When you buy auto insurance consider what actually happens if you’re in an accident.  Here are a few basic steps you need to know when there are injuries in an auto accident.

graphic of car accidentIf you cause an accident you are financially responsible for the victim’s medical bills. Do not admit fault in the accident, your insurance company will do an investigation and determine fault. You are required by law to buy minimum limits of liability coverage that will help pay for the victims’ damages. The minimum limits might not be sufficient, that is why it is so important to weigh the potential exposure to your personal net worth when you are deciding how much liability coverage to buy.

The person who caused the accident is financially responsible for the medical bills, but if someone doesn’t have insurance it may be difficult to recover any damages. Uninsured/underinsured motorists coverage acts as a liability policy from your own insurance company. It can help pay for your injuries caused by an un/underinsured driver.

Things to consider regarding medical payments coverage:

  • May cover health insurance co-payments and deductibles.
  • May cover treatments excluded by health insurance.
  • Convenience of having your own auto insurance company pay medical bills while you work out a final settlement with an at-fault driver.
  • If you don’t have health insurance it can pay for your medical bills even when you cause the accident.

What NOT to do after an accident:

  • Move any injured persons.
  • Apologize for the accident.
  • Tell any party how much insurance you carry.
  • Accept any money. If you do, you forfeit your right to file a claim.
  • Agree to forget about the accident. Later on, the other person may file a lawsuit against you.