What happens if the at-fault driver has no insurance?
What happens if the at-fault driver has no insurance?
If the at-fault driver has no insurance, you still have options, mostly through your own policy. This is common: the Insurance Research Council estimated that about 14% of drivers, roughly one in seven, were uninsured in 2022, as reported by the Insurance Information Institute.
Start by calling police so there is a report, getting the driver's name, address and license number, and notifying your own insurer right away.
Your coverage when the other driver is uninsured
- Uninsured motorist bodily injury (UM): pays your medical bills, lost wages and pain and suffering, up to your UM limit, when an uninsured driver is at fault. UM is mandatory in about 20 jurisdictions; in other states insurers must offer it, but you can decline it in writing.
- Underinsured motorist (UIM): helps when the driver has insurance, but not enough to cover your damages.
- PIP: in no-fault states, pays medical bills and some lost wages regardless of fault.
- MedPay: pays medical bills regardless of fault, if you carry it.
- Collision: repairs your car, minus your deductible. Some states offer uninsured motorist property damage coverage, which may have a lower deductible.
- Health insurance: covers treatment, though it may seek repayment from any recovery.
Passengers may be covered by the UM coverage on the car they were riding in, and by their own or a household member's policy.
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See injury lawyers near youMaking an uninsured motorist claim
- Give your insurer prompt notice. Policies often set deadlines.
- Provide the police report showing the other driver was uninsured and at fault.
- Document your injuries, treatment, bills and lost pay.
- Expect your insurer to evaluate your claim like the other driver's insurer would. It can dispute fault and value.
- If you can't agree, many policies send UM disputes to arbitration rather than court.
Your insurer may later try to recover what it paid from the uninsured driver.
Treat your own insurer's adjuster with the same care you would the other driver's: stick to facts and keep records.
Suing an uninsured driver personally
You can sue the at-fault driver directly, and a court judgment can be valid for years. But many uninsured drivers have few assets or little income to collect from. State laws protect some property and wages from collection. Most states can suspend an uninsured at-fault driver's license or registration under financial responsibility laws until damages are paid or arranged, which sometimes encourages payment.
If the driver had insurance, but not enough
When the at-fault driver has only a low-limit policy, you usually claim that policy's limit first and then turn to your own underinsured motorist (UIM) coverage for the rest, up to your UIM limit. How UIM is calculated differs by state and policy: some pay up to your limit on top of the other driver's coverage, while others subtract what the other driver's insurer paid.
Before you accept the other driver's policy limits, notify your own insurer in writing. Many policies require your insurer's consent before you settle with the at-fault driver, and failing to get it can put your UIM claim at risk.
If you aren't sure whether you have UM or UIM coverage, check your policy's declarations page, which lists each coverage and its limits.
If you have no UM coverage
Your options narrow to PIP or MedPay, health insurance, and a claim against the driver personally. Check whether another policy in your household includes UM coverage. Also look at whether anyone else shares fault, such as the vehicle's owner or the driver's employer if they were working. Then consider adding UM coverage for the future; it is usually inexpensive relative to the protection.
Your state's statute of limitations still applies, commonly 2 or 3 years, and policy notice deadlines can be much shorter. An injury lawyer can review your policy; injurylawyers.si can list injury law firms near your ZIP code. This page is general information, not legal advice.
Common questions
Will my insurance go up if I file an uninsured motorist claim?
Many states limit rate increases for claims where you were not at fault, but rules vary by state and insurer. Ask your insurer or your state insurance department.
Can I sue someone with no car insurance?
Yes. You can sue the at-fault driver personally, but collecting a judgment can be difficult if the driver has few assets or little income.
What is the difference between uninsured and underinsured motorist coverage?
Uninsured coverage applies when the at-fault driver has no insurance or flees. Underinsured coverage applies when the driver has insurance but not enough to cover your damages.
Is uninsured motorist coverage required?
In about 20 jurisdictions it is mandatory. In other states insurers must offer it, but you can usually reject it in writing.