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3 reasons insurance may not cover Arizona crash costs

On Behalf of | May 16, 2024 | Car Accidents

It is common for people to expect appropriate compensation from insurance after an Arizona car crash. Not only do all drivers in Arizona need to invest in insurance for themselves, but they have constant exposure to marketing campaigns by insurance companies.

National insurance providers are among the biggest advertising spenders in the country. They constantly run quirky and funny commercials trying to convince the public that their company is generous when people need support after a car crash.

Some people do receive exactly what they require from insurance, often after intense negotiations. Others affected by motor vehicle collisions may find that insurance doesn’t help them nearly as much as they expected. The following are the three most common reasons why insurance may fall short of meeting an individual’s needs after a wreck.

Uninsured drivers

Although the law does clearly state that motorists should carry liability coverage, many people resent the expense generated by acquiring liability coverage. A small but noticeable percentage of motorists in Arizona either intentionally cancel their policies or fail to make payments, which results in the company canceling their coverage. When uninsured drivers cause crashes, the people who didn’t cause the wreck are left without compensation.

Underinsured motorists

Arizona lawmakers increased liability insurance requirements in 2020. Despite those efforts, car insurance requirements remain too low given the average cost a crash can generate. Arizona drivers only need to have $15,000 in property damage coverage, which is not nearly enough to cover the expense of purchasing a new vehicle. Bodily injury coverage can be as low as $25,000, which might not be enough when someone requires surgery or a multi-day stay in the hospital.

Catastrophic injuries

Some crashes cause such severe injuries that people have six-figure hospital bills. They may also become unable to work or to continue a particular career. Spinal cord injuries, amputations and brain injuries are among the medical challenges that could cost so much that a lawsuit is necessary even when a driver has more than the minimum insurance required by state law.

Those with crash expenses that insurance does not cover may need to consider taking legal action against the party at fault for the wreck. A personal injury or wrongful death lawsuit can provide compensation to cover medical expenses and lost wages caused by a motor vehicle collision. Holding the party at fault for a crash accountable for causing the collision is a reasonable reaction to a serious wreck.