Will Car Insurance Pay for a Car Totaled in a DUI Accident?

Car insurance may cover damages in a DUI accident, but many policies won’t pay if the driver is breaking the law, such as driving under the influence. However, if you have collision coverage, your policy can help pay for your car’s damage, even if the drunk driver’s insurance doesn’t. If the driver has no insurance or insufficient coverage, your policy may still help with the costs.

If you or a loved one were involved in a drunk driving accident, a Minnetonka, MN drunk driving accident attorney will protect your rights and ensure you receive fair compensation.

What’s Considered a Totaled Car?

When a car is totaled, it means it’s damaged so badly that it’s not worth fixing. But how do insurance companies decide this? Insurance companies use a simple math problem to figure it out. They look at two things:

• How much the car was worth before the accident
• How much it would cost to fix the car

If the cost to fix the car is more than a certain percentage of what the car is worth (usually around 70-80%), they call it totaled. For example, if your car was worth $10,000 before the accident, and it would cost $8,000 to fix it, the insurer might decide it’s totaled.

When a car is totaled, instead of paying to fix it, the insurance company usually just pays you what the car was worth before the accident.

How Liability Works in Minnetonka, MN?

Liability is about who’s responsible for the accident. Minnesota uses a no-fault system, meaning:

• Each person’s own insurance pays for their injuries and some other costs, no matter who caused the accident.
• This is done through something called Personal Injury Protection (PIP) coverage.
• PIP doesn’t cover damage to your car. So, who does?

For car damage, it still matters who caused the accident. If someone else caused the accident, their insurance should pay for your car damage. This is exactly where things get tricky with DUI accidents.

How Does Insurance Pay on DUI Car Accidents?

When someone drives drunk and causes an accident, it changes how insurance works. Here’s what you need to know:

• If the drunk driver has insurance, their policy might pay for damage to your car. But, many insurance policies have rules saying they won’t pay if the driver is breaking the law.
• If you have collision coverage on your policy, it can pay for your car damage, even if the other driver’s insurance won’t.
• Uninsured motorist coverage can help pay for your damages if the drunk driver doesn’t have insurance.
• Underinsured motorist coverage helps if the drunk driver’s insurance isn’t enough to pay for all the damage.

Insurers are often reluctant to pay for accidents caused by drunk driving. They might try to pay less than they should. That’s why it’s important to talk to a lawyer who knows about these kinds of cases.

Will Insurance Pay me if the Car is Totaled?

If your car is totaled in a DUI accident, whether insurance will pay depends on a few things:

• Who caused the accident? If the drunk driver caused the accident, their insurance should pay. But if they refuse, you might need to use your own insurance or go to court.
• Your insurance coverage. If you have collision coverage, your insurance should pay you the value of your car minus your deductible.
• The drunk driver’s insurance. If their insurance agrees to pay, they should give you the value of your car.
• Your car’s value. You’ll get the car’s value right before the accident, not what you paid for it or what you owe on it.
• Your loan or lease. If you owe more on your car than it’s worth, you might still have to pay the difference. Some people have special insurance (called gap insurance) to cover this.

Keep in mind that insurers often try to pay as little as possible. They might say your car is worth less than you think. This is another reason why talking to a lawyer can be helpful.

A Drunk Driving Accident Attorney in Minnetonka, MN Can Help

Dealing with a drunk driving case on your own can be complicated, take longer than it should, and often get less or no compensation at all after the accident. Our drunk driving accident lawyers from Schmidt & Salita Law Firm will help you understand your rights and handle the insurance companies to get what you deserve.

We will gather evidence, calculate your losses, and represent you in court if needed. Let us manage the legal side while you focus on recovering. Call us at 952-473-4530, or contact us online for a case evaluation today.