Can an insurance company sue me for the full amount of a totalled vehicle in a no-fault state if I was uninsured at the time of the accident?

Asked on July 7, 2014 under Accident Law, Michigan


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 6 years ago | Contributor

If the insurer had to pay out for the full value of a vehicle (such as to its own insured), then it may sue anyone who it believes to have been at fault (e.g. driving carelessly or recklessly) in causing the accident. If it can prove that the other person (such as you) was at fault, it can get a judgment against him or her for the value of the vehicle. The fact that you had no  insurance does *not* mean that you cannot be sued--it just means that you don't have any insurance to help you pay any judgments and instead will have to pay out of your own pocket.

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