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Featured Image Car Accidents

Some auto accidents are serious. Those who survive serious accidents are left with huge medical bills, months of lost income, and even permanent disability.

These can have significant associated costs that can easily exceed an insurance policy’s settlement limits. 

How often do auto accident settlements exceed the policy limits? In approximately 4% of auto accident cases, the settlement amount awarded to the victim exceeds the policy limit set by the insurance company. This percentage varies based on the severity of the accident.

But this is not the end of the story. A Waco car accident lawyer at The Zimmerman Law Firm, P.C. is ready to help. Contact us today to get started. 

Texas Auto Insurance Policy Limits

In Texas, all drivers must maintain liability coverage on their vehicles. Texas law requires drivers to carry a minimum coverage limit of:

  • $30,000 for bodily injury to a single person, 
  • $60,000 for bodily injury in any one accident, and
  • $25,000 for property damage. 

Your insurance agent may call this 30/60/25 coverage. While this is the minimum, many drivers carry higher insurance limits.

How often do auto accident settlements exceed the policy limits? Auto accident settlements rarely exceed policy limits.

An insurance company is not required to pay more than the limits of the policy.

If your claim is significantly greater than the policy limits, the insurance company will likely settle the claim for the amount of the policy limit. But that could still leave you with significant unpaid expenses.

What Happens If Accident Damage Exceeds Your Car Insurance?

What happens if a car accident claim exceeds insurance limits? If your car accident claim surpasses the insurance limits, you might be personally liable for the remaining amount.

This means you could be responsible for paying the excess sum out of your pocket, potentially leading to significant financial strain.

If you settle with an at-fault driver’s insurance company, you must release the at-fault person from further liability. There are other options to pursue when damages exceed policy limits. 

Uninsured/Underinsured Motorist Coverage

Underinsured/uninsured motorist coverage is a type of coverage you carry on your own insurance policy.

This insurance provides coverage if the at-fault driver is uninsured or if they are insured but the coverage is insufficient.

It also pays for injuries caused by drivers who leave the accident scene and can’t be located.

If the at-fault driver’s insurance has settled for the policy maximum, you can try to recover additional damages by filing a claim under your own uninsured/uninsured motorist policy.

Umbrella Policy

If the defendant has an umbrella policy, you may be able to collect more damages from that policy. Umbrella policies come into play after other policies have paid out policy limits

Other Liable Parties

Sometimes more than one party is responsible for your damages. When this occurs, you may pursue damages from multiple defendants and recover from multiple insurance policies.

A skilled attorney can help you identify all parties who may be liable.

Schedule a free consultation with our car accident attorneys. Call Now


If the driver who hit you was on the job at the time of the collision, you may be able to hold their employer vicariously liable.

When the person was acting on behalf of the company at the time of the accident, the claim would fall under the doctrine of respondeat superior.

For example, if you were hit by a delivery driver on duty, both the delivery driver and the trucking company may be liable. 

Product manufacturers and distributors

If a defective product or auto part in a car caused or contributed to your injuries, a manufacturer or distributor may be liable.

You may have a product liability claim against the manufacturer or distributor of the product. 

Government entities

When a road defect is responsible for your accident, it is possible that you may pursue a claim against a government entity.

The state or local government may be held liable for a car accident traced back to a dangerous road condition, hazard, or defect.

The government has a responsibility to ensure the reasonable safety of its public roads.

Suing the at-Fault Party 

Suing the at-fault party and obtaining a judgment is a possibility. But it is unlikely to get you more compensation.

When a claim exceeds policy limits, most people are judgment proof. This means that even if you get a judgment against someone, they may not have any assets you can collect.

In Texas, certain assets are exempt from seizure for civil judgments. When you’ve been injured in a car accident, hiring an experienced car accident attorney is critical. A skilled car accident lawyer can explain all possible options.

Get Help From a Waco Car Accident Lawyer at The Zimmerman Law Firm, P.C.

If your auto accident claims are near policy limits, seek legal counsel. Don’t negotiate maximum accident injury compensation without consulting a skilled Waco car accident lawyer.

This is your best chance of obtaining the most compensation. Waco car accident lawyers at The Zimmerman Law Firm, P.C. can walk you through the entire process.

We can negotiate hospital liens, Medicare or Medicaid liens, health insurance reimbursement claims, and other expenses. 

The Zimmerman Law Firm, P.C. provides a highly personalized approach to your legal representation. We will stand by your side throughout the process.

The car accident attorney you meet at your consultation will handle your case from start to finish. Please call us today or contact us online to get started.

Where You Can Find Our Waco, TX Office

Author Photo

Michael Zimmerman

Michael was born in Houston, Texas. His education at Baylor and Texas State Universities earned him a Bachelor of Science degree in 1987. His major was in Biology with a Minor in Chemistry. He finished his legal education at Texas Southern University in 1990, earning a Juris Doctorate from Thurgood Marshall School of Law. He was admitted to the State Bar of Texas in 1990.

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