Texans are looking at their auto insurance taking a hike upwards. This is good news for personal injury victims.
“Anytime car insurance goes up, people roll their eyes and check their bank accounts. They’re forgetting that increases in auto insurance for accidents actually has a benefit for them should they get into an accident,” said Robert W. Lee, a personal injury attorney at Lee, Gober & Reyna in Austin, Texas.
Minimum liability coverage for car wrecks went up from $25,000 per person/ $50,000 per accident to $30,000 per person/ $60,000 per accident on Jan. 1. While the premiums will also go up accordingly, for those with policies taken out before this change and with an expiry date in 2011, the policy will be honored as is. “Thus, if you were injured in a collision before midnight on Dec. 31, 2010, the $25,000 limit is applicable to your case,” Lee said.
Why is an increase in the limits a good thing for Texans? “If you are seriously injured in a car wreck after the effective date, the increase in coverage is beneficial to you because hospital bills more often than not are way more than $25,000 per person. Personally, speaking as a personal injury attorney, I feel the limits need to be increased to at least $50,000, but this is a move in the right direction,” Lee said.
It is a fact that medical bills these days are staggeringly high for people unfortunate enough to need hospital care, and many are unable to afford to pay those bills unless they have a good health insurance policy or their insurance company offers a reasonable settlement.
“However, when it comes to insurance companies, reasonable settlement doesn’t generally belong in the same sentence as fair and equitable. They’re noted for racing to close a case as fast and as cheaply as possible. If you have ever had to deal with an insurance company to file a car accident claim, you will know why most plaintiffs give up and hire a lawyer to take the case on their behalf,” Lee said.