How Does Liability Insurance Work in Tennessee Automobile Accident Cases?

As Tennessee automobile accident lawyers the Law Offices of John Day, P.C. deals with automobile liability insurance policies on a daily basis.

Auto liability insurance (a) provides you will a lawyer in the event you are claimed to have caused a auto accident  and (b) provides you some dollar of insurance protection in the even that you are determined to have caused the accident and someone else is injured or killed .   Conversely, if you are injured in a wreck because of the fault of another driver.  the liability insurance he or she has purchased will be the typical source of any financial recovery you can make for your medical bills, loss of income, and other damages recognized under Tennessee law.

 In Tennessee, all drivers are required to carry a minimum amount of automobile liability  insurance, specifically $25,000 per person with a cap of $50,000 for each wreck.  This is usually expressed as a "25/50" policy.

If two people are injured in a wreck, and the at-fault driver has minimum insurance policy limits, generally speaking the most the insurance company could ever have to pay on behalf of the at-fault driver is $25,000 to each person. If three people are injured in a wreck and the person at fault has minimum limits of 25/50, the insurance company generally will not have to pay more than $50,000 to all three people combined, and each person cannot recover any more than $25,000.

Many people purchase more insurance than the Tennessee statutory minimum. There are "50/100."  "100 / 300," and "250 / 500" auto liability insurance policies in Tennessee.  There are also "single limit" insurance policies, which provide a single ‘amount  of coverage, regardless of the number of people injured.  Common single limit polices are issued for $100,000, $300,000, and $500,000.  We have also seen single limit insurance policies for as much as $1,000,000.

Once again, the existence of insurance coverage does not mean that the injured person can automatically recover money.  The injured person still has to prove the fault of the other driver and  the amount of damages he or she is entitled to under Tennessee law.  Only then will  the at-fault driver’s insurance company will pay those damages up to the limit of insurance coverage available.  

The lawyers at the Law Offices of John Day have represented persons injured in auto and truck accidents for over three decades.  We work to gather all of the information necessary to prove the fault of the person causing the accident and document the nature of extent of the injuries and damages.  We then work with the at fault driver’s insurance company to attempt to resolve the case without filing a lawsuit and, if that is not possible, will file a lawsuit to protect and advance our client’s rights.

Contact us by phone at 866-812-8787 or fill out the Contact form if you would like us to discuss your potential case.