Your auto insurance policy will include a declaration page which provides an overview and summary of the coverages, limits, and deductibles provided by your policy. It will also provide specific details regarding the coverage, such as the name and address of both the policy holder and the insurance carrier, along with information on how to contact the insurance carrier for questions or for filing a claim.
For purposes of this discussion, I will focus on the coverages most often utilized as a result of an auto accident, which are as follows:
Bodily Injury Coverage
Bodily injury is a liability coverage that protects you in the event you cause an accident in which another party or parties is injured. It provides coverage for the damages for which you are legally liable and will provide a legal defense should a lawsuit commence.
Bodily injury coverage is mandatory in New York and the state minimum is $25,000/$50,000. This means if you caused an accident resulting in injuries to another party or parties the maximum that the policy would pay out is $25,000 per person and $50,000 per accident, regardless of the number of injured parties.
Collision coverage assists in paying to repair or replace your vehicle after an accident. The maximum pay out for the repairs or replacement is the vehicle’s actual cash value minus the deductible as outlined in your declarations page.
A deductible is the portion of a loss which you are responsible for and agree to pay out of pocket when filing an insurance claim before an insurance company will issue payment.
No-Fault/Personal Injury Protection
No-Fault or Personal Injury Protection (PIP) is a mandatory coverage that pays for the reasonable and necessary medical expenses and lost wages for covered parties for treatment due to injuries sustained in an automobile accident. This coverage applies regardless of whether or not you are responsible for the accident and includes passengers in your vehicle or even pedestrians injured by your vehicle during an automobile accident.
PIP coverage provides up to $50,000 for medical bills, increased household expenses such as house keeping or transportation ($25/day for up to one year), 80% of lost earnings up to $2,000 a month for 3 years, and a $2,000 death benefit.
Property Damage Liability Coverage
Property damage protects you in the event you are held liable for damaging someone else’s property in an auto accident. It will help to reimburse the party for their damaged property. Property damage liability coverage is mandatory in New York and the state minimum is $10,000. Again, as with bodily injury liability coverage, it will provide a legal defense should a lawsuit arise from the covered loss.
Uninsured/Underinsured Motorist Coverage
Uninsured (UM) and Underinsured (UIM) coverages protects you and the passengers in your car if you are injured in an accident due the negligence of someone who is either uninsured or does not have enough liability insurance to provide ample insurance to pay for your damages. UM/UIM coverage is mandatory in New York and the state minimum limits are $25,000/$50,000, $25,000 per person with a maximum of $50,000 per loss.
Contact Schwartzapfel Lawyers P.C. After Your Motor Vehicle Accident
Being involved in an automobile accident is often a traumatic experience, and it can be made much worse if you are struggling to obtain compensation for injuries and/or property damage. For experienced, aggressive legal representation, contact the attorneys at Schwartzapfel Lawyers P.C. Our attorneys have over 150 years of combined experience and have helped many clients obtain the money and benefits they deserve after an auto accident. To get started, contact us online or call us at 1-888-575-6410.