Car accidents can be life-altering events, often resulting in significant physical, emotional, and financial burdens. While insurance is designed to provide protection in these situations, the reality is that insurance limits can significantly impact the compensation you receive. At Roadrunner Law Firm, we believe it’s crucial for New Mexico residents to understand how these limits work and what options are available when damages exceed insurance coverage. Because: Yes! Low insurance limits can prevent you from getting fairly compensated! We will explain all the details below:

Understanding Insurance Limits: The Basics

First things first: what are insurance limits? Simply put, they’re the maximum amount an insurance policy will pay out for a claim. In New Mexico, drivers are required to carry at least $25,000 per person and $50,000 per accident for bodily injury liability. That might sound like a lot, but it can disappear fast when you’re dealing with serious injuries.

When Car Crash Damages Go Beyond the Insurance Limits

So what happens when your damages exceed these limits? Let’s say you’ve got $100,000 in medical bills, but the at-fault driver only has the minimum $25,000 coverage. That leaves you with a $75,000 gap.  Here’s what typically happens in this situation:

1. The at-fault driver’s insurance company will pay out their policy limit ($25,000 in this example).
2. You’re then responsible for the remaining $75,000, but you have options:
   • You can file a lawsuit against the at-fault driver personally to recover the remaining damages.
   • If you have Underinsured Motorist coverage, you can file a claim with your own insurance company for additional compensation.
   • Your health insurance might cover some of your medical expenses, but you may need to reimburse them if you receive a settlement later.
3. In some cases, you might have to absorb some of the costs yourself if all other options are exhausted.

This situation is more common than you might think, especially in cases involving:

• Severe injuries needing extensive medical treatment
• Multiple victims in one accident
• Significant property damage

That’s why it’s crucial to have an experienced attorney on your side. At Roadrunner Law Firm, we know how to navigate these complex situations and explore every avenue for compensation. We’ll fight to ensure you’re not left holding the bag for someone else’s negligence.

Your Legal Options When Car Insurance Isn’t Enough

When insurance isn’t enough, you’ve got options. Here are a few ways we at Roadrunner Law Firm can help you seek the full compensation you deserve:

1. File a personal injury lawsuit against the at-fault driver
2. Go after the driver’s personal assets (if they have any)
3. Explore other potentially liable parties (like an employer if the driver was on the job)
4. Find additional coverage that may protect you (more on that below!)

Remember, just because their insurance maxed out doesn’t mean you’re out of luck. We’re here to help you explore every avenue for compensation.

Additional Coverage: Your Safety Net

Here’s where thinking ahead can really pay off. If you’ve got these types of coverage, you might be in better shape:

• Uninsured/Underinsured Motorist (UM/UIM) coverage: This can kick in when the at-fault driver’s insurance isn’t enough
• Personal Injury Protection (PIP): Covers medical expenses regardless of fault
• Umbrella policies: Extra liability coverage that can save your bacon in serious accidents

Your insurance agent may tell you you have “Full Coverage” but that doesn’t mean you’re protected from this kind of situation. “Full Coverage” simply means your vehicle is protected, not your body. It’s worth checking your policy to see what you actually have. Not sure what coverage you have? Give us a call at 505-444-4321, and we’ll help you figure it out.

After the Accident: Steps to Protect Your Rights

If you’ve been in a serious accident, even before you know if the other person has insurance or not, take these steps to protect your rights:

1. Document everything at the scene (if you’re able)
2. Get medical attention right away – your health comes first!
3. Gather all records related to the accident and your injuries
4. Don’t talk to any insurance company before speaking with a lawyer

Why You Need a Lawyer When Insurance Isn’t Enough

When you’re dealing with damages that exceed insurance limits, having a skilled lawyer is crucial. We know how insurance companies operate and the tricks they use to hide additional coverage from you. We can use the law to force them to reveal what insurance is available, how much it is, and more.

At Roadrunner Law Firm, we’ve helped countless New Mexico residents get the compensation they deserve, even when insurance limits were exceeded.

Protect Yourself: Be Prepared

The best way to handle a situation where damages exceed insurance limits? Be prepared before it happens:

• Insist your medical providers treat you using your health insurance instead of car insurance
• Make sure you’re carrying adequate insurance coverage
• Understand your own policy limits
• Consider adding UM/UIM coverage if you don’t already have it

Don’t Face This Alone: We’re Here to Help

Dealing with a car accident is tough enough without worrying about exceeding insurance limits. But remember, you’re not alone in this. At Roadrunner Law Firm, we’ve got the experience and know-how to help you navigate these tricky waters.

If you’ve been in an accident and you’re worried about damages exceeding insurance limits, don’t wait. Contact us today for a free consultation. Call us at 505-444-4321 or visit our website at https://www.roadrunnerlaw.com/. We’re here to fight for the compensation you deserve.

Remember, at Roadrunner Law Firm, we don’t just handle your case – we’re your partners in seeking justice. Let’s get you back on the road to recovery.