As a driver, you may wonder if your car insurance will cover parking lot accidents and injuries.
The extent of your coverage depends on the type of auto insurance policy you have.
What Kind of Insurance Will Cover Parking Lot Accidents?
Several types of car insurance can help you in the event of a parking lot accident, whether your car is in a fender bender or parked:
Collision Coverage: Pays out to fix your vehicle no matter who was at fault, minus your deductible, usually around $250 to $1000. Repairing a fender and bumper in a parking lot accident can cost you anywhere from $1500 to $3500. If you're not at-fault for the accident and you can identify the other driver, you can file a claim with their insurance company and not have to pay anything to fix your car.
Liability Coverage: If you are at fault, your property damage liability will cover the cost of fixing the other driver's vehicle, up to your policy's limit. Keep in mind that state minimums can vary slightly. California requires $15,000, while Illinois requires $20,000 and Texas requires $25,000. On the other hand, if the other driver is at fault, their liability coverage will cover the cost of repairing your vehicle.
Comprehensive Coverage: Covers non-collision damage to your parked car such as theft, vandalism, falling tree limbs, hail or fire. The comprehensive deductible is usually lower than your collision deductible, ranging from $100 to $500.
Uninsured/Underinsured Motorist Coverage(UM/UIM): This is for when a driver with no insurance or not enough insurance hits you. UMPD (Uninsured Motorist Property Damage) specifically covers hit and runs in some states like Illinois, California and Virginia. Other states like Texas and Georgia don't make it mandatory so drivers without this protection are at risk from uninsured drivers. Illinois requires UM limits that match your liability limits, so a good starting point is 25/50/20.
Personal Injury Protection (PIP): PIP is for no fault states like Michigan, Florida and New Jersey that pays out for medical expenses and lost wages no matter who's at-fault. Some of these places have pretty high state minimum requirements. Michigan which has unlimited coverage and Florida which has a $10,000 minimum requirement. In states that are at-fault like Illinois and Texas you can still pay for MedPay but it's not required. Medpay coverage options range from $1,000 to $10,000.
Rental Reimbursement Coverage: Covers the cost of a rental car while your own vehicle is in the shop after a collision or comprehensive claim. Daily limits are typically around $30 to $50 with a maximum of 30 days for the rental. Rental car companies such as Enterprise, Hertz and National take care of all of this for you with most of the major insurance carriers.
Property Damage Liability Coverage: Covers up the cost of any damage you cause to another person's vehicle or property. If you hit a parked car, this will pay for their repairs up to your auto policy's limit. If you carry only state minimums like $15,000 in California or $25,000 in New Jersey, you can be responsible for any excess costs. Especially if you cause major damage to a new or expensive vehicle.
What Should I Do After a Parking Lot Accident?
Steps to take when you get into a parking lot accident are listed below.
1. Assess the Situation and Get Evidence
Check for injuries and see if your car needs to be moved. If it's in a bad spot, move it somewhere safer.
Take clear photos of your car from multiple different angles and the surrounding area.
Find nearby witnesses who saw the accident and can give you info.
2. Call the Police
A police report is key, especially if it's a hit-and-run. An official record will come in handy when you file your insurance claim.
If there are injuries, call for medical help right away.
Write down the police officers names and badge numbers to get a copy of the accident report afterwards.
3. Gather Relevant Info about the Accident
If the other driver is around, get their contact info, license number, plate number, registration, and insurance card.
Write down the time, location, and any other factors that might have caused the accident.
Look for security cameras in the parking lot that might have caught the incident.
4. Call Your Insurance Company to File a Claim
Report the accident to your insurance company ASAP. Many insurance companies have time limits to file a claim.
Send all the evidence you gathered: photos, witness statements, and police report for support on your claim.
Depending on your insurer, you can file the claim either online or on the phone.
Who's at Fault in Parking Lot Accidents?
Like on the roads and highways, at-fault determination in parking lot accidents determines which driver's insurance policy will cover the damages and whether any out-of-pocket expenses will be incurred.
Why Does Fault Matter?
A parking lot car crash can really get expensive, both in terms of your insurance premium and out of pocket costs. An at-fault claim tends to raise your auto insurance rates between 20 to 40 per cent at your next renewal. That increase can last for anywhere from 3 to 5 years depending on where you live and the carrier you have your policy with. In Illinois, the average increase is a fairly hefty 32 per-cent for at fault collisions.
In at-fault states like Texas and Georgia, the driver responsible for the accident bears the full financial responsibility. In no-fault states like Michigan you can file through your own PIP (Personal Injury Protection) no matter who caused the crash.
How is Fault Determined?
Insurance adjusters determine which driver is at fault using comparative negligence rules. These rules can differ from state to state. In states like California and New York, you can still recover damages even if you were 99 per-cent responsible. As long as you can show you're not 100 per-cent to blame you still have a valid claim.
In some states, like Illinois, Texas, and Georgia, you will be ineligible for any compensation from the other party if your share of the blame exceeds 50% in Illinois and 51% in Texas.. These states operate on a modified comparative negligence basis.
