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Discussion Starter #1
Not sure if this applies to other states, but here in NJ we have to choose whether to have the "limited lawsuit option" or "unlimited lawsuit option" on our car insurance policy. The Unlimited option is quite a bit more money, but allows for suing over 'pain and suffering' for any injury sustained in an accident. Limited only covers for things like disfigurment, permanent damage etc... the really serious stuff.

I never paid much attention to policy details on my other car over the years, but now that I had to insure the Elise I just purchased, I am not sure which option to select. I am curious as to what other drivers have chosen.
 

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i have unlimited... if i didnt, id need it. thats my luck.
 

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Regardless, couldn't you sue the other party? Is this cover above an beyond the other paries insurance?
 

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I'm not a lawyer, and I'm in CA, but I have a feeling that any sort of protection the insurance company would get from having a 'limited policy' isn't worth the paper it's written on.
 

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Auto insurance only indemnifies you for monetary loss as a result of property damage and personal injury only to the maximum policy limit. The liable party is responsible for damages beyond that limit. Many people don't realize this and that the opposing party can sue you, and, if they get a judgment above your policy limit, you are personally liable for the remainder. The best advice is to put your valuable assets in a trust.
 

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Discussion Starter #7 (Edited)
Regardless, couldn't you sue the other party? Is this cover above an beyond the other paries insurance?
basically, as I understand it, under the "limited" option, one can only sue for monetary damages.. medical costs and missed work time etc. One is prevented from suing for non-monetary "pain and suffering" reasons.

What I don't really get is how my insurance company can prevent me from hiring my own lawyer independently and going after the other driver for damages. Particularly if he or she doesn't have the same carrier as me. I mean, why would Geico (my carrier) care if I go after someone with Progressive insurance? It's not like the money is coming out of their pocket.

Unless this is something all the insurance companies have agreed to.... I guess that could explain it.
 

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basically, as I understand it, under the "limited" option, one can only sue for monetary damages.. medical costs and missed work time etc. One is prevented from suing for non-monetary "pain and suffering" reasons.

What I don't really get is how my insurance company can prevent me from hiring my own lawyer independently and going after the other driver for damages. Particulary if he or she doesn't have the same carrier as me. I mean, why would Geico (my carrier) care if I go after someone with Progressive insurance? It's not like the money is coming out of their pocket.

Unless this is something all the insurance companies have agreed to.... I guess that could explain it.
i have no expertise in any of this, but i am guessing that the insurance you are talking about is not for when you sue others but when others sue you.
 
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