Fascinating information that makes one think twice about riding and the possible consequences.
(Reposted from the UTMC website @ www.blackletter.org)
The Truth About Motorcycle Accidents
By: Beemer Dan
We’ve all seen those TV commercials where the slimy lawyer talks about how he can get you “every penny you deserve”. They like to have case examples with people saying how much money they got for a hangnail. It’s enough to convince anyone that if they get hurt in any way by anyone or anything they’ll walk away a millionaire. In some cases that might be true, but when it comes to motorcycle accidents the story changes drastically. The sad truth is that you’ll be lucky to limp away with your pride and enough money to get a new bike. The following article covers the blunt truths about what to expect, what to beware of and what you can do to be better prepared.
Let’s begin by knocking some of the common myths.
Myth #1- My medical bills will be taken care of by the medical coverage on my motorcycle insurance.
Yes, it will, but if you think you have more than $6000 in personal medical coverage on your policy you had better take a closer look. Few insurance companies will insure you (on your bike policy) medically for more than $3000, and almost never for more than $6000. There are a few states where it is possible to get up to $10,000, but if you have that kind of coverage you know it, as you are paying a great deal extra for it. The higher numbers which you may think cover you, actually represent your liability insurance. For example, coverage of $50,000 per person and $100,000 per accident is for anyone that you hurt. Insurance companies lose nothing by providing high liability insurance to motorcyclists because the chances of someone in a car being injured by a collision with a motorcycle are slim.
On the good side, your passenger could be compensated somewhat if they are injured, but they will only be compensated for as much as your Òper personÓ liability coverage. If that coverage is $50K, it wont even pay for all of your passenger’s medical bills if they have been seriously injured, not to mention the compensation they will need for lost wages and regular monthly expenses. On the bad side, your $6000 will be gone by the time you get to the emergency room, and long before you go into the operating room. The disturbing part about the so-called medical coverage for you on your motorcycle policy is that, in essence, you don’t have any.
Myth #2- I have a separate health insurance policy that will cover my hospital bills.
If you are lucky enough to have a good health insurance policy, your medical bills will be covered… sort of. The insurance industry has a nasty little scam known as subrogation. What a subrogation clause does sounds somewhat reasonable at first, until it happens to you. You pay your premium every month so that if you have a medical emergency you won’t have to pay so much to the hospital. The problem with subrogation arises when you have injuries that are the fault of another party. When this is the case, insurance companies think they should get paid back for the money they spent on your medical bills and. they want to take it from your settlement.
So, if you have $75,000 in medical bills, and you get a settlement for $100,000 (because that was the Òper personÓ coverage on the other vehicle’s policy), your own health insurance company can legally take $75,000 from your settlement. After 33% goes to your attorney, you are left with just over $16,000. Does that sound like reasonable compensation for getting run over?
Now it seems that somewhere in there the insurance company is double dipping: they get paid once with your monthly premium and once from your settlement. A handful of states have had court rulings that say that the insurance companies cannot be paid twice. Among them,: Pennsylvania, Virginia, Missouri, Arizona, and Georgia. Also, in March of this year a Maryland appeals court ruled that the state’s HMO Act prohibited managed-care companies from pursuing subrogation at all. Currently, there are as many as a dozen class actions challenging subrogation in nine states, including Florida, Texas and Illinois.
If you don’t live in one of those states, you had better take a close look at your health insurance policy. If it has a subrogation clause, you may get shafted. With subrogation, the insurance company considers what they pay towards your medical bills a “loan”. A loan for which they will want to be paid back., In fact, the ÒreimbursementÓ sought by many health insurance companies is for the hospital’s billed charges (the fee for full-paying patients), even though the health plans get a discount. However, 25 states, Colorado among them, have statutes and case law requiring that injured people get fully compensated before health insurance companies can try to collect a portion of the personal injury settlement. The wording, Òfully compensatedÓ, is vague and it is up to the injured party to prove that they have not been fully compensated by the settlement.
{Much of the above information on subrogation comes from an article by Michelle Andrews in the July, 2000 issue of Newsweek}
Myth#3 -My bike insurance will cover the damages to my bike.
If you have comprehensive coverage on your bike, you’ll probably get fair market value if your bike is relatively new. Unless you have a special policy (and you’ll pay extra in your premiums for it if you do), you will not get paid for any aftermarket bits that were on the bike. The insurance companies won’t pay for your modifications, special paint job, carbon fiber pipe, chrome bits, nothing. You also have a deductible, subtract that amount from the bottom line. So, you could buy a $10,000 bike, put $3500 in accessories into it and add a $1000 paint job. Now say you’ve owned the bike for a few years, bluebook value is down to $8000 and your deductible is $500. You’ll be lucky to get $7500 for a bike that cost you $14,500. Ouch.
