Accident Lawyer Tips Insurance Claims and Negotiations 2

Question 1

What does 'liability limits' mean in an auto insurance policy?

Accepted Answer

The maximum amount the insurer will pay for a covered claim

Answer

The minimum deductible you must pay

Answer

The number of claims allowed per year

Answer

The geographic area where coverage applies

Question 2

What is 'medpay' coverage in auto insurance?

Accepted Answer

Medical payments coverage that pays medical bills regardless of fault

Answer

Insurance for your vehicle's GPS device

Answer

A government Medicare supplement for accident victims

Answer

Coverage exclusively for prescription medications

Question 3

Why is it dangerous to give a recorded statement to the opposing insurance company?

Accepted Answer

Statements can be taken out of context or used to minimize your claim

Answer

It violates your Miranda rights

Answer

It automatically settles the case in their favor

Answer

It reveals your lawyer's strategy

Question 4

What is an 'Independent Medical Examination' (IME) in an insurance claim?

Accepted Answer

A medical exam ordered by the insurance company to evaluate your injuries

Answer

A free medical checkup offered by your insurer as a benefit

Answer

An examination conducted by your own chosen doctor

Answer

A psychological evaluation required for all accident claims

Question 5

What does 'comparative fault' mean for your insurance claim in a shared-fault accident?

Accepted Answer

Your compensation is reduced by the percentage of fault attributed to you

Answer

Both parties split all costs 50/50 regardless of fault

Answer

Comparative fault only applies in criminal cases

Answer

You lose all rights to compensation if any fault is assigned to you

Question 6

What is an 'umbrella policy' and why does it matter in accident claims?

Accepted Answer

Extra liability coverage above the at-fault party's standard auto policy limits

Answer

Coverage for weather-related vehicle damage

Answer

A discounted multi-vehicle insurance policy

Answer

Coverage activated only when it rains