What can I do if another driver totaled my car but only has $5,000 in property damage liability?

My car was parked in my driveway when a motorist left the road and hit it. The car is totaled. However, the driver's insurance company will only provide $5,000 for property damage. That's not nearly enough to cover my damages. What are my options?

Answer
“Chances are that the $5,000 in property damage liability was the state minimum. Situations like yours are why most experts and insurers recommend getting coverage above this limit.
That said, you have a handful of options:
  • Accept the $5,000 and walk away
  • Accept the $5,000 and sue for the difference
  • Decline the $5,000 and sue for the entire amount of your damages
  • File a claim with your insurance company
If your car is worth less than $5,000, taking the money might not be a bad idea. You could also file a claim with your insurance company, but that may result in increased rates through no fault of your own.
If you want to sue for the extra amount, contact an attorney to see what you can do.”
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Eric Schad
Answered on Apr 22, 2021
Eric Schad has been a freelance writer for nearly a decade, as well as an SEO specialist and editor for the past five years. Before getting behind the keyboard, he worked in the finance and music industries (the perfect combo). With a wide array of professional and personal experiences, he’s developed a knack for tone and branding across many different verticals. Away from the computer, Schad is a blues guitar shredder, crazed sports fan, and always down for a spontaneous trip anywhere around the globe.
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