How Does Car Insurance Work in Alabama?

Car insurance is a necessity for Alabama drivers, but until you need it, you might not have thought about what it does, how it works, or what you’ll need to do to get an auto insurance settlement.

Until now, you likely just paid your bill and moved on. But now you’ve been hurt, and you need to know one thing: How does car insurance work in Alabama?

If you need guidance during your negotiations, contact the team at the Henry Dailey Law Firm. We’ll review what you need to do to get a full and fair settlement from the insurer.

Proving Fault for an Alabama Car Accident

When you’ve been hit by another driver, you’ll need to confirm that the driver is at fault for the crash. Alabama is a “fault” state for auto insurance, which means that the person responsible for the accident is the person responsible for the expenses. That’s opposed to both drivers seeking a settlement from their own insurance companies, which is the system in some other states.

You’ll file a claim with the other driver’s insurance company after your accident. You’ll also be required to report the accident to your insurer if the damage is over a certain threshold, but take care when making these calls—you’ll need to avoid suggesting you were at fault in any way.

Alabama is one of a few states that recognize pure contributory fault, and ignoring the difference this can make to your claim could mean losing your chance to recover compensation. This rule states that, if you’re found at fault to any degree, your case could be dismissed. Even if the other person holds 90 percent of the blame, you’ll be unable to recover compensation.

Getting a Settlement from the Auto Insurance Company

You’ll also need to protect your claim from the insurance companies. Once you’ve filed your claim, an insurance adjuster should investigate the situation, calculate what you’re owed, and offer a settlement for your damages. For some, that’s all that’s needed.

Others may have more trouble getting a fair settlement offer. Insurance companies may use dishonest tactics in an effort to protect their profits. At the end of the day, they’re still businesses, and giving you a settlement doesn’t help their bottom line.

You may encounter low settlements and refusals to contact you or negotiate, among other tactics. Fortunately, a lawyer can help you determine what you’re owed, deal with the insurers, and, if all else fails, fight for your compensation in court.  

A Lawyer Can Help

Car insurance is supposed to protect us when the worst happens, but many auto crash victims are confused by the process of seeking a settlement. They need a deeper understanding how car insurance works in Alabama. Not understanding the system could mean a diminished or lost settlement.

When you’re not sure how your Alabama car insurance works, call an attorney from the Henry Dailey Law Firm. Our firm can explain your next steps and help you with your claim. For a free consultation, call us at 205-995-2412 or fill out the form below.