Is It Worth Suing an Uninsured Driver in Denver?

Colorado law requires every driver to carry auto insurance with at least a minimal amount of liability coverage. In a fault-based state like Colorado, a driver who causes a car accident in Denver is on the hook for paying the damages.

In a perfect world, this system would work fine, and the answers to many questions surrounding a Denver car accident would be clear-cut. But say a negligent driver sideswiped you on I-70 or T-boned you while driving down Broadway, only to discover that the driver who hit you is uninsured.

The dilemma may make you wonder if it is worth suing an uninsured driver in Denver after an accident. The question becomes more pressing as your medical bills pile up, you miss work because of your injuries, and your own car insurance falls short. What then?

Why Do Some Drivers in Denver Lack Insurance?

Denver is a lively city with growing traffic. The constant flow of vehicles on increasingly crowded roads and highways brings many drivers who do not carry insurance.

Some individuals might not realize the severe legal consequences of driving without coverage. Others may not carry insurance because of financial hardships, lapsed policies, or simple mistakes like forgetting to renew on time.

Regardless of the reasons, an accident with an uninsured driver can frighten you, especially if you’re dealing with pain, property damage, and mounting medical bills.

You may feel upset that the person responsible for your injuries did not fulfill their basic obligation under Colorado law to carry liability coverage. You might also wonder if you can hold them accountable.

Fortunately, Colorado law and your own insurance policy might help you recover damages, but you may face a complicated path. A car accident lawyer can provide a clear understanding of how to proceed when the other driver lacks insurance.

Colorado Is a Fault-Based State

Every state applies its own rules for car accident insurance claims. Colorado follows a fault-based (or tort) system. This means the driver who caused your accident must pay your damages. However, if they are uninsured or carry too little coverage, your financial recovery becomes more challenging.

If a negligent driver injured you in Denver, you can file a claim directly against the at-fault party. If that driver is uninsured, you can seek compensation through your own policy if you purchased uninsured/underinsured motorist coverage (UM/UIM). If that still falls short, you can sue the uninsured driver personally.

Although this path might make sense on paper, speak with an experienced attorney who can tell you whether it is practical to sue the uninsured driver. If the at-fault driver owns no significant assets, legal action against them might not recover any compensation.

Colorado’s Mandatory Auto Insurance Requirements

Colorado law requires every driver to carry minimum liability insurance.

Specifically, motorists must have at least:

• $25,000 per person for bodily injury
• $50,000 per accident for bodily injury (if multiple people are hurt)
• $15,000 per accident for property damage

These mandatory auto insurance requirements are often called 25/50/15 coverage. The law helps protect injury victims by ensuring there’s at least some coverage available if a driver causes a crash.

Yet even with this law, many drivers in Denver remain uninsured. This leaves little financial protection if they cause an accident, especially one that results in serious injuries.

If you’re stuck with expenses that exceed your own insurance coverage, or if you don’t have uninsured/underinsured motorist protection, you may sue.

However, it’s hard to collect from someone who might not have had the money to buy insurance in the first place.

Uninsured/Underinsured Motorist Coverage: A Key Resource

After an accident with an uninsured driver in Denver, your primary relief could come from your own auto policy, specifically through uninsured/underinsured motorist (UM/UIM) coverage.

This insurance protects you from an uninsured at-fault driver.

What Does UM/UIM Cover?

• Medical bills: Hospital visits, surgeries, physical therapy, prescription medications, and ongoing treatment
• Lost wages: Time you can’t work due to your injuries
• Pain and suffering: Compensation for the physical and emotional harm you endured
• Property damage: Repairs or replacement of your vehicle, depending on your policy

Colorado law requires insurance carriers to offer UM/UIM coverage in an amount equal to your bodily injury liability limits. You may decline this coverage in writing, but it’s wise to keep it.

If you purchased UM/UIM coverage, you can file a claim with your own insurer instead of relying solely on a negligent driver who has no insurance or insufficient coverage.

Nearly 13% of drivers in the U.S. are uninsured, and Colorado ranked 13th among all U.S. states for the highest number of uninsured drivers. According to the Insurance Information Institute, Denver exceeded the national average for uninsured drivers, with 16.3% of all drivers lacking auto insurance.

