A report published by the Insurance Information Institute shows that over 12.9% of Virginia drivers regularly operate their vehicles without any liability insurance, and many insured drivers do not carry more than the minimum coverage required by state law. In other words, there is a very real possibility that you may be injured in a crash caused by someone who does not have ample insurance to cover your losses, which often include medical bills, lost wages, pain and suffering, and property damage arising from the incident.
You could also be the unintended victim of a car being used without the owner’s permission, an uninsured farm vehicle sitting out in the roadway, or an accident caused by the driver of a stolen vehicle. For these reasons, your personal liability insurance policy incorporates coverage for losses caused by underinsured or uninsured motorists. Unless you expressly waive it, this coverage is built into your policy and permits you to pursue a claim for damages through your own insurer. After your insurance company pays your injury claim, it will then bring legal action in an effort to recoup its losses from the under or uninsured driver who caused your accident.
At Shapiro, Washburn & Sharp, our dedicated Virginia Beach car accident attorneys are here to explain your legal options and help you recover full and fair financial compensation after a car crash. Call us today to schedule your free legal consultation.
UM and UIM Coverage in Virginia Before July 2023
Until July 2023, if you were involved in a collision due to the negligence of an underinsured driver, your insurance company could basically decrease your level of Uninsured Motorist coverage by claiming a credit against your policy equal to the liability limits carried by the underinsured driver. For instance, your accident may have been caused by an underinsured driver who only carried the minimum coverage of $30,000 per individual and $60,000 per incident (30/60 coverage).
For example, let’s say that you carry a UIM policy of $50,000 per individual and $100,000 per incident. If the negligent driver had a 30/60 policy, your insurance carrier would likely treat that as a credit, leaving you with just 20/40 in supplemental coverage. Simply put, the most you would be able to recover would be the equivalent of your 50/100 limits, not 80/160. Drivers were not allowed to stack both policies in order to achieve 80/160 coverage. If your damages totaled over $50,000, you would be on the hook for a balance due that your insurance company did not have to pay.
UM and UIM Coverage in Virginia After July 2023
According to a law that was enacted in July 2023, Virginia drivers are now able to stack the liability coverage of the UIM driver who caused their accident with their policy’s UIM coverage limits. Referencing the above example, the driver would then have 80/160 coverage available to them if their damage claim involves costly hospital bills or other serious damages.
It is, however, worth mentioning that all insurers are for-profit companies that were created for the sole purpose of making a profit for their shareholders. This means that both your auto insurance company and the at-fault driver’s insurance company could become adversarial and stop at nothing to deny, devalue, or dispute your Underinsured Motorist claim. In these cases, it is in your best interests to consult with a skilled Virginia Beach car accident attorney to ensure you are adequately compensated for your losses.
Can I Opt Out of Purchasing UM/UIM Coverage?
Any auto insurance policy that was renewed or issued after July 1, 2023, in Virginia will include stackable Underinsured Motorist coverage unless the policyholder opts out of the coverage entirely. Your insurer may even try to persuade you to opt out of this coverage so that, in the event of an accident with an underinsured driver, it won’t be liable for any high-damage claims that would impact their employer’s bottom line.
Your insurance company may indicate that your monthly premiums will be lower if you forego UM/UIM coverage. Unfortunately, the money you will save in decreased premiums is comparatively small. By paying a little extra every month, you can maintain essential UM/UIM insurance coverage that stacks with the other motorists’ insurance, giving you essentially twice as much coverage to draw from should you be severely injured in a motor vehicle crash.
Are Car Crash Injuries Often Expensive?
Victims of serious collisions, particularly those in which a tractor-trailer or other oversized commercial vehicle collides with a passenger vehicle, can experience severe injuries, such as:
- Whiplash
- Crushed or broken bones
- Disfigurement, scarring, and lacerations
- Blindness or ocular injuries
- Damage to the spinal cord
- Traumatic brain injury
- Paralysis
These injuries are serious enough to keep victims from returning to work for a considerable time or, in some cases, for the rest of their lives. Injured parties might also need hospitalization, surgery, costly long-term treatment, assistive equipment, home nursing care, rehabilitation, and physical therapy. Since medical care expenses can quickly become unmanageable, the insurance coverage you acquire by carrying stackable Underinsured Motorists insurance is worth paying the slightly higher premiums. If, after a serious car accident, you lack adequate coverage for your damages your only legal alternative will be to file a lawsuit against the at-fault driver for the balance your insurance will not cover. Doing so is time-consuming, tiresome, complicated, and expensive.
All We Do Is Injury Law
If you were involved in a car crash that was caused by an underinsured driver, you need to know your rights and understand your legal options before you try to pursue financial compensation. Although personal injury cases involving uninsured and underinsured drivers are usually quite complicated, the Virginia Beach car accident attorneys from Shapiro, Washburn & Sharp have over 100 combined years of experience litigating with insurance companies.
“In a recent case, our team won a $150,000 verdict for our client whose pre-existing medical condition was severely aggravated in a car accident. The insurance company continuously denied fair financial compensation by claiming his injuries were unrelated to the crash, but we were able to prove that the incident worsened his condition and successfully persuaded the jury to award him the money he was entitled to.
Since 1985, the personal injury law firm of Shapiro, Washburn & Sharp has been helping injured car accident victims across Virginia Beach, Hampton, Portsmouth, and Norfolk. We understand the tremendous emotional, economic, and physical impacts a serious car accident can have on your life both immediately and in the long run. To schedule your free legal consultation, call (833) 997-1774 or fill out the contact form on our website.
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For over twenty years, Mr. Sharp's law practice has focused on serious personal injury claims, including traumatic brain injury and spinal cord injury claims. He also handles nursing home neglect cases and medical malpractice claims. Mr. Sharp has counseled numerous clients about the complexities concerning litigation of both pediatric and adult brain injury. Mr. Sharp has been awarded the AV Preeminent ranking by Martindale, the highly respected and widely utilized directory of lawyers throughout the world. AV Preeminent status is awarded only to those lawyers who achieve the highest level of success within the legal field and is a testament to the fact that a lawyer's peers and Judges rank him at the highest level of professional excellence. He has also been recognized as a "Best Lawyer" by U.S. News for personal injury, an accolade awarded to only a small fraction of lawyers. Mr. Sharp has also been recognized by Super Lawyers as one of the top personal injury lawyers in Virginia. This recognition is awarded only to those lawyers who have achieved the highest level of success and have been recognized by their peers as demonstrating the highest level of professional excellence.