Myth#4- Personal Injury Protection (PIP) insurance will pay my lost wages, just like it does on cars.
Motorcycles are considered by all insurance companies to be “recreational vehicles”. This is the insurance company’s way of telling you that you cannot have PIP insurance for a motorcycle, despite the fact that it is mandatory for all cars. This means that where your insurance company will cover a percentage of your lost wages if you are in a car accident, they won’t if you’re in a motorcycle accident. Several bikers have told me that their insurance companies allow you the option of purchasing PIP coverage. Not so. I have contacted State Farm, Farmers, Geico, and Dairyland and asked each if they offer PIP coverage for motorcycles. In each case I was told that PIP is not available on motorcycle policies, nor is it an option that may be purchased at a higher premium. Many motorcycle rights groups are trying to negotiate for PIP insurance. Hopefully it will be possible in the future, but for now it isn’t there.
Myth #5- The bastard that ran me over will burn in court and never be able to drive again.
The horrible truth is that the system doesn’t care about you; the cops, the judge, the prosecutor and the general public all will look down on you, prejudging you as a reckless “biker” without the slightest ounce of mercy. Many cops tend to be prejudice against motorcyclists (even the cops that ride can be that way), thinking that there is an assumed risk in riding a motorcycle and you should just expect to get hurt. If the person that hits you runs a red light, that’s what the cop will give them a ticket for, and likely nothing more. If they make an illegal left-hand turn in front of you, they’ll get a ticket for failure to yield to right of way. If they run a stop sign, the cop may give you a ticket and say that you must have been speeding. If they back into traffic and hit you while in reverse, the cop may give you a ticket for following too closely. I know this all sounds a bit paranoid, but these exact situations have happened to people I know, and those were were the results. Police officers generally won’t cite the driver of the other vehicle with any more than minimal offenses unless they are drunk or driving illegally, and even then it seems to be rare.
Also know that the cops will likely not get your side of the story if you get hurt badly. You may be in shock and not remember what happened or you may be in route to a hospital while the cop is taking statements. The driver of the cage on the other hand will make up any story they can to prevent themselves from being at fault. One thing that can make things go your way is if there are witnesses. Most of the time the witnesses will tell it like they saw it. People generally will set their biases aside and try to do the right thing. Those bystanders that see the entire event unfold in front of them are your best bet for getting the driver of the vehicle that hit you to take the blame for their actions. As long as you aren’t in an unfavorable location, like getting hit on your ratbike in front of a country club by a rich member.
The courtroom is the worst of all, as far as the courts are concerned, whatever the cop wrote the ticket for is what the offender will be charged with. This is where the city attorney will likely give the wanker that ran you down some sort of sweet deal to not take up any more of the court’s precious time. They won’t add on anything after the fact unless your lawyer contacts the city attorney prosecuting the case and tries to get their cooperation. Sometimes even contacting the city attorney won’t do you any good, as they have large caseloads and generally aren’t too concerned about victims in traffic injuries. If the cop is the bottom of the barrel for giving this jerk only a violation for running a red light, the city attorney is the stuff underneath the barrel as they will cut that penalty in half just to get the person that hit you through the system faster.
The judge will likely give them a piddly little fine of a hundred bucks, lower their offense to “defective vehicle” and send them out the door. No jail time, no community service, no suspended license, nothing. This all sounds very bad, but the worst part is that you have absolutely NO bearing or influence on what happens to the careless bastard that ran you down, none at all.
Myth#6- You can sue for the amount of your damages.
Better sit down for this one, it’s the worst of all. If the person who hits you inflicts $75,000 worth of damage in hospital bills, that’s just the beginning. You’ll likely miss a couple of months of work and the accompanying wages. You also have to figure in mental anguish, When you’re sitting around in casts for a couple of months trying to figure out how to pay bills, you’ll have allot of mental anguish. If you remember the accident, you’ll probably have Post Traumatic Stress Disorder. PTSD is what lots of soldiers come home from war with… Any brutal or violent trauma can leave you with PTSD; it can give you constant nightmares, flashbacks, cause you fits of extreme anger, sadness, terror, depression and a million associated psychological disorders. If you have any sort of pre-existing disorders, you could be in a lot more trouble than you’re prepared for. PTSD will take your existing temper and turn you into a borderline sociopath. Or, you may go from a little depressed to full-blown suicidal.
