Some people ask themselves if they should really sue because someone injured them even when they know that the insurance company will pay for the losses. Insurance companies do want to pay claims easily but when their customers are liable for your injury and it is proven, they expect to pay losses. In the state of Kentucky, built-in protection against a weak claim is in effect and should alleviate any anxiety you may feel about bringing a lawsuit.
Kentucky is a No-fault Insurance State
Kentucky is a “no-fault” state when it comes to auto insurance. In most auto accidents, Kentucky requires injured people to seek compensation from their own insurance coverage instead of filing a lawsuit in court. In order to file a Kentucky lawsuit, you must have exceeded your personal injury protection (PIP) benefits from your motor vehicle policy which includes coverage to pay the first $10,000 of your medical bills and lost wages in the event you are in a car accident. These benefits are available to you even if an accident is your fault and have suffered a “serious injury.” This means that usually your right to sue someone for causing your injuries is already limited to those threshold instances set by the state. In order to sue in most motor vehicle cases, you must incur at least $1,000 in medical expenses or you must suffer a fractured bone, loss of a bodily function, disfigurement, loss of a body member, a permanent injury, or death.
What is an Insurance Risk Assessment?
Insurance companies use a methodology called risk assessment to calculate premium rates for policyholders. Using software that computes a predetermined algorithm, insurance underwriters gauge the risk that you may file a claim against your policy. The risk analysis is somewhat similar to the analysis undertaken by a bank when it offers a homeowner a mortgage. With auto insurance, an applicant is asked a variety of questions related to his or her vehicle, age, gender, the names of other drivers for the vehicle, and location in order to determine the premium to be charged.
Prior History and Lifestyle
An applicant’s prior history and lifestyle is critical no matter what kind of liability coverage he or she is applying for…
- Frequent car accidents
- Bad credit score
- Drives lots of miles to work
- Has had a DUI
- Living in a high-crime area
- Living in a densely populated city
- Driving a high-performance vehicle
A higher premium will be charged for any of these conditions
The decision to sue after a car accident is not an act of hostility or opportunity. It is a legal means of getting compensation for the damage that the other person caused. You should never have to pay the price for someone else’s negligence. When you sue somebody that is insured for personal injuries, the insurance company has accounted for that possibility and charged him or her, as well as all of it other insured consumers, a premium that will allow it to pay for your losses. In order for you to understand your rights and responsibilities after an accident, it is important to consult with an attorney before you talk to the other driver’s insurance company or attorney.
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About Grubbs & Landry
At Grubbs & Landry, PLLC, we are dedicated to personal and friendly service. We manage our practice in an ethical, cost-effective manner to best help our clients resolve their legal issues with the least expense possible. We pride ourselves in advocating for our client in divorce, child custody, and child support matters as well as other family law matters. We are active in prosecuting personal injury cases-recovering for the injuries our clients sustain due to the negligence of others. Additionally, we help our clients prepare for the future through the preparation of Wills, Power of Attorney and Living Will.
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