If you’re recovering from injuries after a car wreck and staring down rising expenses, it’s completely fair to wonder what the other driver’s policy actually covers. Getting a straight answer from their insurance company isn’t always simple, but your lawyer can request a car accident policy limit disclosure, so you know what you are working with.
An auto accident attorney with Moore Law Firm will help you get answers from the start of the process. Reach out today for a free consultation.
Car Accident Policy Limit Disclosure: What You’re Entitled To Know
Insurance policy limits refer to the maximum amount an insurer will pay for a claim under a particular policy. Many states require insurance companies to disclose policy limits to claimants when requested, but Texas is not one of them. In Texas, there’s no automatic rule that forces an insurer to disclose these numbers just because you ask.
Car accident policy limit disclosure typically occurs during the discovery process, following the filing of a lawsuit. If you’re trying to settle a claim early, you might run into a wall. Adjusters might withhold that information as a negotiation tactic. Without knowing how much coverage exists, you might accept far less than your claim is worth, just to get the case over with.
A car accident lawyer will know how to push back. They can make formal demands with proper legal justification. Sometimes, they can leverage the potential of a bad faith claim if the insurer refuses to engage in meaningful settlement discussions. They might state they will proceed to litigation to determine policy limits in discovery. That alone may prompt a disclosure sooner than expected.
Why Insurance Companies Often Refuse to Be Upfront
Insurance companies operate under one principle: minimize payouts. When you’re not represented, they assume you won’t know what to ask or how to demand it. They may avoid telling you the policy limits altogether, hoping you’ll accept whatever number they toss your way.
This isn’t just about being difficult. If you accept a settlement offer without knowing the full policy coverage, the insurer effectively closes the claim without revealing what they really could have paid. Once a release is signed, there’s usually no going back.
A Moore Law Firm attorney will never let that happen. They’ll identify whether the at-fault driver carried the state minimum liability coverage or if there might be umbrella coverage or other hidden policies involved. You shouldn’t be left guessing while bills pile up.
When Can We Legally Obtain That Information?
While insurers may dodge the question informally, Texas courts provide a pathway to answers once litigation begins. When we file a lawsuit on your behalf, we’ll request insurance information during the discovery process. At that point, the insurer must disclose the policy limits and coverage details.
That legal process may sound like a big step, but sometimes it’s the only way to get honest answers. If the insurer won’t cooperate in the early stages, we’ll use formal legal tools to compel a response. That’s often enough to bring them to the table with more realistic settlement offers.
The Texas Department of Insurance outlines the general rights of consumers under state law, and that includes the right to prompt and fair handling of claims.
Why Knowing the Policy Limits Changes Everything
When you know the other driver’s insurance limits, you’re no longer negotiating in the dark. It allows you to assess whether a proposed settlement even scratches the surface of your real losses. For example, suppose your medical expenses already exceed the policy’s coverage. In that case, you may need to explore additional options, such as filing a claim with your own underinsured motorist coverage or pursuing a lawsuit directly against the driver.
Without that information, you risk settling for a fraction of what you’re owed. You also won’t know if the insurer is playing fair or stringing you along. A car accident attorney will recognize when an offer is low based on what’s being withheld, and they’ll demand full transparency to level the playing field.
What If They Still Refuse to Disclose?
When an insurance company flat-out refuses to reveal policy limits, even after formal requests, it may open itself up to liability. Texas law doesn’t explicitly require insurers to hand over this data before a lawsuit is filed, but courts don’t look kindly on tactics that prevent fair settlement discussions.
If we encounter a stonewalling insurer, we’ll consider whether they’re acting in bad faith. That could lead to additional penalties down the road. At the very least, it puts pressure on them to disclose the information quickly or risk further legal consequences.
Call Our Texas Car Accident Attorneys Before You Settle for Less
If you’ve been injured in a crash and the other driver’s insurer won’t provide the proper car accident policy limit disclosure or other information, don’t wait until it’s too late. We’ll step in, request the right documents, and – if needed – file the necessary paperwork to get the answers you deserve. You shouldn’t be kept in the dark when your future depends on clarity.
Let us deal with the tactics and pushback. You’ve got enough on your plate already. The sooner you reach out, the sooner we’ll begin uncovering what they’d rather not share. Use our online contact form or call 504-840-5529 to schedule a free consultation with a skilled car accident lawyer from Moore Law Firm.
Frequently Asked Questions (FAQ)
Q: Is an insurance company required to disclose policy limits in Texas after a car accident?
A: No, Texas law does not require insurers to automatically disclose policy limits upon request. Disclosure often occurs during the discovery phase of a lawsuit.
Q: Why would an insurance company refuse to disclose policy limits?
A: Insurers often withhold policy limits as a negotiation tactic to potentially settle for a lower amount before revealing full coverage.
Q: How can a lawyer help obtain car accident policy limit disclosure?
A: A lawyer can make formal demands, leverage potential bad faith claims, and initiate litigation to compel the insurer to disclose policy limits.