apply, even if that driver technically had a policy.
Contact a New Jersey Personal Injury Lawyer Today
Cases involving underinsured motorists can be complex. A Morristown uninsured & underinsured motorist attorney from The Law Offices of Michael P. Burakoff will work not only with your own insurance provider but the at-fault party’s insurance provider as well. Schedule a consultation with our office today by filling out the online form or calling (973) 455-1567.
Source:
nj.gov/dobi/ins_ombudsman/wysk3.htm
