What do you mean that’s all I can get?
How Low Insurance Limits Can Dramatically Reduce Your Injury Recovery
Most people assume that if they are hurt in a car crash, the at-fault driver’s insurance company will simply pay whatever the claim is worth. Unfortunately, that is not how the system works in Virginia.
Virginia’s Updated Minimum Auto Insurance Requirements
As of January 1, 2025, Virginia increased the minimum liability limits required for auto insurance policies. Virginia Code § 46.2-472. There is an important detail that many people do not realize:
The new limits apply only if the crash occurs on or after January 1, 2025, and only if the insurance policy was issued or renewed on or after that date.
If either the crash or the policy predates January 1, 2025, the older and lower minimum limits may still apply.
The current minimum required limits are:
- $50,000 for bodily injury or death of one person
- $100,000 for bodily injury or death of two or more people per accident
- $25,000 for property damage
These limits represent the highest amount a minimum policy is required to pay, even when your actual losses are significantly higher.
Why Insurance Limits Matter More Than You Think
In simple terms: Limited coverage occurs when the value of your damages is greater than the amount of insurance available to cover them.
Consider a situation where the at-fault driver carries only a minimum policy. If you are seriously injured, even a single emergency room visit, diagnostic imaging, and follow-up treatment can exceed $50,000. Once the insurer pays up to its limit, it has no further obligation, regardless of the severity of your injuries or the extent of your damages.
Limited coverage is not just a concern for people with minimum limits. Even drivers who carry $100,000 or $250,000 in coverage may find that their insurance is insufficient after a surgery, extended medical care, lengthy recovery, or significant wage loss.
Can You Sue the At-Fault Driver Personally?
Technically, you can pursue the at-fault driver for any damages that exceed insurance limits. In practice, this rarely results in additional recovery. Many drivers do not have assets that can be collected, and bankruptcy laws often make personal collection impossible. For most injured people, insurance coverage represents the practical limit of what can be recovered.
How to Protect Yourself Before an Accident
You cannot control what insurance another driver purchases, but you can take steps to protect yourself.
1. Increase Your Own Liability and UM/UIM Limits
Raising your own liability limits and ensuring you have strong uninsured and underinsured motorist (UM/UIM) coverage is the most effective way to avoid a limited-coverage situation. UM/UIM coverage protects you when the at-fault driver’s insurance is not enough to compensate you.
2. Add Medical Payments (MedPay) Coverage
MedPay helps pay your medical bills quickly, regardless of who caused the crash. It is paid in addition to any settlement or judgment and is often inexpensive.
Final Thoughts
Many people assume that the seriousness of their injuries is what determines the value of their claim. In reality, insurance limits often create the real ceiling for recovery.
If you have been injured in a motor vehicle collision, it is important to understand what coverage is available and whether the new Virginia limits apply. For guidance and a full evaluation of your situation, consult Leslee M. Reid, Esq. at Cornerstone Law Group PLLC.
You can learn more or request a consultation here:
Phone: (549) 898-8881
