Insurance Policy Limits and How They Impact Your Injury Claim

Home
Blog
Insurance Policy Limits and How They Impact Your Injury Claim

Posted on behalf of Jeff Pitman on August 2, 2022 in Car Accidents
Updated on April 24, 2024

crash damages exceed policy limits Car insurance helps to protect you if someone else causes a crash and injures you in the process. Like most states, Wisconsin requires all drivers to carry at least the minimum amount of coverage. However, who pays if your damages exceed the at-fault driver’s policy limits?

If another person caused your crash, you should not have to pay for the damages. At PKSD, we are dedicated to protecting the legal rights of injured victims. Our Milwaukee-based car accident lawyers always fight for maximum compensation.

If your crash damages exceed policy limits, you may have other legal options available to you. Call today to learn more.

Submit your request for a FREE case review or call 414-333-3333 .

What Are Insurance Policy Limits?

Like other states, Wisconsin has minimum insurance requirements. If you have a car, you must meet these requirements to operate your vehicle legally. Insurance policies are important because they protect drivers from having to shell out money for the damages they cause. They also protect the victims injured because of another driver’s negligence.

However, every policy has set limits. Policyholders determine these limits, which are based on the amount of coverage purchased. The limits also legally set the maximum amount the insurance company must pay if an accident occurs.

How Do Policy Limits Apply to an Injured Victim’s Claim?

Here is an example of how insurance limits may apply to a claim. Say that a driver only buys Wisconsin’s minimum bodily injury coverage of $50,000. This same driver causes you to crash, and you suffer $75,000 in damages as a result. That is $25,000 more than the at-fault driver’s policy limits. Despite your damages, the insurance company does not have to pay you more than the at-fault driver’s $50,000 policy.

How Do I Find Out What the At-Fault Driver’s Policy Limits Are?

You could ask the other driver to reveal his or her policy limits. However, the liable insurance company may have told their policyholder not to disclose this information. The insurance company has no obligation to give you those details.

As the claim proceeds, however, the litigation process will reveal the limits in time. Your attorney may also request the limits in a demand letter.

Can I Sue the At-Fault Driver for My Remaining Damages?

Legally, you are within your rights to sue the at-fault driver personally for the remaining losses he or she caused. However, if the insured driver only carries the minimum insurance limits, they probably do not have many assets.

Why You May Not Want to Sue the At-Fault Driver

Lawsuits are expensive for all involved. Pursuing an at-fault party personally costs you valuable time and money. Even if you are awarded anything by the jury, collecting those funds could be difficult, if not impossible. Wisconsin has laws that exempt certain types of property from being seized. For instance, the insured’s primary home and vehicle are both exempt.

This option is something you should discuss further with your attorney. At PKSD, you can discuss your situation with one of our qualified attorneys. There is no risk or cost for this free and confidential initial review of your case.

What if My Damages Exceed Policy Limits of the At-Fault Driver?

If your losses exceed the at-fault driver’s insurance limits, you may still have options for recovering compensation, including:

Other Liable Parties Involved in the Crash

If there are multiple parties who were liable for the crash, you may be able to recover compensation from more than one policy. However it is important to point out that each party is only responsible for his or her percentage of damages.

An Available Umbrella Policy

If the at-fault driver has an umbrella policy, you may be able to recover some additional compensation from this source. However, this coverage is only an option if your damages exceed the driver’s auto insurance policy.

Multiple Car Insurance Policies for the At-Fault Driver

Sometimes an at-fault driver may own multiple vehicles and therefore, multiple insurance policies. Since Wisconsin is a state that allows stacking, you may be able to recover additional compensation in this way.

Using Your Uninsured/Underinsured Motorist Coverage

Wisconsin requires all drivers to purchase the minimum amount of uninsured motorist coverage. Even if you only have the minimum limits, you may be able to recover some of your excess damages under your own policy.

Call PKSD to Discuss Your Legal Options

After any accident caused by another’s negligence, we strongly recommend that you seek legal help as soon as possible.

The attorneys at PKSD have extensive experience and are dedicated to helping the injured. If your damages exceed the available insurance, we are prepared to investigate all sources of available compensation. Find out what your legal options are at no cost or obligation to you.

If you pursue a claim and choose our firm to represent you, there are no upfront costs to pay. We only get paid if we win your case through a settlement or jury-awarded verdict.

Experienced Lawyers. Millions Recovered. 414-333-3333

Car Accidents News

Roundabouts improve traffic efficiency and safety but can also be tricky for drivers who are confused about how to navigate through them. Below, we talk about the rules for driving through these intersections and how to avoid the common errors that could increase your risk of a crash. Table of...

If you sustained injuries in a car crash, healing and getting back to your life is a priority. Unfortunately, the reality of medical bills and other costs may be pushing you to return to work too quickly. You might even feel your employer is pressuring you to come back. The...

Airbags add a vital layer of protection during a car crash, but what if something goes wrong? If you get injured when your airbag deploys, you may wonder if you have a valid claim for compensation. Below, our PKSD attorneys explain more about airbags, including the types of injuries that...

Injured in a collision caused by the negligence of another driver? If so, it is important to begin protecting your potential claim from the moment the crash occurs. While you must give responding officers an honest account of what happened, there are seven things you should never say after a...

Getting behind the wheel and driving while tired is a bad idea. Yet many people do it regardless of the significant risk of causing an accident. The NHTSA reports over 100,000 drowsy driving crashes every year, and approximately 1,550 deaths. Tragically, most of these collisions could likely have been prevented....

After a traffic accident, we often think about the physical damage victims may experience. However, many car crash survivors may also have intense mental effects after this experience. Victims may suffer in silence and not really know what is causing their symptoms. PKSD Law Firm talks about the mental trauma...

In the bustling city of Milwaukee, the roar of engines and blur of traffic are part of daily life. As a commuter, it is inevitable that you may sometimes need to take split-second evasive driving action to avoid a crash. At PKSD, we explain why evasive driving skills are essential....

In Wisconsin, bicycles are considered vehicles. As such, cyclists are subject to many of the same rules as drivers of motor vehicles. This includes obeying traffic laws, such as stopping at signals and yielding the right of way. However, there is often confusion about biking while under the influence in...

Bad weather does not get a driver off the hook for negligence, even if severe conditions, like heavy rain, cause a crash. Determining fault is rarely straightforward, but bad weather always increases the risk of a traffic accident. Additionally, drivers who get behind the wheel despite extreme rainy weather still...

There are numerous reasons why you may feel pain in your legs after a car crash, from broken bones and ligament damage to blood clots. While some of these injuries just need time to heal, others could be life-threatening if you do not get immediate treatment. PKSD’s experienced Milwaukee-based auto...

Milwaukee has a long history of being a dangerous city to drive through. With this in mind, it may not surprise you that the 14 deadliest intersections in Wisconsin are all in Milwaukee. A most recent round of serious traffic accidents resulted in the death of six victims, including a...

When seeking compensation for damages due to a negligent driver, there are critical factors that influence your car crash claim value. Below, PKSD discusses the top factors that can have a positive or negative impact on the value of your car crash claim. Need a car crash attorney? Our legal...

Wisconsin, as a state, has among the highest number of illegal street racing incidents in the country. Street racing has been on the rise since the onset of the pandemic. In part, that was due fewer cars on the road. It may also be because there were a lot of...