Most drivers will at some point be involved in a collision. Car accidents can involve all sorts of ramifications: The at-fault motorist may face an insurance rate spike, lawsuits, and even criminal charges.
This article covers some of the basics of how being involved in a car collision can result in various consequences.
How Accidents Affect Insurance Rates
Lots of factors can affect auto insurance premiums. A driver’s age, gender, marital status, zip code, and model of car can all come into play. Insurance companies look at these things in an effort to predict which drivers are likely to cost them money and which are safe bets.
So it should be no surprise that a motorist’s driving record is a primary factor insurance companies look to when setting or adjusting rates. The way insurance companies see it, a driver who causes one accident is more likely to be involved in another accident than a driver who has never crashed a car.
But while an accident tends to increase insurance rates, it doesn’t always do so. Some insurance companies won't increase your premium after your first accident if you otherwise have a clean record.
Getting Sued for Injuries and Damage From Car Accidents
Many car accidents don’t lead to lawsuits: Your insurance company or the other driver’s insurer—depending on whether you live in a state with no-fault insurance rules—pays for the damages and that’s the end of it. When cases are settled in this way—by an “insurance claim”—no one gets sued or has to go to court. (Learn about how cases settle without going to court and the role of insurance coverage in settling personal injury claims.)
In other cases, things don’t go so smoothly. For a variety of reasons, an insurance company might be unwilling to pay what an injured driver is asking. When this happens, the injured driver may opt to file a lawsuit in court. Generally, your insurance company will defend you in court against a claim made by another party. But when injuries and other damages resulting from a collision exceed your coverage amounts, you could be personally liable for the difference.
Criminal Charges Related to Car Accidents
Even if an auto accident was your fault, it doesn’t necessarily mean you’ve committed a crime. In fact, most collisions don’t lead to criminal charges. Generally, car accidents involve criminal consequences only when the motorist who caused the accident was driving recklessly or while under the influence of drugs or alcohol (DUI).
Reckless Driving and DUI Charges
Reckless driving and DUI are crimes regardless of whether the driver crashes. But when these crimes involve property damage or injuries they often carry more severe penalties.
For instance, in Pennsylvania, a first DUI carries a $300 fine and no mandatory jail time. However, a Pennsylvania first offender who causes property damage or injuries to another is looking at $500 to $5,000 in fines and a minimum 48 hours in jail.
Vehicular Assault and Vehicular Manslaughter Charges
Most states also have separate crimes (apart from reckless driving and DUI) that apply to reckless and intoxicated drivers who end up injuring or killing another person. In New York, for instance, a driver who is under the influence can be charged with vehicular assault for injuring and vehicular manslaughter (called “vehicular homicide” in many states) for killing another person.
Talk to an Attorney
The facts of every case are different. So it’s always best to talk to a qualified attorney about your situation, especially if you’ve been arrested or charged with a crime. Whatever the circumstances, an attorney can help you decide on the best course of action.