It can depend on your State. If you are in a no fault State, each company takes care of its own insured. In most other States it works this way: Insurance first follows the driver and then the car. If I lend my car to my friend and he is in an at fault accident, his insurance pays first. My insurance is secondary. When you lend your car make sure the driver has insurance. Otherwise your insurance will pay for his accident but it will go against you and you could get a big rate increase or be canceled at renewal.
If YOU are in an accident, always exchange insurance information, regardless of the severity. If there is any damage then you need to file an accident report with the police. If you are at fault your insurance company will pay for any liability or property damage to the other vehicle. Your insurance will help pay medical expenses for anyone in your vehicle under the Medical Pay portion up to your Medical Pay limit, usually between $1000 and $10,000 depending on your policy. Your Collision coverage would cover your vehicle. The reverse is true if the other driver is at fault.
CEO, RLI - Ruth Ladas Insurance, LLC, Fort Myers, Florida
My state, Florida, is a no-fault state. This means that each car is required to have a minimum amount of coverage. At the time of this writing, that is 10,000 per person / 20,000 per accident (this is medical coverage for you - and family if that option is chosen) and 10,000 property damage (this is for the other person's car). There are lots of additional coverage that may be added to this minimum coverage....for example additional liability for people and for property, rental car and towing coverage. Regardless of fault, the first responding policy is your own, regardless of fault.
At the time of the claim, the parts of the policy that are applicable will be utilized by the adjuster to pay the claim. If the value of the personal injury portion of the claim exceeds the minimums and if the at fault party has additional liability on their auto policy, then the at fault parties insurance would be responsible for additional payment. If the at fault person does not have additional liability and if you purchased uninsured motorist coverage on your policy, then your policy pays the additional personal injury.
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If YOU are in an accident, always exchange insurance information, regardless of the severity. If there is any damage then you need to file an accident report with the police. If you are at fault your insurance company will pay for any liability or property damage to the other vehicle. Your insurance will help pay medical expenses for anyone in your vehicle under the Medical Pay portion up to your Medical Pay limit, usually between $1000 and $10,000 depending on your policy. Your Collision coverage would cover your vehicle. The reverse is true if the other driver is at fault.
At the time of the claim, the parts of the policy that are applicable will be utilized by the adjuster to pay the claim. If the value of the personal injury portion of the claim exceeds the minimums and if the at fault party has additional liability on their auto policy, then the at fault parties insurance would be responsible for additional payment. If the at fault person does not have additional liability and if you purchased uninsured motorist coverage on your policy, then your policy pays the additional personal injury.