The cost of a serious crash in Huntsville isn’t just financial; it can impact your health, livelihood, and future. Madison County alone recorded 11,761 crashes in 2023, many resulting in major property damage or injuries. The average hospital stay in Alabama was $1,939 per inpatient day, before you factor in surgeries, rehabilitation, or long-term care.

Despite these high costs, the state’s minimum liability limits remain low: $25,000 per person/$50,000 per accident. If the driver who caused the collision only carries basic coverage, it may not be enough to pay for your treatment and recovery.

So what happens when the at-fault driver’s policy is insufficient to cover the costs of the accident?  Alabama’s low minimums often leave victims paying out of pocket, but a skilled Huntsville car accident lawyer can help you receive the full compensation you deserve.

Alabama’s Minimum Insurance Requirements May Not Be Enough

Alabama requires all drivers to carry liability insurance for basic coverage after a collision. These mandatory minimums include:

Coverage Type Minimum Required
Bodily Injury (per person) $25,000
Bodily Injury (per accident) $50,000
Property Damage $25,000

At first glance, these numbers may seem reasonable. But serious crash victims often face expenses that eclipse the policy limits, from emergency surgeries to months of rehabilitation.

The $75,000 cap doesn’t go far in these situations, and injured parties often end up responsible for the remaining costs.

Finding Additional Sources of Compensation

When the at-fault driver’s insurance doesn’t cover your losses, you still have options. These can include:

  • Uninsured Motorist (UM) Coverage: This kicks in if the at-fault driver has no insurance and can pay for expenses like medical care and lost wages. It is offered in Alabama unless declined in writing.
  • Underinsured Motorist (UIM) Coverage: This applies when the other driver’s limits don’t cover all damages, adding extra funds for medical bills and recovery costs. Similar to UM policies, UIM is a default coverage unless you opt out.
  • Medical Payments Coverage (MedPay): This is an optional add-on that pays immediate medical bills after a crash, regardless of fault. Limits are usually small but can ease the upfront costs of care.
  • At-Fault Driver’s Personal Assets: If the driver has property, savings, or other valuables, you may be able to collect restitution through a lawsuit. This option is less common since many low-limit drivers lack substantial assets.
  • Other Potentially Liable Parties: Sometimes, additional defendants may share responsibility. Examples include:
    • An employer, if the driver was working at the time of the crash
    • A bar or restaurant, under Alabama’s dram shop laws, if staff overserved an intoxicated driver
    • A vehicle manufacturer or repair shop, if a defect or negligent repair contributed to the crash
    • A government entity, if unsafe road design or poor maintenance contributed to the crash

Exploring these options can mean the difference between partial coverage and receiving the full amount you need to recover.

The Added Challenge of Alabama’s Contributory Negligence Rule

Even when there are multiple sources of financial support, Alabama law presents another challenge: contributory negligence. Under this rule, you can lose the right to compensation if you are even 1% at fault for the crash.

For example, if the other driver ran a red light but you were also speeding, their insurer may argue that your actions contributed to the crash. This harsh rule makes it critical to have strong evidence on your side, from police reports and witness statements to expert testimony.

Because of contributory negligence, claims involving low policy limits can become complex. Insurance companies may use the rule to deny coverage, making skilled legal guidance even more critical.

How a Huntsville Car Accident Lawyer Can Help

When insurance limits are too low, working with an experienced attorney can help you identify every possible source of compensation and push back against unfair denials.

Our team at Tyler Mann Injury Law will:

  • Check your insurance policies for UM, UIM, or MedPay coverage
  • Investigate other liable parties, including employers, bars, or manufacturers
  • Challenge contributory negligence claims with strong evidence that shows the other driver was entirely responsible
  • Negotiate with multiple insurers to maximize your recovery from every available policy
  • Pursue litigation against the at-fault driver or other responsible parties when necessary

As a former insurance adjuster, attorney Tyler Mann understands the way policies are written and the tactics insurers use when handling claims. He uses that knowledge to pursue strategies that secure the maximum recovery for his clients.

Explore All Compensation Options With a Qualified Attorney

Medical bills, lost income, and long-term care costs can easily exceed Alabama’s minimum insurance requirements. If the driver who caused your crash doesn’t have enough coverage, you shouldn’t be left paying the price.

For a free, confidential consultation, contact Tyler Mann Injury Law today. Our knowledgeable Alabama car accident attorneys can uncover every available avenue for compensation and enforce your rights under the state’s strict negligence rules.

Each day that passes can narrow your options. Let us protect your claim and secure your future.