The time after an accident is stressful. Whose fault is it? How are you going to pay for medical bills and damages? What if someone is suing you for damages that exceed your insurance coverage? This situation can feel overwhelming, especially if you’re already dealing with the emotional toll of the accident. You need to enlist the help of a strong personal injury lawyer who can take the burden off your shoulders and manage a complicated claim.
Whether it’s a motor vehicle accident or another type of incident resulting in injuries and other losses, a personal injury attorney who understands what happens when insurance falls short is a valuable advocate. You don’t have to face this challenge alone. Wilshire Law Firm is here to help you navigate the complexities of insurance claims and ensure you’re protected.
Our skilled legal team can evaluate how liability impacts your situation, knows what to do if someone sues you for more than your insurance covers, will fight to secure justice and compensation for you.
How Does Insurance Coverage Work in California?
Insurance is designed to protect you financially in case of an accident, but every policy has its limits. In California, drivers must carry minimum liability coverage, which includes:
- $15,000 for injury or death to one person
- $30,000 for injury or death to more than one person
- $5,000 for property damage
This is the bare minimum required by law, and many drivers opt for higher coverage to safeguard themselves. However, accidents, especially those involving trucks or motorcycles, can result in severe injuries or property damage that exceed these limits. You may be liable for the remaining balance if your insurance doesn’t cover the full amount.
For example, let’s say you were involved in a car accident, and the injured party is seeking $100,000 in damages. If your policy only covers $30,000, the injured party could pursue legal action to recover the remaining $70,000 directly from you.
Understanding Liability in California
California follows a fault-based system for car accidents, meaning the driver responsible for causing the accident is liable for the damages. Liability can extend beyond just car accidents. Truck and motorcycle accidents also follow these rules. If you’re being sued for more than your insurance covers, the injured party believes you bear full or partial responsibility for the crash.
At Wilshire Law Firm, we understand how confusing and stressful these situations can be. The key to minimizing your financial risk is having a strong defense that reduces or eliminates your liability. Our billion-dollar team has experience building a solid case to ensure you are not held responsible for more than your fair share.
Uninsured or Underinsured Motorist Claims
If you’re the injured party in a car, truck, or motorcycle accident and the at-fault driver doesn’t have enough insurance to cover your damages, you can file a claim under your own uninsured or underinsured motorist policy (UM/UIM). This coverage kicks in when the other driver’s insurance is insufficient or nonexistent.
Wilshire Law Firm will take the lead in dealing with your insurance company to make sure you receive the compensation you deserve. Our relentless attorneys are known for standing up to insurers and fighting for full, fair, and complete compensation for our clients.
What Other Types of Accidents Involve Insufficient Insurance Coverage?
While automobile accidents are common, other incidents can also lead to situations where the available insurance isn’t enough to cover the damages,
- Slip and Fall Accidents: A property owner’s insurance may not always cover the full extent of your injuries, especially if your medical expenses and lost wages are substantial. In cases where insurance coverage falls short, our premises liability lawyers will aggressively pursue compensation from all possible sources.
- Bicycle or Pedestrian Accidents: Cyclists and pedestrians are particularly vulnerable on the road, and accidents involving them often lead to serious injuries. If the at-fault party’s insurance coverage is minimal, you may need to file a claim with your own insurer or pursue other legal options.
- Product Liability Cases: In some instances, defective products can cause severe injuries, and the manufacturer’s insurance might not fully cover your damages. This is where the expertise of our product liability attorneys at Wilshire Law Firm can make a significant difference.
What Happens if Someone Sues You for More Than Your Coverage?
You may face a lawsuit for the uncovered amount when damages exceed your policy limits. The injured party could attempt to seize your personal assets, which may include:
- Savings accounts
- Wages (via wage garnishment)
- Property (in extreme cases)
However, not all assets are at risk. California has certain protections in place, such as homestead exemptions, which protect the value of your home up to a certain amount. Some assets, like retirement accounts and Social Security benefits, are also typically shielded from lawsuits.
But don’t worry—we will help you understand what assets are protected and how to limit your financial exposure. Our skilled team will guide you through the legal process, ensuring you have the support you need.
How a Lawyer Can Help You When Insurance Isn’t Enough
Facing a lawsuit with insufficient insurance coverage is intimidating, but having the right legal representation can make all the difference. Wilshire Law Firm will take charge of your case, offering several benefits to help you through this challenging time:
Aggressive Negotiation with Insurance Companies
Insurance companies will often try to minimize payouts, but our team at Wilshire Law Firm won’t let that happen. We will help you get the maximum amount from your insurance policy, whether it’s through negotiation or litigation. If necessary, we will also investigate third-party claims, which could allow you to seek additional compensation from other liable parties.
Limiting Your Liability
In some cases, you may not be fully responsible for the accident. We will gather evidence, consult with accident reconstruction experts, and challenge the other party’s claims to ensure you are not liable for more than your fair share. California’s comparative negligence laws mean that if the other party was partially at fault, their compensation could be reduced based on their percentage of fault.
