What to do if I had a traffic accident for which I was at fault and am now being sued for more than my policy limits?

My policy limits are $10,000/$15,000. I have been sued by the other party who wants more money. I settled for the property over $10,000 but for the injury case the other party wants over $15,000. My own insurer told me that it cannot settle because the injury case is not settled and told me to get legal aid. I don’t know what to do?

Asked on October 13, 2013 under Accident Law, California

Answers:

S.L,. Member, California Bar / FreeAdvice Contributing Attorney

Answered 7 years ago | Contributor

Your insurance company should provide you with an attorney at no cost to you. 

If the personal injury claim eventually results in a judgment against you that you cannot afford to pay, it would be advisable at that time to file bankruptcy.  Depending on your income, you may be able to file Chapter 7.  Chapter 7 bankruptcy is straight liquidation which eliminates certain types of debts.  If you are ineligible to file Chapter 7, you would file Chapter 13; however, Chapter 13 requires a plan (budget) for repayment of creditors.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.