Yes, in Utah, the at-fault party’s car insurance must disclose their policy limits when requested by the claimant or the claimant’s attorney. Knowing the policy limits is crucial for negotiating or settling a car accident claim effectively.
For expert legal assistance, contact Jake Gunter, Utah Car Accident Attorney, at (801) 373-6345 for a free consultation.
Why Must Policy Limits Be Disclosed?
Utah law requires disclosure of policy limits to ensure transparency and fairness in personal injury claims. Here’s why:
- Administrative Rule:
Under Utah Insurance Commissioner Administrative Rule R590-190(7), it is illegal for an insurance company to refuse disclosure of policy limits when requested by a claimant or their attorney. - Utah Rule of Civil Procedure 26(a)(1)(D):
Rule 26 mandates disclosure of:“Any agreement under which any person may be liable to satisfy part or all of a judgment or to indemnify or reimburse for payments made to satisfy the judgment.”
This includes insurance policies that could pay for damages in a car accident case.
Understanding the Importance of Policy Limits
- Underinsured Motorist Coverage Exhaustion Rule
To file an underinsured motorist (UIM) claim in Utah, you must first exhaust the at-fault driver’s policy limits, as outlined in Utah Code 31A-22-305.3.Example:- Policy Limits: $25,000
- Settlement Amount: $24,000
- Result: You haven’t exhausted the liability carrier’s limits, so you can’t file a UIM claim.
Fully understanding the policy limits ensures you meet the requirements for additional compensation under your UIM coverage.
- Avoiding Settlement Pitfalls
Without knowledge of policy limits, you risk settling for less than the full amount of available compensation. It’s like negotiating blindfolded. - Streamlining Negotiations
Knowing the at-fault driver’s insurance limits provides a clear framework for settlement discussions, reducing delays and confusion.
Prelitigation Policy Limit Disclosures
In car accident cases, insurance companies must disclose policy limits without requiring a lawsuit. This applies even if the insurer denies fault.
- What Does This Mean for You?
You can request the at-fault party’s policy limits early in the claims process, saving time and avoiding unnecessary litigation.
Policy Limits in Other Types of Personal Injury Cases
For premises liability, homeowner’s insurance, or other personal injury cases:
- Prelitigation Disclosure: Not required.
- Litigation Disclosure: Once a lawsuit is filed, Rule 26(a)(1)(D) mandates the disclosure of insurance policy limits.
If the opposing party refuses to disclose limits, your attorney can file motions, such as:
- A discovery motion.
- An order to show cause.
- A statement of discovery issue to compel the court to order disclosure.
Why You Need an Experienced Attorney
Handling a car accident injury case without an attorney can feel like “shooting in the dark.” An experienced lawyer ensures you:
- Obtain critical information, like policy limits, quickly and efficiently.
- Avoid settling for less than you deserve.
- Navigate legal hurdles with ease, reducing stress and improving outcomes.
Key Takeaways
- Policy Limit Disclosure in Car Accidents: Required prelitigation by Utah law and administrative rules.
- Policy Limit Disclosure in Other Personal Injury Cases: Required only after litigation begins.
- Underinsured Motorist Claims: You must exhaust the at-fault party’s policy limits before pursuing a UIM claim.
- The Role of an Attorney: A skilled attorney like Jake Gunter can expedite the process, secure full disclosure, and maximize your settlement.
Contact Jake Gunter for Help With Your Utah Car Accident Claim
Don’t navigate the complexities of a car accident claim alone. Attorney Jake Gunter can help you uncover policy limits, negotiate with insurance companies, and secure the compensation you deserve.
📞 Call or Text: (801) 373-6345
📍 Location: Provo, Utah
Get a free consultation today and put an experienced advocate on your side.