Almost everyone knows driving under the influence of drugs or alcohol is a bad idea. Even having a 0.05 blood alcohol level doubles your chance of getting into an accident. What people may not know is that their auto insurance providers may deny insurance claims for accidents caused by intoxicated driving. Here is how this can happen.
Intentional Incidents Not Covered
Pretty much all insurance companies have clauses in their contracts stating that they will not cover intentional incidents. This means that if you crash your vehicle on purpose or deliberately cause damage to it in other ways, the company won't cover repairs, medical bills, or other costs you may incur as a result. This is important to understand, because some insurance companies may put DUI accidents into this category.
To justify the denial of benefits, the insurance company may argue that your choice to consume alcohol or drugs and get behind the wheel of vehicle was an intentional act because you likely knew the risks involved. Therefore, since the accident stemmed from intentional conduct, it's ineligible for coverage.
Whether or not the insurance company can actually get away with denying your DUI-accident-related claim depends on the language in your policy. Some policies specifically state that DUIs are not covered, so you'll need to examine your coverage or talk to an insurance representative to determine if this is case with your provider. In any case, your attorney will need to make a compelling counterargument as to why you should be covered, which may be challenging depending on the circumstances.
On the other hand, state laws may prohibit insurance companies from denying coverage for an accident. This is usually the case in states with no-fault insurance laws, such as Florida, Michigan, and New Jersey. In these states, drivers receive compensation for accidents regardless of who or what was at fault. This is generally because people must file claims against their own policies (rather than the at-fault driver's) and, in some situations, can't sue for compensation unless their damages and losses reach a certain threshold.
Coverage May Be Limited
Another way insurance companies may limit coverage for DUI accidents is by refusing to pay for damages that may be awarded for intentional misconduct. It's not unusual for a personal injury attorney to add this type of claim to a lawsuit, particularly when alcohol or drugs were involved. The attorney may ask the court to award the plaintiff money for the defendant's bad behavior. If the court agrees and gives the plaintiff a sum of cash for intentional misconduct, the insurance company will point to the intentional incident clause in the policy and refuse to pay what's owed. This means you would have to leverage your own assets to pay that part of the judgment.
Insurance companies will also typically pay for an attorney to defend you in auto accident cases. However, if the case involves intoxicated driving, they may refuse to assign an attorney or cover the cost. This is likely because of the criminal element associated with DUIs. Intoxicated driving is illegal, and the insurance company may not want to be seen defending illegal behavior, or the company may feel that there is some type of risk associated with doing so.
DUI accidents can be hard to deal with, especially if there were injuries involved. Having your insurance company refuse to cover the incident can only compound your problems. For advice on how to deal with an insurance company who is denying coverage for a DUI accident or assistance with litigating an accident case, contact an attorney. Click here for info about this issue.
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