If you are lucky enough to have health insurance, you are responsible for paying co-payments. Each prescription will run you $5 to $25 and each visit with a medical professional runs about $10. This adds up quickly when you are taking at least four different drugs and being seen by your primary care doctor, an orthopedic doctor, and physical therapists.
Often people forget about the expenses involved making your house safe, comfortable, and accessible while you recover. Did you hurt your legs or back? You’ll have to make sure your bed is high enough off of the floor so that you don’t have to bend or fall to get in and out of it. You will need grab bars for the shower so that you don’t fall. You’ll need something other than the bed to sit in because you have to keep your legs elevated. None of these things are covered by your own bike insurance or health insurance and you aren’t getting anything from the other persons insurance for a very long time. For many people, these items are an unaffordable luxury . In which case, what you called home before becomes a dangerous and frustrating environment .
Ready for more? How about property damages? Say your bike is worth $5000 and it’s a total, you also may have a couple hundred to a couple thousand in damages to your gear, not to mention any other items of value that might have been destroyed.
Now you can finally add in things like permanent scars and disabilities. What if you can’t run anymore, or walk without a cane, or you lose your vision or hearing. What if you can never ride again, or play your favorite sport, or you can no longer do your chosen profession. What if you get addicted to the painkillers (this is very common and is very difficult to deal with)? What if your face is badly scarred or you get permanent internal trauma or you lose a limb? All or any of these things could happen to you.
Depending on the severity of the accident and your injuries, you could easily end up with several hundred thousand dollars in damages. So lets see how this adds up with myth#5. You have a total of $350,000 in damages, but the other guy’s liability insurance is only $100,000 dollars. You now have the choice of suing for the limit of his insurance policy OR suing him for his personal assets, but you can’t do both. Insurance companies will make you sign a waiver stating that you will not pursue any further compensation from their insured. This means that after you settle, that’s it. That’s every penny you will ever get.
Now if the driver that hit you has $250,000 in assets, you can go after that instead. Now what if he only owns the crappy little car he hit you with and has no other assets and works a low paying job? Your only choice then is to settle for the $100,000 insurance policy. Your lawyer will get a third of this and you’ll be left with $67,000… maybe. This of course is a better scenario than most, because more than likely you’ll get hit by someone with minimal assets and an even lower insurance policy. Most states only require drivers to have $25,000 in liability insurance. A third of that $25,000 goes to your lawyer, now you’re left with around $16,666 until your medical insurance company comes to take their piece,. We all know what happens then.
The bottom line on all of this is relatively disturbing, sometimes even in the best case scenario. Unfortunately it is likely that you will never get fully compensated for the damages you have suffered. It is also likely that whoever hits you will actually get away with less physical and psychological problems, less financial problems and a joke of a slap on the wrist from our joke of a legal system.
Oh, and about the uninsured/underinsured insurance that you have on your motorcycle policy – You can only access this money if the amount if higher than the other persons liability insurance. Example: The person who hit you has a $100/300 liability policy. You have $350,000 in total damages. You have $25,000 in uninsured/underinsured coverage. You canÕt touch it. However, if you are involved in a hit and run or the person who hits you has $25,000 in liability (the minimum in Colorado) and you have $35,000 in uninsured/underinsured, then you can use your own policy.
If you are feeling a little helpless at this point, also know that there are things you can do to make things easier.
#1- Use preventative measures and wear protective gear (i.e.: a helmet, gloves, jacket, boots, riding pants and body armor):
This could be the difference between a broken bone and losing a limb. Road rash is extremely painful and leaves nasty scars, but it is also easy to prevent. Wear leather or kevlar and as much impact armor as you feel comfortable with. Too many people will buy expensive gear only to leave it at home because they don’t want to take the time to put it on or because it’s too warm outside. Make sure that the gear you get is the gear you will wear, otherwise it’s useless. Wear a helmet if you treasure your face and brain, they are very fragile and will lose in a collision with almost any surface. Some people don’t like to wear helmets and this is a personal choice, but imagine your face sliding for fifteen feet on the pavement and understand the possible ramifications of this choice. A helmet is uncomfortable on hot days, but it is much better than having your teeth ground off by the asphalt. The one day in many years of wearing a helmet that I chose not to, a truck ran a red light and hit me. My face wasn’t permanently damaged, but after nearly six months the multiple head injuries are still causing me headaches and memory loss.
#2-Get your motorcycle license:
Contrary to popular belief, there is a difference between a car endorsement and a motorcycle endorsement. Most riders who are involved in accidents do not have a motorcycle license. It’s not a coincidence. If you are serious enough about riding to be concerned about getting into an accident you should be serious enough to get your motorcycle license. It is also imperative to have your motorcycle registered and have your tags up to date. These things will matter when the cop is writing tickets at the scene of the accident.
