If you have been in an automobile accident, it’s likely that you have many questions about who is at fault and which insurance company will cover the damage to your car. After reading this blog post, you will have a better understanding of liability and how it affects post-accident expenses.
What Is Liability?
Liability refers to responsibility of one person or party for damages or loss caused by their actions. In the event of an accident, there are two types of liability: liability of the at-fault driver and liability of the at-fault vehicle. Each person involved in the accident is responsible for their part of the damage and expenses according to Car accident colorado.
For example, let’s say that John is driving in his car on the highway, and Heidi is riding in her car on the highway with her two children. John hits a pothole and crashes into the back of Heidi’s car at 50 miles per hour. The insurance company will only pick up John’s portion of the damages because he was driving when he crashed into Heidi’s car. The insurance company will not cover the damages to Heidi’s car because John was driving.
On the other hand, if Heidi was driving, she would have been responsible for all the damages, even if John was at fault. For example, if the children were in her car and the roof of her car was damaged from John’s crash, she would be responsible for the roof damage. In this case, she would be liable for all damages.
What is a Settlement?
A settlement is a monetary amount that an insurance company will pay to an injured party if they are found at fault. A settlement can be for two reasons:
Medical Expenses: The first is for medical expenses. If your injury requires medical attention, the insurance company will pay for your medical bills and any surgeries you may require. Your health insurance company will also likely be billed for these expenses.
Bodily Injury Set Aside: The second way an insurance company will settle a claim is by paying the bodily injury component of your claim up to your policy’s limits. If you are at fault, you are responsible for this portion of the damages as well.
What is the Collision Coverage?
Collision coverage is an insurance policy that pays for damages to a person’s car from an accident. If you are at fault, then your insurance company will cover the repairs to your car. If you are in an accident, you should call your collision coverage company and inquire about getting estimates for any necessary repairs.
