Can I Get Sued for a Car Accident If I Have Insurance in Tennessee?

Having car insurance does not prevent someone from suing you after a Tennessee car accident. Liability insurance may provide a defense and pay covered damages up to applicable policy limits, but the underlying legal claim is generally against the person allegedly responsible for the crash.

This issue matters to both sides of a collision. An injured person may need to identify all available sources of compensation, while an insured driver needs to understand the protection provided by the applicable policy.

Does Car Insurance Protect You From Being Sued?

Car insurance and a lawsuit serve different purposes. Liability insurance protects an insured person against qualifying financial liability from an accident. A lawsuit is the legal procedure an injured person can use to establish liability and recover damages.

The injured driver might initially make a liability claim with the negligent driver’s insurance company. If the insurer accepts responsibility and the parties agree on compensation, there may never be a lawsuit. However, if the insurance company disputes fault or the parties cannot agree on a settlement, the injured driver could file a lawsuit.

The lawsuit would generally be filed against the driver who allegedly caused the collision. The existence of insurance does not prevent the lawsuit.

Why Is the Driver Sued Instead of the Insurance Company?

A negligence claim generally arises from the driver’s conduct. The driver may have run a red light, followed another vehicle too closely, failed to yield, or otherwise caused the collision. The liability insurer did not cause the accident.

The insurer’s role comes from its contractual obligations under the insurance policy. When a claim is covered, the insurer may provide a legal defense and pay a settlement or judgment subject to the terms and limits of the policy.

That means an insured driver can be the named defendant even though an insurance company is handling the defense.

How Does a Tennessee Car Accident Lawsuit Begin?

Many cases begin as insurance claims rather than lawsuits. After an accident, the injured person or their attorney may notify the at-fault driver’s insurer and begin investigating the claim.

The parties may gather:

• Police reports
• Medical records
• Photographs
• Witness statements
• Repair estimates
• Employment records
• Video recordings
• Insurance information

Once the injured person’s medical condition is better understood, a settlement demand may be submitted. Some cases are resolved during this stage.

If the parties cannot agree, the injured person may file a complaint in court. The case can then proceed through discovery, depositions, expert analysis, settlement negotiations, and potentially trial.

Can You Be Personally Liable for Damages Above Your Insurance Limits?

Potentially, yes. Liability insurance limits are not necessarily limits on the amount of harm caused by an accident. Tennessee’s Financial Responsibility Law generally requires motorists using liability insurance to meet minimum limits of $25,000 for each injury or death, $50,000 for total injuries or deaths per accident, and $25,000 for property damage per accident.

A serious accident can result in losses that exceed these minimum limits. Suppose a driver with relatively low liability limits causes a catastrophic crash. The injured person’s legally recoverable damages could exceed the negligent driver’s policy limits.

Depending on the circumstances, an injured plaintiff may seek a judgment for damages beyond the available liability coverage. Attorneys may also investigate other insurance policies, additional responsible defendants, business relationships, vehicle ownership, and other potential sources of recovery.

Contact the Nashville Car Accident Attorneys at Hughes & Coleman Injury Lawyers for Help Today

Having car insurance does not make a driver immune from a lawsuit. In some cases, liability insurance is sufficient to resolve a claim. In others, damages can exceed policy limits, fault may be contested, or multiple insurance policies or responsible parties may be involved.

If you were injured in a Tennessee car accident, contact our experienced Nashville personal injury attorneys at Hughes & Coleman Injury Lawyers for a free consultation. We can investigate the crash, determine liability, identify applicable insurance coverage, and help you pursue compensation from the parties and coverage that may be available.