When someone files a lawsuit against you in New York for an amount that exceeds your insurance coverage, you may face certain consequences. In such situations, there are a few possible outcomes to consider.
Firstly, if the person suing you wins the lawsuit and the court awards a judgment that exceeds your insurance limits, you may be personally responsible for the remaining amount. This means you will have to pay the additional portion out of your own pocket.
However, it is worth noting that New York follows a “no-fault” system for car accidents. Under this system, each party’s own insurance typically covers their own expenses, regardless of who is at fault. This means that in many cases, if you are sued for damages resulting from a car accident in New York, your insurance should provide coverage up to the policy limits, regardless of the amount being claimed.
In other cases, such as personal injury or property damage claims outside of the “no-fault” system, it is essential to carefully review your insurance policy to determine the extent of the coverage and any limitations that may apply. If the judgment exceeds your insurance limits, you may be responsible for paying the excess amount.
To safeguard yourself from potential financial burdens arising from lawsuits, it is generally advisable to review and consider purchasing additional liability insurance coverage that exceeds the minimum required limits. This can help protect your assets and financial well-being in the event of a claim that surpasses your insurance coverage.
It is crucial to consult with an attorney to fully understand your legal rights and obligations in such situations. They can provide guidance and represent your interests throughout the litigation process, helping you navigate the complexities of the legal system and potentially mitigate any financial risks.
Can someone sue you for money without a contract?
Yes, if you lent someone money and they never paid you back you can sue for the money they owe you. Additionally, you do not need a contract to sue someone for money owed, however, if there is a contract or some type of written agreement or evidence of an agreement this will be useful in court.
Can you sue for a car accident in NYC?
New York is a “no-fault” auto insurance state. This means that the law expects you to file a claim with your own car insurance when you face vehicle damage and injuries in a car crash. If your injuries are “serious,” however, the law allows you to file a lawsuit against the other driver.
How is fault determined in a car accident in New York?
As New York is a no-fault state, it will not matter who caused the car accident when it comes to your insurance company paying your medical bills and lost wages. The average amount that injured parties receive in car accident settlements is around $28,000.
What if I get sued for more money than I have?
If you get sued for more than you have, you can negotiate a settlement to pay off what you can afford. But if your creditor refuses to settle, your wages could be at risk for garnishment and your assets may be at risk for seizure.3 days ago
