By Dan Noll on August 21st, 2024 in Articles, Car Accident
Recovering Compensation Explained by Springfield Car Accident Lawyers: Who Pays for Pain and Suffering in a Car Accident?
Personal injuries caused by motor vehicle accidents are incredibly common. According to statistics from the National Highway Traffic Safety Administration (NHTSA), each year in the United States over 43,000 people are killed and almost 2.4 million people are injured in traffic accidents. Many of these victims will suffer financial harm from high medical bills and lost wages due to their personal injuries. However, the Springfield car accident lawyers at the Noll Law Office understand that many victims will also have pain and suffering. Sometimes this pain and suffering can be quite significant, especially when a victim requires future surgery or has permanent disabilities or activity restrictions. When this happens, many victims and their families ask who pays for pain and suffering in a car accident in Illinois.
Here at the Noll Law Office, the experienced legal team knows that victims and their families are facing physical, emotional, and financial harm from a car accident. Oftentimes pain and suffering is the largest component of damages in a car accident case. However, ensuring that these damages are fully paid can be complicated and sometimes not possible without the help of an experienced Springfield car accident lawyer. That’s why victims and their families should contact the Noll Law Office to schedule a free case evaluation to learn more about their legal options under Illinois law.
First Part: Understanding Damages Under Illinois Law
The relief that a party can obtain in a lawsuit is known as “damages.” In personal injury cases like a car accident, damages include medical bills, lost wages, loss of consortium, property damage, and of course pain and suffering. Generally, pain and suffering is the largest component of what makes up damages.
But in order to recover any damages, a victim must prove liability (or fault) against a defendant. This is usually done by proving that the defendant or defendants were negligent. Parties are negligent when they owe a duty of care, breach that duty, and such breach proximately causes a victim’s damages. Put another way, when a person is obligated to take certain actions to avoid injuring another person, fails to do so, and a person is hurt. Common examples are running a stop sign, driving while intoxicated, or turning the wrong way down a one-way street. It is only once a duty and breach (liability) are proven, and causation is established, that a victim could recover compensation for pain and suffering.
Therefore, only a defendant who is found to be liable and to have proximately caused the damages will be required to pay damages to the injured person. This is why it is imperative that victims and their families hire an experienced Springfield car accident lawyer to help prove liability against any party that may be responsible for damages.
Next Part After Liability and Causation: Who Pays for Pain and Suffering in a Car Accident?
Once liability and causation have been established against a defendant, that does not necessarily mean that a defendant will have to pay out-of-pocket. There are other entities that may be responsible to pay on a defendant’s behalf, or even compensate a plaintiff through other types of insurance policies.
Generally, who pays for pain and suffering in a car accident in Illinois could be any of the following (including a combination):
A Defendant’s Insurance Company
Indeed, like all states, Illinois requires drivers to maintain certain amounts of auto insurance. This includes for damages caused to third-parties, such as victims of a motor vehicle accident. More specifically, these amounts are a minimum of $25,000 per person per accident, or $50,000 combined per accident. There is also a requirement of at least $20,000 for property damage. Drivers are able to purchase additional liability coverage for personal injuries that they may cause.
Therefore, the most common party a victim can recover from for pain and suffering is the defendant’s insurance company. They usually will only pay up to the policy limits or as ordered by a court (i.e., costs and disbursements) or jury verdict. In some instances, an insurance company may also be liable for a separate claim for bad faith conduct in handling a claim.
Uninsured/Underinsured Policies Held by a Victim
In addition to auto insurance covering liability, drivers typically also purchase uninsured or underinsured policies. These policies or riders are additional coverage that trigger in certain instances. For example, an uninsured policy will be triggered for coverage where a defendant failed to have a valid insurance policy or fled from the scene and was not identified.
Another type of policy is an “underinsured” policy. Underinsured policies are triggered when a victim’s damages are higher than what the defendant’s insurance policy will cover. For example, a defendant has the minimum policy of $25,000 per person and causes $100,000 in medical bills to a victim. If a victim has an underinsured policy for $200,000, that victim will collect the $25,000 from the defendant and then can request an additional $175,000 in coverage available from the underinsured policy. Thus, the remaining damages can be paid from the victim’s underinsured policy which has coverage.
The matter can get pretty complicated, fast. Thus, the Springfield car accident lawyers at the Noll Law office recommend that all drivers obtain uninsured and underinsured policies for coverage as high as they can comfortably afford.
From a Defendant
There are two scenarios where a victim may be able to recover compensation from a defendant directly. The first is less common in car accident cases, but involves a situation where a defendant is self-insured up to a certain level. This usually happens where a large entity is self-insured, such as a trucking company or large corporate company, and is uncommon. However, in that rare event, a victim may be entitled to recover compensation directly from that defendant.
The second scenario which is more common is where a victim has a judgment or jury award that is higher than the insurance policy and underinsured policy. In that situation, a victim could seek to enforce the judgment against the defendant directly. This means to have the defendant pay the balance directly to the victim out-of-pocket. Some victims do not like to do this, but others may need to do this to cover health expenses or damages for a young child.
There are two important points with this. Initially, it is important to realize that some insurance companies may still pay a victim’s judgment for their insured if it is above the policy. That is not always the case, but it is possible after a jury trial. Thus, when seeking to enforce a judgment directly against a defendant, putting the defendant’s insurance company on notice of that may result in the insurance company agreeing to pay all or a portion of that balance.
Next, when a victim seeks to collect damages directly from a defendant, there are still exemptions under bankruptcy and creditor/debtor laws that may protect certain assets from a defendant (such as a residence, transportation, etc.). This can make it harder to collect compensation, and can be distasteful to victims. Sometimes a victim may need to register the judgment and wait for a defendant to pass, collect an inheritance, sell property, or otherwise come into money. There are also some situations where wages could be garnished with the help of a collection agency, but this could reduce the total award for a victim for having to pay a collection agency or extra costs. These are all incredibly sad situations, and the advice of a knowledgeable attorney on how to proceed is invaluable.
Still Not Sure Who Pays for Pain and Suffering in a Car Accident? Call the Noll Law Office for Help
In most motor vehicle accidents, payment of a settlement, judgment, or another type of award will be handled by an insurance company. However, that is not always the case, and things can quickly get complicated if an insurance policy is inadequate or nonexistent. Thus, victims and their families should call an experienced Springfield car accident lawyer to help them with their case. At the Noll Law Office, their compassionate and experienced legal team can help investigate liability, prove damages, and recover compensation for medical bills, lost wages, pain and suffering, loss of consortium, and other damages caused by a negligent defendant. To learn more, contact the Noll Law Office today by dialing (217) 414-8889.