If the at-fault driver doesn’t have enough insurance to cover your injuries in South Carolina, you may still have options for recovering compensation. These may include underinsured motorist (UIM) coverage, additional liability insurance policies, or claims against other legally responsible parties.
However, additional compensation is not guaranteed, and accepting a settlement without reviewing your options could affect your ability to recover more.
Imagine being seriously injured in an Orangeburg car accident. The other driver admits responsibility, but their insurance company informs you that the driver carries only $25,000 in bodily injury coverage.
Your medical bills already exceed $60,000. You’ve missed work, and your doctor recommends additional treatment.
What happens to the remaining expenses?
The answer depends on your available insurance, the circumstances of the accident, and whether additional sources of compensation exist.
Understanding these possibilities can make an important difference in protecting your financial future.
1. Why South Carolina's Minimum Insurance May Not Be Enough
What Are South Carolina’s Minimum Insurance Requirements?
Under South Carolina Code § 38-77-140, drivers must carry minimum automobile liability insurance of:
- $25,000 for bodily injury to one person.
- $50,000 for bodily injuries to multiple people in one accident.
- $25,000 for property damage.
These requirements are commonly called 25/50/25 coverage.
While these limits satisfy South Carolina’s minimum insurance requirements, they may fall far short of covering a serious injury.
A single accident can result in emergency transportation, surgery, hospitalization, rehabilitation, lost wages, and ongoing medical treatment.
Even without surgery, treatment for a significant injury can quickly exceed $25,000.
What If Several People Are Injured?
When multiple people are injured, available insurance may have to cover several claims.
For example, if three passengers suffer serious injuries in the same accident, the responsible driver’s minimum bodily injury policy generally provides no more than $50,000 for the accident, subject to the $25,000 per-person limit.
That amount may be insufficient to compensate everyone.
Does the Insurance Limit Determine What Your Case Is Worth?
No.
An insurance policy limit is not the same as the value of a personal injury claim.
If your legally recoverable damages total $150,000 but the at-fault driver has only $25,000 in applicable liability coverage, your claim does not automatically become worth just $25,000.
The responsible driver may remain legally liable for damages exceeding their insurance coverage.
The important question is whether additional compensation is available and realistically collectible.
2. Can Underinsured Motorist Coverage Help?
What Is Underinsured Motorist Coverage?
Underinsured motorist coverage, commonly called UIM, is optional insurance that may provide compensation when an at-fault driver’s available liability coverage is insufficient to cover an injured person’s damages.
South Carolina requires insurance companies to offer UIM coverage, but motorists are not required to purchase it.
Under South Carolina Code § 38-77-160, insurers must offer qualifying UIM coverage up to the insured’s liability limits.
This protection can become especially valuable after a serious accident.
How Does UIM Coverage Work?
Consider a hypothetical accident involving a driver who runs a red light.
The injured person suffers damages that include:
Type of Loss | Amount |
Medical expenses | $65,000 |
Lost income | $20,000 |
Future medical care | $25,000 |
Other recoverable damages | $40,000 |
Total damages | $150,000 |
The at-fault driver carries only $25,000 in bodily injury liability coverage.
If the injured person has applicable UIM coverage, that policy may provide another source of compensation.
However, UIM does not automatically pay the difference between the driver’s insurance and the total damages.
Payment depends on the policy, applicable limits, coverage rules, proven damages, and other legal considerations.
What If You Don’t Know Whether You Have UIM?
Review your automobile insurance declarations page.
Look for terms such as Underinsured Motorist, UIM, or Underinsured Motorist Bodily Injury.
If you’re uncertain, request a complete copy of your automobile insurance policy.
Remember that uninsured motorist coverage and underinsured motorist coverage are different.
Uninsured motorist coverage (UM) generally applies when the responsible driver has no liability insurance, including certain qualifying hit-and-run accidents.
Underinsured motorist coverage (UIM) applies when the responsible driver has insurance, but the available limits are insufficient.
South Carolina requires minimum UM coverage, while UIM remains optional.
Can Multiple UIM Policies Apply?
Potentially.
South Carolina allows insurance stacking in certain circumstances, meaning qualifying coverage from multiple vehicles or policies may be combined.
However, eligibility depends on the person’s insured status, the vehicle involved, policy provisions, and statutory limitations.
Owning several vehicles does not automatically guarantee additional coverage.
3. What Other Compensation Might Be Available?
Could Another Insurance Policy Apply?
Before accepting a policy-limits settlement, determine whether the identified insurance policy is the only applicable coverage.
For example, an accident involving a delivery driver or employee operating a company vehicle may raise questions about commercial insurance and employer responsibility.
Additional coverage may also exist through the vehicle owner’s policy or other applicable insurance arrangements.
However, the fact that someone was driving a work vehicle does not automatically establish employer liability.
The circumstances of the collision must be investigated.
Could Someone Else Be Legally Responsible?
Some collisions involve multiple contributing factors.
Potentially responsible parties might include another negligent driver, an employer, or a manufacturer whose defective vehicle component contributed to the accident.
Liability must be supported by evidence.
For example, a defective braking system could warrant investigation, but brake failure alone does not establish a manufacturing defect.
Can You Sue the At-Fault Driver Personally?
Potentially, yes.
A negligent driver may remain personally responsible for damages exceeding available insurance.
However, recovering money directly from an individual can be difficult when that person has limited assets or income.
Winning a judgment does not guarantee collecting it.
A personal injury attorney can help evaluate whether pursuing compensation beyond the available insurance is practical.
Can Health Insurance or MedPay Help?
Health insurance may cover eligible medical treatment while your personal injury claim is pending.
