Car Accident Without Insurance Not At Fault North Carolina (2024)

In North Carolina, car accidents can be legally complicated, especially if one or both drivers involved are uninsured. When an accident occurs, and you are without insurance but not at fault, it raises questions about liability, financial responsibility, and the ability to seek compensation. Here’s what happens when you’re in a car accident without insurance and not at fault in North Carolina.

Consequences of Driving Without Insurance

In North Carolina, it is illegal to drive without car insurance. The state requires all drivers to carry a minimum level of liability insurance to cover potential injuries and damages in the event of an accident. Driving without insurance can lead to serious consequences, even if you are not at fault in an accident. Here’s a breakdown of what can happen if you’re uninsured but not responsible for the accident:

• Fines and penalties. Driving without insurance can also cost you a penalty, fine, and fees in North Carolina. The state’s Division of Motor Vehicles (DMV) penalizes you with $50 for the first insurance violation and more for each subsequent violation. You’ll also risk having to pay court and administrative fees if caught.
• License and registration suspension. If caught driving without insurance, the DMV may take away your driver’s license plate and vehicle registration. Your license will have to be reinstated by paying a reinstatement fee, supplying proof of insurance, and perhaps even some other requirements imposed by the DMV. The suspension can be a substantial inconvenience, and you won’t be able to drive legally, even if you weren’t the cause of the accident.
• Risk of out-of-pocket costs. While you are not responsible for damages if another driver is negligent, without coverage, your chances of recouping damage can be slim. Uninsured drivers in North Carolina can’t sue for non-economic damages such as pain and suffering, even if not at fault. This rule means that if you were an uninsured driver, you could be in the line of sight from receiving your entire claim.
• Potential lawsuit for damages. The other driver’s insurance company or funds may not be able to pay for damages, so they may try to sue you to transfer blame if they suspect you were the cause of the crash. You might not end up being responsible, but the legal process takes time and money to litigate, which could add to your debt if you do not have insurance.

Seeking Compensation as an Uninsured, Not-at-Fault Driver in North Carolina

Being uninsured as the not-at-fault person in an accident might make obtaining compensation for damages difficult but not impossible. Hiring an attorney is a key step in protecting yourself in this situation. Here are the primary avenues of exploration an attorney may take:

• Relinquishment of the at-fault driver’s insurance company. North Carolina is a state that is at fault for car accidents, so you can sue the at-fault driver’s insurance company for your injuries. The insurance company will probably look at the accident in a very critical light if you don’t have insurance. You could have extra trouble trying to get compensation for injuries such as pain and suffering that are limited to uninsured motorists in North Carolina.
• Seek the small claims court for minor damages. If the injuries are small and you’re struggling with the at-fault driver’s insurance company, you can always sue in small claims court. Small claims court allows people to recover compensation without an attorney, and it is usually quicker and simpler than higher courts. Keep in mind, though, that there are limits to how much compensation you can request with this method.
• Look into options for medical payment coverage. You won’t be able to recover all the costs as an uninsured motorist, but some PIP or MedPay coverage can still only go so far if the collision caused you injuries. MedPay is an optional policy that does not pay for medical bills regardless of fault so if you have any MedPay policy already in place, this might save you some cash.

Consequences for the At-Fault Driver When You’re Uninsured

If you are uninsured and not at fault, the at-fault driver is generally still liable for covering the damages caused by the accident. However, insurance companies may attempt to reduce the payout or find ways to place some responsibility on you. Here’s what may happen:

• Insurance company’s reaction. The at-fault driver’s insurance company might delve deeper and make a case for contributory negligence, even minimal fault, to deduct your damages. In the event they succeed, you may not be paid out as North Carolina’s contributory negligence rule is a liability for you.
• More attorney’s fees. You may require a lawyer’s help to resist attempts to charge you any amount of blame, which increases your cost out of pocket without insurance. A lawyer who knows the laws will be able to fight against these charges and argue for your compensation.

FAQs

Can I Be Sued for Damages if I’m Uninsured but Not at Fault?

Though it’s less frequent if the negligent driver or their insurance company is trying to shift responsibility to you. Although the accident isn’t your fault, if you drive without insurance, you are putting yourself in a bind, and suing is expensive and time-consuming. Speaking with an attorney protects you from claims that might be brought against you and will help you deal with those lawsuits.

Will Being Uninsured Affect My Ability to Claim Compensation?

If you are uninsured, it may decrease the amount you’re covered for. North Carolina doesn’t allow non-economic damages like pain and suffering for uninsured drivers who are not at fault. Nevertheless, you might be able to pursue any medical bills or property damage, however your options are slim and there is a long process of non-insured claim management.

Does North Carolina Allow Uninsured Drivers to Seek Compensation?

Uninsured motorists could still be reimbursed by the at-fault driver’s insurer for economic losses such as medical expenses and lost wages. However, North Carolina has laws that restrict non-economic damages claims made by uninsured motorists, so your potential recovery may be less. By making a good case for your economic damage, hiring an attorney can make the difference in getting you the most money possible.

Can I Use Health Insurance to Cover Injuries if I’m Uninsured in an Accident?

Health insurance can be used to cover your injuries, but your insurer may seek reimbursement if you receive compensation from the at-fault driver. While health insurance can offer immediate support, keep in mind that this doesn’t cover property damage. It’s wise to consult an attorney who can help manage potential reimbursement obligations and ensure you maximize available resources.

Contact a North Carolina Car Accident Attorney

The road after an automobile accident with no insurance in North Carolina isn’t easy, but you don’t have to go it alone. If you live in Burke County, Catawba County, Caldwell County, or the surrounding areas, Law Office of Lyndon R. Helton, PLLC, can help with legal representation and advise you on your options to pursue damages. Reach out to us today for a consultation. Let us help you know your rights and advocate for you.