Lawsuits are common in car insurance claims. However, you might be thinking whether the legal costs are covered by your insurance agency, or you need to pay them. Here’s a brief overview that will help you understand whether your auto insurance coverage includes legal expenses.
If you are involved in an accident and sued by the other driver, your auto insurance coverage costs will include your legal fees. In most cases, your insurance carrier will hire a lawyer for you.
However, if you choose to sue the other party, your insurance agency will not offer any financial help. You need to hire a lawyer. If you win the lawsuit, the other party’s insurer will pay your legal costs.
You don’t need a separate policy in Texas since your carrier will provide liability insurance. Here are the two types of coverage you can expect:
Duty to Defend is a clause that means your insurer will protect you in the event of a lawsuit. However, it comes with a few exceptions:
Read the fine print and review your policy exclusions to learn whether your auto insurance covers legal fees in the event of a lawsuit. For assistance with your auto insurance coverage, contact the experts at Mike Leonard Insurance. We can connect you with our top carriers, including Kemper, MetLife, Nationwide, Travelers, Safeco Insurance, Progressive, and American Strategic Insurance, to find the right insurance policy.