Usually, the insurance company of the responsible driver covers the cost of repairs to the damage.
Most drivers purchase liability insurance.
That covers the damages in the vehicle of a 2nd party, if the policyholder happens to cause an accident. However, it only pays up to the amount that has been stated as the policy’s limit. That is why smart drivers make a point of purchasing an underinsured driver’s option, as per Accident Lawyer in Waterloo.
Times when collision coverage might be used
That might be used if the defendant did not carry insurance, and the claimant did not carry an uninsured motorist option. Like liability insurance, collision coverage only pays up to the limit that has been stated in the policy.The policyholder must pay the deductible, before the insurance company covers whatever costs remain.
Another option for the owner of the damaged vehicle
All car owners and policyholders have the right to pay out-of-pocket for any amount of damage. Normally, that payment is made with the understanding that the insurance company will reimburse the policyholder.
The policyholder must give the insurance company the bill from the service company that completed the repair job. Keep in mind the fact that the same insurance company has previously sent an agent to assess the value of the damage to the policyholder’s vehicle.
If the assessed value for the damage were less than the amount of money spent on repairs, then the adjuster might refuse to reimburse the policyholder for all of the money that came from his or her pocket. That is the danger that any policyholder should consider, before choosing to go with this particular option.
A second possible danger that has been linked to the choice of making an out-of-pocket payment relates to the chances for a delay in the delivery of the reimbursement. In that case, the adjuster might not quibble with the size of the payments for repairs, but instead could allege that the policyholder was partly responsible for the collision.
No claimant should automatically accept such an allegation. Instead, he or she should consider hiring a lawyer. A lawyer would know how to fight such an allegation. Moreover, a lawyer’s experience could be used to discover any other damages, which have not yet been reported. For instance, maybe an occupant of the damaged vehicle is experiencing some delayed symptoms. That fact could be used to counter the adjuster’s allegations.
It could be that the potentially injured occupant was a minor. In that case, the court could be asked for an extension of the deadline, as stated in the statute of limitations. That possibility highlights yet another reason that any claimant should think seriously about hiring a personal injury attorney.