Protecting Your Personal Assets
We will also explore options to protect your personal assets if a lawsuit exceeds your policy limits. Our personal injury attorneys will develop strategies to defend you, such as contesting the damages claimed or seeking exemptions under California law. Wilshire Law Firm’s innovative, results-driven approach ensures we leave no stone unturned in protecting your financial future.
Exploring Additional Insurance Options
If you have an umbrella insurance policy, it may cover damages that exceed your auto insurance limits. These policies offer extra protection and can be a valuable resource in cases involving high-dollar claims. We will help you determine if you have umbrella coverage and work to maximize your benefits.
Special Considerations for Commercial Vehicles and High-Value Assets
When it comes to accidents involving commercial vehicles or high-net-worth individuals, the stakes are significantly higher. These cases often involve more severe injuries, financial liabilities, and complex legal challenges. The legal and financial implications can be overwhelming whether the accident involves a large commercial truck or a driver with substantial personal assets.
Commercial Vehicle Accidents
Accidents involving commercial vehicles—such as delivery trucks, tractor-trailers, or corporate fleet vehicles—present a distinct set of challenges. These vehicles are larger and heavier and often cause more serious damage in collisions than regular passenger cars. As a result, claims involving commercial vehicles typically involve higher medical bills, more severe property damage, and, often, multiple parties.
In commercial vehicle accidents, it’s not just the driver who can be held responsible. Employers, vehicle manufacturers, and even maintenance providers may share liability. These cases often involve:
- Vicarious Liability: Employers can be held responsible for the actions of their employees under the legal doctrine of vicarious liability. If a truck driver was on duty or acting within the scope of their employment at the time of the accident, the employer’s insurance policy may come into play.
- Negligent Hiring or Supervision: Employers are required to ensure that their drivers are properly trained and licensed. If a company fails to adequately vet or supervise its drivers, they may be held accountable for any accidents caused by their employees.
- Faulty Equipment or Maintenance: Sometimes, poor maintenance or defective parts can contribute to commercial vehicle accidents. For example, the maintenance company or vehicle manufacturer could share liability if a truck’s brakes fail.
At Wilshire Law Firm, our truck accident lawyers take a comprehensive approach to investigating commercial vehicle accidents. We will help you identify all responsible parties and pursue compensation from every available source, whether the employer, manufacturer, or another third party. Our relentless pursuit of justice ensures you receive the compensation you deserve, even in complex, multi-party cases.
Higher Insurance Limits and Increased Risk
Commercial vehicles are required by law to carry higher insurance limits than personal vehicles. Federal regulations mandate that commercial trucks carry at least $750,000 in liability coverage, and many trucking companies carry policies worth millions. While this may seem like ample coverage, the reality is that the damages in a commercial vehicle accident can quickly exceed these limits—particularly if multiple people are injured or if there are fatalities.
Regulatory Compliance and Legal Requirements
Commercial vehicle accidents also involve a complex web of federal and state regulations. For instance, truck drivers must comply with hours-of-service rules, which limit how long they can drive without taking a break. Violations of these regulations can be a key factor in determining liability in an accident.
Our team at Wilshire Law Firm is highly knowledgeable about these regulations and how they can impact your case. Our attention to detail ensures that no regulatory violation goes unnoticed and that every opportunity to strengthen your case is pursued.
High-Net-Worth Individuals and Business Owners
For high-net-worth individuals and business owners, accidents carry the added risk of exposing personal or business assets to liability. When insurance coverage is insufficient, claimants may seek to recover damages from your personal or corporate assets, putting your financial future at risk.
High-net-worth individuals often carry umbrella insurance policies, which provide additional coverage beyond their auto insurance limits. These policies are designed to protect personal assets from being used to pay for damages in the event of a lawsuit. However, not everyone knows how these policies work, and many individuals may not have adequate coverage to protect themselves in a high-stakes accident.
For business owners, the stakes are even higher. An accident involving a company vehicle or an employee can expose personal and corporate assets to liability. This is particularly true if your business owns the vehicle involved in the accident or if the accident occurred while the employee acted within the scope of their employment.
In all of these high-dollar cases, Wilshire Law Firm is well-prepared to fight for the full, fair, and complete compensation our clients deserve. We are experienced in handling cases where insurance companies may attempt to minimize payouts, and we won’t back down until our clients are fully compensated for their injuries, lost wages, and other damages.
California Law and Statute of Limitations
In California, injured parties have up to two years from the date of the accident to file a personal injury lawsuit. If you’re facing a lawsuit, don’t wait—reach out to Wilshire Law Firm immediately. Time is of the essence in these cases, and the sooner we get involved, the better we can protect your rights and your future.
Facing a Lawsuit? Let Wilshire Law Firm Protect Your Rights
At Wilshire Law Firm, we understand how overwhelming it can feel to be sued for more than your insurance covers. Our relentless, compassionate, and results-driven team is here to fight for your rights.
We will provide you with a clear path forward, protect your assets, and ensure you don’t pay more than you should. Whether it’s through aggressive negotiations, legal defense, or finding additional coverage options, we will help you get through this.
Call our home office in Los Angeles at 213-335-2402 or contact us online. We serve clients in Los Angeles, Oakland, Riverside, Orange County, Fresno, San Jose, San Francisco, and throughout California.
