Underinsured policy limits

What is the name of your state? Texas

Hello, I'm new. My husband and I were in a car accident last month. The other party was totally at fault, no question about it. My husband's medical expenses will probably come out between $13,000 - $15,000. Mine will probably exceed $20,000. His policy limits are 20/40.

We have uninsured/underinsured coverage of 50/100. So far, we're trying to handle it without a lawyer. We have a few questions.

1. We read that to figure what a claim is "worth" adjusters multiply medical costs times 1.5 - 5 depending on certain factors, but all the examples I can find have the medical costs below $2000. Does the same formula apply when the medical costs are high?

2. If the answer to #1 is yes, then will our underinsured coverage pay any amount over the medical costs?

3. Do we have to convince two insurance companies what we think our claim is "worth"? Or will our insurance company go with what the other party's insurance company says?

I'm not sure what else I should be asking. Any advice would be appreciated. This whole business has us very worried. Thank you.

[I AM ALWAYS LIABLE]

Originally posted by BrokeDislocated
This whole business has us very worried. Thank you.

My response:

Then you should hire a Personal Injury attorney. These types of matters are not for the timid or the ignorant. Remember, the insurance company adjusters know the law. They do it for a living. You don't.

IAAL

Texas

Thank you for your reply. We have a lawyer who is consulting with us, we just don't know yet if we want to do the 30% contingency thing if there's a chance we can get through it without it. Do you know the answer to any of our questions? Does anyone out there? Thanks again.

[Juan Rodriguez]

You are putting the cart before the horse since you cannot settle your UIM claim without first settling your bodily injury liability claim with the adverse carrier. Therefore, your first question can't be answered until that occurs.

The answers to your third question are: a.) Yes. b.) Maybe.

IAAL gave you the best advice, get a Personal Injury Attorney.

Why jump the gun and get tied down to an attorney (+ fees) before you even know what your insurance co is going to pay?

Thank you. I was beginning to think this site was just for lawyers to get business for themselves and other lawyers by not answering questions that sincere, but confused people like me ask.

I'm not ruling out using a lawyer more than I am now ... as I may have said before, we are lucky to have a pre-paid legal plan as part of my husbands benefits package. The lawyers who participate in this plan will advise us all we want over the phone and even offered to write the demand letter for us when the time comes. The drawback is that it isn't always easy to get ahold of them and you don't always deal with the same lawyer. One of them talks a lot but doesn't always answer the question I ask, which is why I came to these boards to begin with.

I don't mean to be rude to those who suggested that I retain a lawyer, but I asked questions to get information and I was disappointed to only be told to get a lawyer at first. If anyone else out there has experience or knowledge that relates to my situation, I would appreciate other answers to my questions.

Thank you.

[stephenk]

Based on the limited facts you provided, your claims are easily worth the other guy's policy limit of $40,000 (20,000 each).

In order to collect on your UIM, you need to obtain the policy limits of the other guy. Anything less will not trigger your UIM coverage. Make sure you discuss that point with your lawyer when you make your demand.

And no, your insurance company does not have to agree with the value assessment of the other carrier. The other carrier is only concerned if your claims are worth more than their policy limit.

Your carrier may decide your cases are only worth what you have been paid by the other carrier or they may offer a few more bucks on top of what you been paid.

[I AM ALWAYS LIABLE]

Originally posted by stephenk
Based on the limited facts you provided, your claims are easily worth the other guy's policy limit of $40,000 (20,000 each).

In order to collect on your UIM, you need to obtain the policy limits of the other guy. Anything less will not trigger your UIM coverage. Make sure you discuss that point with your lawyer when you make your demand.

And no, your insurance company does not have to agree with the value assessment of the other carrier. The other carrier is only concerned if your claims are worth more than their policy limit.

Your carrier may decide your cases are only worth what you have been paid by the other carrier or they may offer a few more bucks on top of what you been paid.

My response:

. . . and, our writer's UIM won't even "kick in" unless her Underinsured Policy Limits are greater than the tortfeasor's liability policy limits. If our writer's UIM "limits" are equal to, or less than the tortfeasor's liability limits, then our writer will be out of luck.

IAAL