#3-Have full coverage insurance on your bike and don’t ride without it:
If your bike is damaged or totaled in the accident you will be able to get compensated for damages within a few weeks. This will be very helpful for easing the pressure of finances since you may not be able to work. This also means that if you get nothing else (like a hit and run situation), you’ll at least be able to cover the loss of your bike. In the case that you are financing your motorcycle, you are required to have full coverage insurance. Trust me, this will help a great deal if you still owe on your bike. Best case scenario, insurance will also keep you from getting salt poured into your fresh wounds in the form of a very expensive ticket.
#4-Take a rider education course:
This is a good idea no matter how long you have been riding. Anyone who has been through a course will testify to that fact. They can give you tips that can make you a much safer rider. They also teach you many techniques for better riding that could keep you out of accidents that can be avoided. Another great thing about courses for new riders is that you can usually get your motorcycle license through them instead of taking the DMV’s crappy test.
#5-Don’t ride when tired, angry or under the influence of alcohol or drugs:
Riding when sleepy has a similar affect to riding drunk and slows your reaction times. Riding when angry means that your mind is somewhere else, and not on riding. Keeping a cool head will also make your ride much more enjoyable. Not riding on drugs or alcohol is self-explanatory, it’s stupid and will make things much, much worse. Also remember that over the counter drugs like allergy and cold medicines can cause just as many problems as alcohol or illegal drugs. Make sure to read and follow the warnings on prescription medication, and make sure you can safely take it and ride.
#6-Avoid rush hour and bar rush if possible:
When everyone else on the road is at their worst, it’s best to stay away. Bring the latest issue of your favorite motorcycle magazine with you to work and wait out the evening rush hour somewhere with a cup of coffee. Wouldn’t you rather spend an hour reading about motorcycles relaxing followed by a nice ride home than spending the same amount of time in traffic fighting for your survival? Bar rush is the worst. Around 1am the road becomes a frenzy of drunk, belligerent, tired, angry, careless and stupid drivers. One of these idiots may run you down and be too drunk to notice thereby leaving you bleeding and helpless in the middle of the street. Plan ahead and either get home before 1am, or find a coffeehouse or an all night cafe and wait until 3am. It’s inconvenient and annoying to have to spend all this time waiting around, but it’s better than dealing with some of the alternatives.
#7- Beware of the perfect day:
We always figure that riding in bad weather or in traffic is the most dangerous, well, it is. But don’t let a nice sunny Saturday morning fool you. Always be on your guard because an idiot in a big truck can strike at any time, especially when you least expect it.
#8-Make sure your health insurance policy does not have a subrogation clause.
If your motorcycle insurance policy has a subrogation clause, worry not. You won’t have to pay anything if they subrogate for the cost of your bike because that money comes out of a different part the other persons insurance. Medical insurance is the big one to worry about. If you have a group policy through your job that has a subrogation clause, make sure your employer knows about it. Let everyone know that subrogation applies to any accident where another party is at fault, be it a motorcycle, car or pedestrian.
#9 Find a good lawyer BEFORE you need one:
Find a good lawyer that has a good track record involving motorcycle personal injury cases. Some lawyers actually specialize in motorcycle related cases and can help you get through things as painlessly as possible. They will also be familiar with the many elements that are specific to your needs and will be able to answer your questions and know your concerns. If you can find a lawyer that you trust then you’re way ahead of the game if you are ever run over. The sooner a lawyer can get on your case the better the chances that things will go your way. Not to mention it’s no fun sitting in the hospital flipping through the yellow pages.
#10-Join motorcycle rights organizations and fight for the rights of all motorcyclists:
Many of the disturbing truths mentioned in this article can be changed through legislation and the pressures of public disapproval on the government. Read up on motorcycle rights groups like ABATE, AMA, MRF and Ride To Work. Ride To Work is an especially important group to join if your bike is your primary form of transportation, as they are advocates for the rights of “daily riders”. Check the bottom of this article for the addresses of motorcycle rights groups.
Most importantly, make sure you have friends and family that can help care for you so you aren’t alone in the hospital. Having friends and family with you in this kind of situation is sometimes the medicine that helps the most. This is especially important when you are released from the hospital, as most motorcycle wrecks are something that you will be recovering from for quite a while. Hopefully you will be one of those riders lucky enough to avoid getting into an accident. Hopefully you won’t need to ever have to go through the hell of trying to recover you health, sanity and financial security after such an ordeal. But remember, it is important to be prepared for the worst, and hope that those preparations are never needed.
Keep the rubber side down.