Dealing With Your Own Insurance Company

You might think that if you’re filing a claim with your own insurance provider, the process will go smoothly, but that isn’t always the case.

Insurance adjusters are trained to protect their company’s profits. That means minimizing and denying claims in any legally possible way. Even if they sound friendly and helpful, the insurance adjuster will likely offer you significantly less compensation than you deserve, if anything.

The difficulty of dealing with insurance companies following an accident in Denver is why many people hire a personal injury lawyer to handle dealings with insurers.

According to the Insurance Research Council, individuals who work with a lawyer to handle their personal injury claims recover about 40% more compensation than those who settle their claims without a lawyer.

What if a Drunk Driver Caused the Accident?

If a drunk driver or a driver with a record of previous offenses caused the accident, you may also want to pursue criminal charges. While we are a personal injury law firm that handles civil claims for compensation, we can work closely with attorneys who handle the criminal case to strengthen your case and maximize your chance of obtaining justice.

Many of Fuicelli & Lee’s attorneys are former prosecutors with years of experience handling criminal cases. We know how pursuing criminal charges can impact your claim for damages. Even if the drunk driver is not convicted in criminal court, you can still pursue a civil lawsuit against them. These are two separate legal actions, but the burden of proof in a personal injury claim is lower than it is in criminal cases.

Suing the At-Fault Uninsured Driver: Pros and Cons

If your UM/UIM coverage won’t cover all of your losses or you opted out of it, your lawyer can help you weigh the benefits and potential downsides of filing a personal injury lawsuit directly against the at-fault driver.

Potential Benefits of a Lawsuit

• Hold the driver accountable: You can pursue justice by showing that they caused your injuries and losses.
• Recover additional damages: If the defendant has assets (for example, real estate or a bank account), you might collect beyond what insurance would have paid.
• Create a legal record: A court judgment verifies the at-fault driver’s liability. If their financial situation changes later, the judgment may still hold, and you can collect compensation then.

Possible Drawbacks

• You may collect nothing. Many uninsured drivers don’t have the money to pay a large judgment.
• Bankruptcy risk: If the driver declares bankruptcy, they might discharge (eliminate) a court judgment for accident-related damages. You may receive pennies on the dollar, if anything.
• Legal costs and time: A lawsuit involves filing fees, evidence gathering, court hearings, and possibly a trial. It may not yield the compensation you need. A lawyer could unlikely invest time and money in your case when they see little or no hope of securing compensation.

Other Avenues for Compensation in Colorado

When suing an uninsured driver isn’t worthwhile, you still might be able to cover some of your medical bills and other costs. Consider the following possibilities.

MedPay Coverage

Colorado auto insurance policies include Medical Payments (MedPay) coverage unless you decline it in writing. This coverage pays for accident-related medical expenses regardless of fault. The default MedPay coverage that insurers must offer is $5,000, but drivers can also opt for higher limits of $10,000, $25,000, or $100,000.

While MedPay might only offer a few thousand dollars of coverage, it can help pay co-pays, deductibles, and immediate medical expenses, alleviating some financial strain.

Health Insurance

If you have private health insurance, Medicare, or Medicaid, you might rely on those resources to cover injury treatment. However, your health insurer might place a lien on any injury settlement or lawsuit recovery to get reimbursed for any amount they paid on your behalf. Nonetheless, health insurance can protect you from bearing the full brunt of medical costs out of pocket.

Your Employer’s Insurance

If you drove for work purposes or were on the clock when the accident happened, you could seek compensation from your employer’s workers’ compensation insurance, which might offer a valuable safety net.

Financial Assistance Programs

In rare cases, you might qualify for financial assistance from various Colorado funds designed to help accident victims in serious need. These programs vary widely in availability and scope, and they might not fully pay for your losses. However, they can help in a dire financial situation.

