120+ moreGetting in a car accident with an uninsured driver can create some complications since the driver doesn’t have liability insurance to pay for your damages.
Drivers often want to know how insurance companies in California go after uninsured drivers after an auto collision. Fortunately, you have some options to pay for your damages, including your policy’s uninsured motorist (UM) coverage.
In other cases, you may be on the hook for the expenses. If your insurance company pays for your damages because the at-fault driver doesn’t have insurance, it’s common for the insurer to go after the uninsured driver to recover its losses.
Here’s what you need to know if you’re in an accident with an uninsured driver in California.
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Roughly 17% of drivers in California are uninsured, making it No. 11 in states with the most uninsured drivers.[?] Unfortunately, this increases the chances that the other driver in an accident may not have the state’s minimum insurance.
California is an at-fault state for insurance, which means the at-fault driver — usually through their liability insurance — is on the hook for the cost of all injuries and property damage. Contrast this with a no-fault state, where each driver files a claim with their own insurer for bodily injuries.
Despite California’s at-fault insurance system, the process works a bit differently if a driver — especially the at-fault driver — doesn’t have insurance.
If you’re in an accident where the at-fault driver doesn’t have insurance, your policy’s uninsured motorist (UM) coverage will apply. Your uninsured motorist bodily injury (UMBI) coverage will help with your and your passengers’ injuries. Its limits are equal to your liability coverage limits, which is a good argument for increasing your coverage limits.
Your uninsured motorist property damage (UMPD) will cover up to $3,500. It’s worth noting that in California, UMPD applies only if the uninsured driver is identified. If the accident is a hit-and-run, this coverage may not pay.
If you don’t have UM/UIM coverage but have collision coverage, the latter should apply. But if you only have basic liability coverage and no collision or uninsured motorist coverage, you may be on the hook for all damages.[?]
If you’re at fault for the accident and the other driver doesn’t have insurance, you may still be on the hook for some of their expenses. For example, your liability insurance will pay for any economic losses due to the other driver’s injuries and property damage.
That said, California is a “No-Pay, No-Play” state.[?] This law prevents uninsured drivers from receiving compensation for what’s considered “non-economic damages” after an accident. For example, someone driving without insurance can’t sue you or your insurance company for pain and suffering after an accident, even if it was your fault.
Because you’re at fault for the accident, you or your insurance company will also be responsible for paying for your damages and injuries. If you have collision coverage on your policy, your insurance should pay to repair your car. But if you only have liability insurance, you won’t have coverage and will have to pay out of pocket.
Your uninsured motorist coverage won’t apply in situations where you’re at fault, even when the other driver doesn’t have insurance. This type of coverage applies only when the uninsured driver is at fault.
If you’re in an accident where the at-fault driver doesn’t have insurance, your policy may have to pay for your damages, either through your uninsured motorist or collision coverage. If that happens, your insurance company may go after the uninsured driver to recover some of its losses.
In normal cases, an insurance company recovers its losses from the at-fault driver’s insurance company. But in cases where the at-fault driver doesn’t have insurance, your insurance company may sue that driver personally.
The good news is that your insurer’s success or failure in going after the uninsured motorist doesn’t affect your claim. As long as you have coverage on your policy that can pay for your damages, your insurance company will cover your losses.
Your insurance company has the right to recover its losses after paying for your damages resulting from an accident you didn’t cause. This is known as subrogation. When you sign up for an insurance policy, you give your insurer the right to seek reimbursement from the responsible party, either from their insurance company or directly from them.[?]
If you don’t have uninsured motorist or collision coverage, your insurer won’t pay for your damages. In this case, it likely also won’t help you go after the other driver to recover your losses. In that case, you have the option of suing the other driver yourself.
You can typically sue for compensation for the property damage, medical expenses, and any other losses you suffer. If you’re able to prove the other driver was at fault, the court could issue a judgment against the other driver.
But you should also keep in mind that if someone doesn’t have car insurance, it could be an issue of cost. And if they can’t afford insurance, they may not have the assets to reimburse you fully.
Uninsured motorist coverage is a common type of auto insurance coverage that protects drivers after an accident where the responsible party doesn’t have insurance. Similarly, underinsured motorist (UIM) insurance pays for losses when an at-fault driver has insurance but it’s not sufficient to pay for all the damages.
Car insurance companies in California must offer UM/UIM coverage to all drivers, but you don’t have to take it. If you don’t want this coverage, you’ll have to sign a waiver acknowledging that you turned it down.
Keep in mind that while you don’t have to have UM/UIM coverage if you don’t want it, there could be major consequences for turning it down. If you don’t have collision coverage on your policy and are in an accident with an uninsured driver, you could be on the hook for thousands of dollars in damages.
Uninsured motorist coverage typically adds about $110 per year to insurance costs, according to data from Insurify and the Insurance Research Council. That’s a minor cost when you compare it to the price of repairing your vehicle after an accident.
For example, even a minor repair to your bumper, windshield, or door could cost you upwards of $2,000. And for more serious body or suspension damage, you could pay many thousands of dollars. While you’ll always hope you don’t have to rely on your uninsured motorist coverage, it’s well worth the cost to potentially avoid paying out of pocket for damage that’s much larger.
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In addition to your uninsured motorist coverage, some other coverage options could help with your damages after an accident. These are optional coverages, so you’ll have to add them to your policy and pay extra for them.
Navigating a car accident with an uninsured driver can be complex and stressful. Here’s some additional information about uninsured drivers in California.
Your car insurance can go up after an uninsured motorist claim, depending on who caused the accident. If you didn’t cause the accident, your insurer typically won’t increase your rates. But if you’re at fault, your premium will likely increase.
Insurance companies have the right to go after uninsured drivers in California to seek reimbursement for losses from an uninsured motorist or collision coverage claim. Whether an insurance company actually does this depends on the situation. The company may choose not to go after the driver if the losses are less than what it would spend on legal expenses for the lawsuit.
Yes, you can sue an uninsured driver in California. If you have uninsured motorist or collision coverage on your policy and your insurance company pays for the damages, your company will usually sue the driver. But if you lack this coverage and have to pay for your damages out of pocket, you can sue the at-fault driver to recover your losses.
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