What Does $10,000/$20,000 Insurance Limits Mean In A Florida Car Accident?
I recently read in several of our local media outlets about a major car accident this past weekend involving several vehicles. Apparently, a green pickup truck started a chain-reaction car accident. Ultimately, five vehicles were damaged, and several people were rushed to Winter Park Hospital with injuries.
As a Winter Park accident attorney, my first concern is for injured people and their families. From experience, I know that these injured folks are going to incur thousands of dollars in medical expenses (from the Emergency Room alone), and may also experience lost wages if their injuries are serious enough to interfere with their work. The obvious question arises: Who is going to pay for all of these losses (damages)?
It only makes sense that the person who caused the accident should pay for the damages. Unless the person who caused the accident is independently wealthy, accident victims usually have to rely upon any bodily injury liability insurance the negligent driver chose to purchase. (Notice I wrote “chose” to purchase. In Florida, liability insurance is voluntary. This is a travesty, and probably a good topic for another blog post…)
Many people are confused when they hear that someone carries a “10/20”, or a “50/100” liability policy. Using “10/20” as an example: this means that the insurance company will pay any single injured person up to a maximum of $10,000.00 for his or her injuries, however the insurance company will never pay more than $20,000 for all of the injuries caused by the accident. Again, using “10/20” as an example, if there were four people injured by the insured’s negligence the maximum payout would be $20,000.00, but no one person could recover more than $10,000.00.
As should be obvious, a small policy with multiple injured people often places injured people at odds with one another over how to divide limited resources. This is why we spend so much time preaching about the benefits of drivers carrying Uninsured Motorist coverage.
If you have any questions following a Florida car accident, don’t hesitate to call Winter Park personal injury attorneys Kim Cullen and Robert Hemphill at 407-254-4901. Also, don’t forget to order a FREE copy of Kim’s book, Asleep At The Wheel – 13 Mistakes the Insurance Company Desperately Hopes You Will Make After Your Florida Car Accident by clicking here.