How a Lawyer Evaluates Your Case

Many people wonder if they should hire a lawyer when dealing with an uninsured driver. The short answer is yes, because even if you file a claim with your own insurance company, you’ll need someone who can push back if the insurer undervalues your injuries and damages. Moreover, an attorney can investigate the at-fault driver’s assets and make an informed recommendation about suing.

Investigating the At-Fault Driver’s Assets

Attorneys often conduct an asset check to determine whether the uninsured driver owns anything of significant value. They might search property records, check for business holdings, or review public documents to see if the driver recently transferred property. If the driver appears to have stable income or valuable assets, a lawyer may advise you to pursue a lawsuit.

Estimating the Value of Your Damages

A thorough case evaluation involves calculating both economic and non-economic losses:

• Economic damages: Medical expenses, lost wages, future care costs, property damage

• Non-economic damages: Pain and suffering, emotional distress, reduced quality of life, loss of consortium

If your damages are substantial and the at-fault party has the means to pay, suing could be a viable option. If the driver has no real property, minimal wages, and the potential to declare bankruptcy, your attorney might advise against a lawsuit.

When a Car Accident Lawsuit May Not Be Feasible

Unfortunately, many accident victims find that the uninsured driver who caused the accident has neither the assets nor sufficient income to make a lawsuit judgment feasible. But even if that’s the case, a skilled lawyer might pursue compensation from other sources.

Here are common red flags that it might not be worth pursuing the uninsured driver directly:

• They are unemployed or earn minimal wages
• They rent their home and have no significant property
• They are likely to file for bankruptcy
• They have existing large debts or judgments
• They genuinely cannot pay even a modest settlement

In these situations, the best option is often to focus on recovering what you can from your own insurance policies (UM/UIM, MedPay, etc.) and possibly health insurance. A lawyer may explore and access all available resources, including your insurance coverage.

Negotiating With Insurance Companies

If you have UM/UIM coverage, your attorney can negotiate a fair settlement with your insurer. They can gather medical records, accident reports, wage statements, and expert opinions (for instance, from medical professionals) to support the full extent of your losses.

Insurance carriers often push back, but a dedicated personal injury lawyer has experience dealing with adjusters. This can result in a more equitable settlement than you might secure on your own.

Work with an experienced trial lawyer who can leverage their court experience for higher, faster settlements. Trial lawyers can argue your case before a judge or jury in a car accident lawsuit.

Contingency Fee Arrangements

Personal injury lawyers in Colorado typically work on a contingency fee basis, meaning you pay no legal fees upfront. The attorney only gets paid if they win compensation for you. This arrangement allows you to explore your options without bearing a significant financial risk.

A car accident lawyer can give you a realistic picture of whether it’s worth filing a lawsuit against the uninsured driver. If they advise you to proceed, it indicates they believe you have a viable path to compensation.

So, Is It Worth Suing an Uninsured Driver in Denver?

The ultimate answer depends heavily on the uninsured driver’s financial status and the coverage you have through your own insurance policy.

You can explore these key steps to figure out the best course of action:

1. Consult a Personal Injury Lawyer: Discuss your accident, injuries, and any potential avenues for compensation.
2. Gather Evidence: Document your medical costs, lost wages, property damage, and any proof of how the driver behaved.
3. Investigate Assets: Let your lawyer search for properties, bank accounts, or business ownership.
4. Review Your Own Policies: Check if your UM/UIM coverage, MedPay, or other provisions can help.
5. Weigh the Time and Expense: Lawsuits are an investment of time and resources. Make sure there’s a reasonable expectation of payoff.
6. Consider Settlement Possibilities: Sometimes, an uninsured driver might still settle for a small but meaningful amount if they have the necessary resources.

How Fuicelli & Lee Can Help

If you live in the Denver area or elsewhere in Colorado and were in a motor vehicle caused by an uninsured driver, you may not know your next move. At Fuicelli & Lee, our team of results-driven Denver car accident lawyers may help.

We offer caring, thoughtful representation for accident victims in Denver and throughout Colorado. Our goal is to secure full, fair, and complete compensation for every client we represent.

You deserve guidance rooted in compassion and practicality, especially after a traumatic experience. Contact us at (303) 444-4444 or through our online form to schedule a free consultation.

 

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