Who Is Responsible For Car Repair Costs Following a Car Accident?
Under Michigan law, your own car insurance company is responsible for paying the vehicle damage following a car crash. This type of coverage is called collision coverage. If you purchased collision coverage, then a repair estimate will be performed and the insurance carrier will pay for vehicle repairs, minus your deductible.However, if you only have PLPD (personal liability and property damage), and did not purchase collision coverage, then your own car insurance will not pay for vehicle repairs.The car insurance company for at-fault driver who caused the vehicle damage is only responsible to pay up to $1,000 in damages for the vehicle repair. This is a called a mini-tort claim. To obtain a mini-tort recovery you must prove the other driver was at-fault. In addition, the at-fault vehicle must have the mini-tort coverage as part of his or her car insurance coverage. Most car insurance policies include mini-tort coverage.It is important to check your car insurance periodically to make sure you have the protection you think you have. I have had many clients call me and tell me they “have full coverage” when in fact they did not. If you don’t have full coverage (collision coverage), then you are very limited in the compensation you can get for your damaged car following a crash, even if you did not cause the wreck.