Utah is a no-fault insurance state and a victim of a vehicle accident is first required to file a claim with his car insurance company (first-party claim) for bodily injuries and property damage. He also can file a claim with the other party’s insurance company (third-party claim or liability insurance) in cases when the victim’s injuries qualify for filing a lawsuit against the other party and his insurance company.
Insurance laws and policy fine print are tricky and confusing when it comes to first-party and third-party claims, bad faith claims, insurance disputes, etc. In any case, you need an experienced Utah auto insurance attorney to help you navigate across the legalese, fine print, and help you get the claim that you rightfully deserve.
We have drawn up a guide that helps you understand your rights and duties related to filing any insurance claim, and especially when you file a claim with the other party’s insurance company. Here are the important points to be noted:
1. Minimum Insurance Requirements as per Utah Law
Utah law is a no-fault state that requires all motorists to buy insurance that covers bodily injury and property damage suffered in an accident. Motorists are required to buy insurance policies covering the following minimum amounts:
- Body Injury: $25,000 per person and $65,000 (for 2 or more persons) per accident
- Property Damage: $15,000 per accident
- PIP (Personal Injury Protection): $3,000 per accident
If your body injuries and property damage meet certain thresholds specified by Utah’s laws, you can lodge a claim with the other party’s insurance company (third-party claim) and/or against him.
2. Key Factors to Know While Filing a Claim with the Other Party’s Insurance Company
Your PIP covers bodily injuries incurred by you, passengers, and pedestrians that were injured in the accident.
If you file a claim with the other party’s insurance company, you will be required to establish that you had purchased the minimum insurance policy required by law. Here is what is likely to happen:
- The other party’s insurance company will investigate the accident, which usually takes time.
- The insurance company will most likely not settle until you complete your medical treatment. If your injuries are extensive, you have no option but to wait. Your Utah auto insurance attorney can help you set up a medical lien during this period.
- At the time of settlement, you will be required to sign a “release for damages,” which implies that you are satisfied with the amount received and will not pursue any other claim with them related to the same accident. You need an experienced personal injury attorney in Utah to help you out here, or you will end up signing a release that doesn’t do justice to your claim.
3. The Comparative Negligence Law
Under this Utah law, the settlement sum per party is reduced by the percentage of his fault. For example, if it is determined that you are 25% responsible for the accident, your settlement is reduced by 25%. If your fault exceeds 50%, you cannot claim anything from the other party’s insurance company.
4. Response Time Available to Insurance Companies
As per Rule R590-190, an insurance company is required to respond within 15 days of a claim being lodged. The company is required to accept or deny the claim within 30 days. If it is investigating the accident, then additional time is allowed.
5. Documents and Information required by the Insurance Company
You are required to submit the following:
- All documents that establish your claims (bodily injury and property damage). You may be required to submit several repair estimates.
- Documents that establish the party responsible for the accident (police report, witness accounts, etc.).
- Proof that the bodily injuries and/or property damage are related to the accident.
6. Factors related to Property Damage
- If you decide to add new parts to your car, or better it in any way, you cannot include such “betterment” expenses in your claim.
- If your damaged vehicle had any worn out parts, and you are replacing these with new parts, then the insurance company is likely to deduct a reasonable amount from your claim.
- You can also claim damages to property that was inside your car at the time of the accident.
- Your insurance claim should ideally be drafted by a Utah auto insurance attorney.
7. Statute of Limitations
As per Utah’s Statute of Limitations (SoL), claimants, who can be the driver, pedestrian, bicyclist, or passenger, are required to file a lawsuit within 4 years from the date of the accident. If a minor is injured, his SoL starts when he becomes a major (18 years).
8. What If the Other Party’s Insurance Company refuses the Claim?
In such a case, you have no option but to claim damages from the other party and establish your case in court.
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If you still have questions, why not pick up the phone and take advantage of our free consultation offer?
We are experienced Utah auto accident insurance attorneys and can help all Utah residents with their insurance claims (first- or third-party), malpractice suits, personal injury compensation claims, and more. When you call us, you will be speaking to a lawyer, not to a paralegal or an assistant, and you will receive valuable information that helps – at no cost.
We are here to help and assure you that you have everything to gain by discussing your case with us.
