Car Accident Law Flashcards
6 cards from real accident attorney practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Car Accident Law flashcards as text
What is 'bodily injury liability' (BI) coverage in an auto insurance policy?
Answer: Coverage that pays for injuries the policyholder causes to other people in an at-fault accident
BI liability coverage pays the medical expenses, lost wages, and pain and suffering of people the insured injures in an at-fault crash, up to policy limits.
What is a 'medpay' or Medical Payments coverage in auto insurance?
Answer: Coverage that pays the policyholder's medical expenses after an accident regardless of fault
MedPay is a first-party coverage that reimburses the policyholder and passengers for medical bills resulting from a car accident, without regard to who caused the crash.
How does a 'reservation of rights' letter affect an accident claim?
Answer: The insurer agrees to defend the insured while preserving its right to deny coverage later if an exclusion applies
A reservation of rights letter allows the insurer to investigate and defend the claim while not waiving coverage defenses it may raise if coverage is ultimately found to be excluded.
What is 'coverage stacking' in an uninsured motorist claim?
Answer: Combining UM coverage limits from multiple vehicles or policies to increase total available coverage
UM stacking allows policyholders to combine UM limits from multiple insured vehicles (e.g., three cars × $100K = $300K total) when one policy's limits are insufficient.
What does 'pain and suffering' damages include in a car accident claim?
Answer: Compensation for physical pain, emotional distress, anxiety, and reduced quality of life caused by the injury
Pain and suffering damages are non-economic and compensate for the subjective negative experiences — physical discomfort, mental anguish, and lifestyle limitations — caused by the accident injuries.
What obligation does an accident victim generally have to 'mitigate damages'?
Answer: The plaintiff must take reasonable steps to reduce their losses, such as following medical advice and seeking treatment promptly
A plaintiff who unreasonably fails to seek treatment or follow medical advice may have their damages reduced by the amount that could have been avoided through reasonable mitigation.