Who pays personal injury claims after a car accident?

Earlier in 2023, we shared data from The Association of Consumer Support Organisations (ACSO), highlighting that 50% of people who had been in a no-fault car accident in 2022 hadn’t brought a compensation claim.

In addition to this number, the data also dove into some of the reasons why, highlighting that:

  • 25% of people didn’t know they were entitled to bring a personal injury claim.
  • 23% were worried about the legal costs of bringing a road traffic accident claim.

From speaking to our clients, we also know that one of the most asked questions at the start of a claim is, “who pays the compensation?”

Why do people ask this question?

We don’t know. Perhaps people feel like when they bring a personal injury claim that they’re claiming against the other party. It’s easy to see why someone might feel bad or not want to bring a claim if they don’t think the other party could afford to pay them.

But thankfully, if you bring a personal injury claim after a no-fault accident, it isn’t the other driver personally who pays out.

So who pays compensation after a car accident?

In most cases, the other party’s insurance company will pay your personal injury compensation, including any special damages you claim.

Because the insurance company will, naturally, be looking to minimise its costs, it may look to settle with you as soon as possible. However, there are various reasons why you shouldn’t accept the first compensation offer from an insurer.

What if the other driver wasn’t insured?

Being involved in an accident with an uninsured driver is many motorists’ worst nightmare. Car insurance companies recognise this, so most of them now offer an “uninsured driver promise,” meaning you don’t lose your no-claims bonus or have to pay your excess should you end up in such a scenario.

Thankfully, there’s also an avenue for you to claim personal injury compensation if an uninsured driver hits you. You would submit your claim to the Motor Insurers’ Bureau (MIB) in these cases. In addition, if a driver hit you who then left the scene and couldn’t be traced, you could also bring a claim via the MIB in these circumstances.

Does anything happen to the other driver?

It depends on the nature of the accident.

In most cases, the consequences of being at fault for a car accident are purely financial, with the driver seeing a potentially significant increase in their insurance premium.

However, the driver could face prosecution if they acted criminally or were traced after leaving the scene.

Ultimately, your priority after being involved in a car accident is your well-being and that of anyone who was in the car with you at the time.

If you’re unsure of what you should do after a car accident or you’re not sure if you were liable for the accident, take legal advice from a personal injury solicitor.

Start your personal injury claim with LawPlus Solicitors

If you’ve suffered an injury in a car accident that wasn’t your fault, LawPlus Solicitors can help you get the compensation you deserve.

Contact us now for a free, no-obligation review of your accident and injury. If we believe you have grounds to claim personal injury compensation, you can instruct us to bring your case on a no-win, no-fee basis.


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