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Auto Insurance Claims/denial due to no insurance

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Expert: - 5/20/2010


Question
If I am driving an uninsured vehicle, owned by me, that I thought was insured and I get hit by someone who is 100% at fault can their insurance carrier deny me coverage for my damages?  My vehicle is financed through Toyota and I was told that the insurance company cannot deny to pay  me. Please if you can let me know I live in NJ

Nancy

Answer
Hello,

The first thing I will tell you is that I am not a lawyer nor am I familiar with the State laws of New Jersey as they relate to driving without insurance, forcing my answer to be very limited and very general.

There are 2 ways this event can be looked at.

If the other driver was deemed 100% at fault, the other driver's insurance company is required to pay 100% of all damage related to your claim.

The flip side is this however and would be the insurance company's argument: If the State of New jersey requires the driver of any vehicle to be insured, the problem for you is technically, you were not supposed to be on the road without insurance and if you were not on the road, this accodent would never had happened. This argument may keep them from compensating you for your loss.

I find it hard to believe that Toyota would have let your insurance lapse. Most finace companies will force the owner of their vehicles drive the vehicle without insurance in order to protect their interist of the car. Commonly lenders will insure the car for a ridiculous rate that you are responsible for.

There is the potential here for a financial nightmare here for you.

My suggestion to you is to contact a local attorney, even if it costs you an hour of thier time, it would be well worth it, just to know where you stand. That way you are not surprised as to what may or may not happen.

A quesrion like yours although it is a good one cannot be answered fully on the web by anyone without knowing every detail about the accident without knowing every detail.

I hope everything works out in your favor, but I highly recomend speaking with a local attorney on this matter.

Good luck!

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Rob Painter, Ase, CFEI, CAFATE

Expertise

Please remember. I am not an attorney and cannot legal advice. My answers are based on my experience due to litigation I have been involved in as an expert, for both insurance companies and while oposing them opposing them. I deal with only comprehensive claims on autos related to fire and theft. I have even had the opportunity to rewrite policy coverage language as it relates to vehicle theft and forced entry for insurance defense attorneys.

Experience

Experience in the area: Working with insurance companies and attorneys on these issues for over 20 years. It is very common to have a reported stolen car with a so-called factory anti-theft system to have the theft claim denied. I have served successfully as an expert witness in the courts across the US representing the insured and their attorney revealing that the insurance expert did not take all known theories into consideration before rendering their "Forensic" conclusion. Many insurance carriers us independent "Forensic" experts to examine reported stolen vehicles commonly using flawed methodology implicating the innocent insured with the theft. My job is to determine if the insurance expert reached his conclusions based on accepted scientific principals or just net opinion with no basis other than opinion. My case record against such experts is very compelling.My resume can be seen at the catagory "Auto Theft and Prevention." In "Forensics" the scientific method must be employed. In the forensic locksmith field determining how a reported stolen vehicle was last operated, many processes cannot be duplicated and are conveniently not addressed. If they were, juries would have the opportunity to make a fair and impartial opinion at least about what the expert could or could not prove. There is a purported process determining the last key used. The chances of determining such is very rare uless the key is found in the ignition lock. Experts commonly destroy evidence as well and are rarely questioned on this event. I reveal the weakness in their testimony on such instances.

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