Some automobile policies also include optional medical payments coverage, commonly called MedPay.
MedPay may help with qualifying medical expenses regardless of fault.
However, health insurers and certain benefit programs may have reimbursement rights involving an eventual settlement.
Understanding those obligations helps injured people evaluate how much compensation may remain after expenses.
4. Why You Should Be Careful With a Policy-Limits Settlement
What Is a Policy-Limits Settlement?
A policy-limits settlement occurs when an insurer offers the maximum amount available under a particular coverage limit to resolve specified claims.
If the negligent driver has $25,000 in bodily injury liability coverage, their insurer may offer that amount in exchange for a settlement release.
For someone facing overdue medical bills, the offer may seem like the obvious choice.
But before accepting, you should understand precisely what rights the settlement affects.
Does Accepting the Settlement End Your Case?
Not necessarily.
A properly structured settlement with the liability insurer may resolve claims against the negligent driver while preserving an appropriate UIM claim.
South Carolina law provides that a UIM policy cannot require the insurer’s consent to a settlement with the at-fault party.
Nevertheless, settlement language and procedural requirements remain important.
If litigation is necessary, South Carolina law also includes specific requirements for serving pleadings on the UIM insurer.
Why Does the Settlement Release Matter?
A settlement release identifies the claims and parties being released from liability.
Before signing, determine:
- Which individuals or companies are being released?
- Could the agreement affect a remaining UIM claim?
- Have all relevant insurance policies been identified?
- Are additional medical treatments expected?
- Are there outstanding medical reimbursement obligations?
An insurance company may accurately state that its policy has a maximum payment limit.
But that does not necessarily mean every available source of compensation has been investigated.
A careful review can help prevent an injured person from unintentionally surrendering important legal rights.
5. How to Protect Your Claim When Insurance Runs Out
Identify Every Potential Insurance Policy
Review the at-fault driver’s liability insurance, your own automobile coverage, and any other policies that might apply.
If the accident involved a commercial vehicle or another potentially responsible party, investigate whether additional liability insurance exists.
Document Your Complete Injuries
Keep copies of medical records, bills, treatment recommendations, prescriptions, and lost wage information.
Serious injuries can create expenses extending far beyond the initial hospital visit.
If future treatment or reduced earning capacity is expected, obtain supporting medical and financial documentation.
Preserve Accident Evidence
Save photographs, witness information, police reports, dashcam footage, and other available evidence.
Even when the at-fault driver’s insurer offers its policy limits, another insurer may dispute liability or the extent of your damages.
Notify the Appropriate Insurance Companies
Provide appropriate notice to insurers that may offer coverage and carefully review their claim requirements.
Different policies may involve separate conditions and procedures.
Avoid assuming that filing a claim with one insurer automatically protects your rights under every other policy.
Don’t Miss Legal Deadlines
Many South Carolina personal injury lawsuits are subject to a three-year statute of limitations under South Carolina Code § 15-3-530.
However, exceptions and different deadlines may apply.
Insurance negotiations do not automatically extend the time available to file a lawsuit.
Seeking legal guidance early can help protect your claim while coverage questions are being resolved.
Frequently Asked Questions
Q: What happens if my medical bills exceed the at-fault driver’s insurance?
You may have additional options through applicable UIM coverage, other liability policies, or claims against additional responsible parties. These possibilities depend on your circumstances.
Q: Does South Carolina require underinsured motorist coverage?
No. UIM coverage is optional, although automobile insurers must offer it as required by state law.
Q: Can I use my own insurance if someone else caused the accident?
Potentially. Applicable UIM or medical payments coverage may provide benefits even when another driver caused the collision.
Q: Will UIM automatically cover the remaining damages?
No. You must establish the necessary legal and insurance requirements, including covered damages and applicable policy limits.
Q: Should I accept the at-fault driver’s policy-limits offer?
Not before reviewing the settlement terms, your injuries, and any additional insurance that may apply.
Q: How long do I have to file an injury lawsuit?
Many South Carolina personal injury lawsuits have a three-year filing deadline, although important exceptions exist.
Conclusion: Don't Assume Limited Insurance Means Limited Options
Discovering that the driver responsible for your injuries carries insufficient insurance can be discouraging.
Medical expenses continue accumulating while lost income and ongoing treatment create additional financial pressure.
But the negligent driver’s liability policy may not be the only available source of compensation.
Underinsured motorist coverage, additional insurance policies, or claims involving other responsible parties could provide important options.
The key is identifying those possibilities before accepting a settlement that may affect your legal rights.
Injured by an Underinsured Driver in South Carolina?
The Bill Connor Law Firm, based in Orangeburg, South Carolina, represents individuals injured in automobile accidents and other personal injury matters.
Attorney Bill Connor brings a distinguished background to his practice:
- Retired U.S. Army Infantry Colonel
- AV® Preeminent™ Peer Review Rating by Martindale-Hubbell®
- Multi-million-dollar verdicts and settlements
Guided by his Christian values and commitment to serving others, Bill Connor helps injured South Carolinians evaluate their claims and pursue appropriate compensation.
If you’ve been injured in Orangeburg, Columbia, Charleston, or elsewhere in South Carolina, the firm can assist with personal injury claims, underinsured motorist coverage questions, insurance negotiations, and related legal proceedings.
Before accepting an insurance company’s final offer, make sure you’ve explored the compensation that may be available to you.
Contact The Bill Connor Law Firm in Orangeburg, SC, to discuss your case.
This article is intended for general educational purposes and does not constitute legal advice. Insurance coverage and personal injury claims depend on the specific circumstances and applicable South Carolina law.