Please explain this NC injury law to me. (car insurance, lawyer)

[northerner9]

Recently I am shopping for car insurance for a better rate. One of the agent said NC is not a no-fault state like one of the other 12 states. I don't know what it means. It seems there is no limit on compensation in NC.

We all know accident can happen even if one drives very carefully. So if I was in an accident and at-fault and someone is hurt in NC, I could be sued for all my insurance coverage, all my saving and all my asset easily to cover the medical/emotional/future/pain/more cost (even if the injured driver has his/her own medical and auto coverage) ? But if this is happening in one of the 12 no-fault state, the at-fault driver and his/her own insurance policy only pay for anything not covered by the injured driver's medical and auto insurance.

Could someone tell me if my understanding of this NC injury law is correct or not?

We all know how expensive is the medical service in this country. For example, I was in the emergency room for few hours at a local hospital, they charged about $20K for a few scan and xray. Another time, I was in a waiting room after minor surgery, they charged $7K just for me sitting there less than no hour. Luckily I still have medical insurance to cover most of the cost but it really scared me.

It is not fun to start from nothing and return to work (assuming someone wants to hire me at my age).

I always wonder why there are more injury lawyer TV ad in NC. Are they here to help the injured person or just want to get a big commission from someone's pain?

The agent told me to buy a very high accident coverage and advised me to get a huge umbrella policy so that I can be protected in NC.

I wish everyone drive safely with no accident forever.

Thanks...

[northerner9]

I also wonder why there are so many single car accident in NC. Sadly there is one recently on Lake Wheeler for a young driver. My heart falls when I hear this type of news. I wonder if people fell asleep easily on a long, quiet, dark, rural road...... I came from a big city before and I did not hear much about this type of accident (or may be they did not report them...).

[deepimpact2]

Were they talking about comparative fault? It sounds like you have an understanding of it. North Carolina does not apportion fault which means you WOULD in fact be liable for ALL damages if you got sued. However, if there is some fault by the other party, then they possibly would not recover anything because NC is also a contributory negligence state.

[northerner9]

This is too scary considering the cost of the medical in this nation. The cost is totally unregulated and very over charged. I did have some accident with my fault before I moved here but the insurance companies (the other driver's medical and auto insurance plus my auto insurance) took care of everything.

I may consider moving back to my previous no-fault state. I believe no one want to have accident. I mean accident happens any where and it should not cost all asset of the driver with fault (unless it is proofed to be a criminal case) or the total damage is over the limit of all insurance of both side. This is why everyone carry their own insurance, right ? This is also why President is forcing everyone to be covered; it sounds so right to me.

But for now, let me get the umbrella policy.

I guess NC is the heaven of insurance companies and the injury lawyers (happy for them).

hummmmmm.....

[superk]

I think it might be helpful for all of us if you could cite a reference to this law, or any actual real cases where this has happened. I've never heard of that being done, ever.

[northerner9]

Hi superk, when you said you have never heard of that being done, do you mean you have heard many auto accident cases so far? How many? 100's ? It would make me feel better if the worse case I mentioned above was never done. Don't take me wrong, I really don't want to cause any accident of any type. Who want to ? I wish the public transportation here is as good as the North, then I don't need to drive so often. Thanks.

[northerner9]

Last Sunday, I was at a senior community center. When I asked about the auto injury law in this state, someone said a family was sued for auto injury few years back. They were asked for all their asset information, like their bank accounts, pension, house, car, life insurance, trust, investments and anything worth more than a few hundred dollars. I hope this never happen to me (or to anyone)! I guess everyone in NC should just buy a big auto policy or get some type of umbrella coverage. Consider the unregulated cost of the health care in this nation and the cost of the injury lawyers, even 1 million may not be enough. It is like you pay the injury lawyer to sue yourself. I can hardly cover my own retirement medical cost. Many seniors I know are working just because they need the medical coverage from their companies. Of course, I am trying very hard to avoid any accident by me or to me. If you see a car driving slowly, it could be me I may consider moving back to big city which has public transportation to most places. Safe driving to everyone.

[arbyunc]

I think you're getting too worked up over this. NC has a different system from your home state, but that doesn't mean people are losing their fortunes here. As you know, NC's system requires all drivers to carry minimum liability coverage. The minimums may not be sufficient for your comfort, in which case you can buy increased coverage in the form of higher limits or via a separate umbrella policy.

And yes, you can be sued if the insurance coverage doesn't cover everything. But looking at it another way, if you were injured in an accident and your medical bills exceeded the insurance coverage, would you want to be in a no-fault state?

[northerner9]

My past accidents are still haunting me every day. The moment of impact appears in my mind frequently even after many years. I hope no one has this type of bad experience. Insurance agent said the chance to cause accident is higher among younger and older people by statistics. A fatal 5-car accident happened last week on I-40. The recent news about the accident of the doctor is shocking too. I should stop watching news on TV in the day. Accident happens everywhere anytime. I see that there are many big senior communities developing in this area with very good facilities. I know one day I need to give up driving and rely on public transportation. I am planning my next move in NC or outside NC. Thank you all for sharing. Safe driving to all. This is a great forum.

[Slinkycat]

Originally Posted by northerner9

Last Sunday, I was at a senior community center. When I asked about the auto injury law in this state, someone said a family was sued for auto injury few years back. They were asked for all their asset information, like their bank accounts, pension, house, car, life insurance, trust, investments and anything worth more than a few hundred dollars. I hope this never happen to me (or to anyone)! I guess everyone in NC should just buy a big auto policy or get some type of umbrella coverage. Consider the unregulated cost of the health care in this nation and the cost of the injury lawyers, even 1 million may not be enough. It is like you pay the injury lawyer to sue yourself. I can hardly cover my own retirement medical cost. Many seniors I know are working just because they need the medical coverage from their companies. Of course, I am trying very hard to avoid any accident by me or to me. If you see a car driving slowly, it could be me I may consider moving back to big city which has public transportation to most places. Safe driving to everyone.

Put all your stuff in a irrevocable trust. Problem solved. You then effectively own NOTHING.