How to Handle a Personal Injury Claim if the At-Fault Party is Uninsured or Underinsured

Being injured in an accident is difficult enough, but discovering the at-fault party has little or no insurance can add significant stress to your recovery. In Texas, where approximately 20% of drivers are uninsured, knowing how to protect yourself in these situations is essential.

Understanding Texas Insurance Requirements

Texas law requires drivers to carry minimum liability coverage of:

• $30,000 for bodily injury per person
• $60,000 for bodily injury per accident
• $25,000 for property damage

Unfortunately, these minimums are often insufficient for serious accidents, and many drivers ignore these requirements altogether. This leaves accident victims facing difficult choices about how to recover damages.

First Steps After an Accident with an Uninsured/Underinsured Party

1. Immediately after the Accident: Call the police and file a report to create an official record, seek medical attention right away, and document everything by taking photos of the scene and gathering witness information.
2. Protect Your Financial Interests: Never accept cash offers from uninsured drivers, as these are typically insufficient to cover your damages. Instead, contact an experienced personal injury attorney who can identify all possible compensation sources.
3. Review Your Insurance Coverage: Check if you have Uninsured/Underinsured Motorist Coverage (UM/UIM), Personal Injury Protection (PIP), MedPay, or health insurance that can help cover your expenses. While not mandatory in Texas, UM/UIM coverage is particularly valuable as it steps in when the at-fault party has insufficient or no insurance.

Legal Recovery Options When the At-Fault Party is Uninsured

When dealing with an uninsured or underinsured driver, you still have several legal options to pursue compensation:

1. Direct Claims and Lawsuits: The at-fault party remains personally liable even without insurance. Your attorney can help file a lawsuit against them, obtain a judgment for your damages, and explore collection options such as wage garnishment or property liens.
2. Third-Party Liability Claims: In some cases, other parties may share responsibility, including vehicle owners (if different from the driver), employers (if the driver was working), businesses (in commercial vehicle accidents), government entities (for road design issues), or product manufacturers (if vehicle defects contributed).
3. Insurance Company Negotiations: When using your insurance coverage, you may face resistance from your insurer to pay the full value of your claim. An experienced attorney can negotiate effectively and handle subrogation claims from health insurance or other providers.

Common Challenges and How an Attorney Can Help

Collecting compensation from uninsured drivers presents unique challenges. Many lack significant assets, making it difficult to collect judgments. Additionally, you must be aware of Texas’s two-year statute of limitations for filing lawsuits, though insurance claim deadlines may be much shorter.

An experienced personal injury attorney can provide crucial assistance by identifying all possible compensation sources, properly valuing your claim (including future medical needs), negotiating with insurance companies, pursuing necessary litigation, and handling complex subrogation issues.

If you’ve been injured by an uninsured or underinsured party in Texas, don’t face this complex situation alone. Contact David Sanchez Law Group, PLLC at (972) 529-3476 for a consultation. Our team will help you navigate the challenges and pursue maximum compensation for your injuries.