Houston, TX, August 25, 2011 --(PR.com
)-- It’s likely most drivers assume that if they are on the road and get hit by another car, they’re entitled to compensation for all of the damages they incur as a result of the accident. But the reality is much more complicated than that, according to a new FAQ by the writers at OnlineAutoInsurance.com.
The latest FAQ deals with how car insurance claims are handled when one party is not 100 percent at fault for an accident.
For example, if Driver A is 45 percent at fault for a crash and Driver B is 55 percent at fault, how much can each collect from the other’s insurer? The answer to this question is largely dependent on which state the crash happened in and, more specifically, which of the three main fault systems that particular state uses.
The least common system is called “contributory negligence.” In this system, a party that helps cause the accident through its actions may not be able to successfully collect any money for damages. So in the Driver A/Driver B scenario, neither would be able to get compensation from the other’s insurer because both contributed to the crash.
In contrast, claims paid out for auto insurance in Texas
and 32 other states would allow payment to Driver A only. Under the “modified comparative fault” systems in place in these states, only one of the two parties—the one who was less responsible for the accident—would be able to collect. For accidents, like our hypothetical, in which Driver B bears the majority of fault for the accident, he or she would not be able to collect anything. Driver A, meanwhile, would be entitled to compensation for 55 percent of his or her damages.
There are different variations of modified comparative fault, and it can lead to some unfortunate situations. In some states, if two parties are each 50 percent at fault, neither can collect damages from the other’s insurer because neither was more at fault than the other.
On the other hand, 13 states would allow both Driver A and Driver B to collect for damages from the other’s insurance company based on the proportions of fault. This is known as “pure comparative fault.” In this system, Driver A would be able to seek compensation for up to 55 percent of his or her damages, while Driver B would be able to seek compensation for up to 45 percent of his or her damages.
To read more about this and other car insurance issues, readers can go to http://www.onlineautoinsurance.com/texas/
where they will find informative resource pages.
To access the full FAQ, visitors can follow the “Questions” link located at the top of any page on the site.