Motor vehicles are common in daily life, and the use of motor vehicles is often accompanied by personal injuries. When it comes to injury compensation, many people’s first reaction is to claim insurance. In many countries, if you are injured in a motor vehicle accident, there two types of compensation you may be entitled to. They are damage insurance and injury insurance.
Damage Insurance
Damage insurance is usually insurance for your vehicle. In most countries, you need to hold a valid motor vehicle insurance policy. There are generally two types of damage insurance:
- Comprehensive cover where the insurer covers all damage to your vehicle and the other vehicle, subject to an excess;
- Third-party cover where the insurer does not cover damage to your own vehicle but covers damage to other vehicles in circumstances where that damage was your fault.
To access your insurance policy, you need to lodge a claim and supply information relating to your motor vehicle accident. Information such as other drivers’ registration details, police reports, and accident scene photos can be very helpful.
Once you submit the claim, your insurer will assess your claim. There is often a specific period of time that they will need to provide you with a decision. If your claim is accepted, the insurance funds will be payable to you subject to any excess.
If your claim is rejected. This is not the end of the world. Disputing the decision with the insurer is one of the pathways to get your insurer to have a second look at your claim.
Injury Insurance
In many countries, injury insurance for a motor vehicle accident is covered in your third-party compulsory insurance. This insurance is often a compulsory payment that forms part of the annual motor vehicle license renewal fees. The purpose of the third-party compulsory insurance is to cover injuries to third parties caused by the motor vehicle accident.
Similar to damage insurance, the first step in claiming the injury benefit is to submit an application alleging that the driver of a motor vehicle has been negligent in causing your injuries. Once the application is submitted, the next step is an investigation. The insurance company will investigate the event based on the details you submitted and then make a decision on liability. The purpose of establishing liability is to identify who is the at-fault party.
To be entitled to compensation, you need to be either: not at fault or not entirely at fault (i.e., contributory negligent). If you are contributory negligent, the extent to which you are contributory negligent plays a big role in your overall compensation payout. However, the criteria to establish contributory negligence are not a clear cut. Very often, an injured person receives a letter from the insurer indicating that contributory negligence is higher than they expect and they do not know what to do.
If you are injured in a motor vehicle accident, it is very important that you record the accident and make a claim as soon as possible. Unfortunately, many people often focus heavily on damage claims but neglect the personal injury component of the motor vehicle accident. According to Foyle Legal, if an injured person doesn’t make claim as soon as possible, the insurer will often argue that they are prejudiced as they have been unable to investigate the accident or have the injured person reviewed.
In addition to the above insurance options. If your injury is serious enough, you may also entitle to disability insurance. Like damage insurance, you will need to take out disability insurance in order to qualify the benefit.
Conclusion
Dealing with property damage and personal injuries is never easy. It is important that you understand what you are covered for, and how to access the benefits. Insurance companies can be difficult when it comes to payouts, please be aware of your options in order to pursue what you are entitled to.