The adjusters will look at where the damage occurred, what witnesses said, and any camera footage of the parking lot. Some insurance companies have apps to do a photo based damage analysis, like Progressive and Geico. Other companies will send out a field adjuster to analyze the damage if the claim is disputed and worth more than $2,500.
Common Parking Lot Accident Scenarios and Fault
Since parking lots accidents work the same as on public roads, fault determination follows a pattern for parking lot crashes:
Moving Vehicle vs. Parked Vehicle: When a moving car crashes into a parked car, the moving car is always at-fault. But if the parked car was parked illegally, partial fault may be assigned to the owner.
Rear-End Collisions: A car that rear-ends another is almost always at fault, like a standard traffic incident.
Turning and Backing Out
A car turning into a parking spot and hitting a car going straight in the lane will probably be at fault.
A car backing out of a space is usually at fault for any collision with a moving vehicle.
If two cars back out of their parking lanes simultaneously and hit each other, both drivers will generally share fault.
If two cars try to enter the same parking space at the same time, the driver making a left turn is usually more at fault since right-turning cars have the right of way.
Collisions Involving Pedestrians
Drivers always yield to pedestrians. The driver is at fault if a car doesn't stop at a crosswalk or stop sign and hits a pedestrian. * Even if the pedestrian is not in the crosswalk.
The driver will be at fault if a child runs behind a backing car.
Parking Lots and their Premises Liability
The parking lot owner can sometimes be liable for an accident on their land. For example, if the parking lot is poorly maintained, has no signs, or doesn't regulate speed limits, the owner can be held responsible for accidents caused by those hazards.
Private property owners who open their lots to the public have a legal obligation to provide a safe environment. That means keeping the road surfaces clean, marking crosswalks, and installing stop signs.
If an owner doesn't exercise due care in maintaining the premises and their negligence causes an accident or personal injury, they can be held liable under premises liability laws.
What Should I Do If Someone Hit My Parked Car and Leaves a Note?
Suppose someone hits your parked car and leaves a note. In that case, you need to act fast so you can handle the situation with your auto insurance company and possibly notify the police.
Steps to Take After Finding a Note on Your Parked Car
Read the Note - The note should have the driver's name, phone number, and insurance info. If the insurance information is missing, you may need to contact the driver to ask for it.
Look for Witnesses - If the accident happened in a public place, look around for anyone who may have seen it. Their statement can help with the details of the accident.
Take Photos of the Damage - Document the scene by taking clear photos of the damage to your car, the location of the accident, and the note from the driver. This will be helpful when filing the insurance claim.
Call the Police - In most cases you should file a police report, especially if there is a lot of damage to your car. This will be an official record of the accident and will help with the insurance claims.
Notify the Insurance Company - Suppose the at-fault driver's insurance info is in the note. In that case, you can contact their insurer to start the insurance claims process under their liability property damage coverage. If the note only has contact information but no insurance information, contact the driver to obtain their insurance details.
What Should I Do If Someone Hits My Parked Car and Leaves the Scene?
If someone hits your parked car and leaves without leaving a note, that's a hit-and-run violation in most states. The sooner you take the appropriate steps, the better your chance to identify the driver.
Make sure to file a police report and find out how to handle the repairs through insurance.
First, inspect the damage and document the scene of the accident. Walk around your car and inspect all sides. See if there's visible damage or paint marks from the other car.
Before you move your car, take clear photos and video from different angles. This includes the surroundings, street signs, and any proof that might help with an insurance company's accident investigation.
Next, see if any witnesses or security cameras might have seen the accident. If people are around, ask if they saw anything and if they can describe the car or driver.
If your car was parked near a business, ask if they have security cameras that might have caught the accident. Security or traffic camera footage can be huge in helping to find the at-fault driver.
Once you've gathered as much information as possible, report the accident to the police. Filing a police report is important. It helps the police find the driver but also gives you official documents for your car insurance claim.
If you have security footage or witness statements, share those with the authorities to support your case.
Finally, contact your auto insurance company to discuss your options. Review your policy or talk to your insurance company to see what's covered in a hit-and-run accident.
Collision insurance covers repairs regardless of whether the at-fault driver is found.
Uninsured Motorist Property Damage (UMPD) insurance may also apply depending on your state and policy.
If you have both and aren't sure which to use, your insurance adjuster can help you figure out the correct way to file the claim. The sooner you take these steps, the better you will be able to find the driver and get their insurance to pay for your car's repairs.
Will my Car Insurance Cover Me If I Hit a Parked Car?
If you hit a parked car, property damage liability insurance will likely cover the damage you caused up to your limit. Liability insurance is required in most states to protect other drivers when accidents happen.
Not handling the accident right can get you into big trouble, including being charged with a hit-and-run accident, a crime in all states.
If you hit a parked car, don't leave the scene under any circumstances. Instead, wait to see if the owner returns so you can swap information.
If the owner is not present, leave a note in a visible spot on their car with your name, contact info, insurance company, and a description of what happened.
This way, the other party can file a claim if needed. Finally, tell your insurance company as soon as possible so they are aware of the accident before the vehicle owner files a claim.
Playing it cool can prevent legal problems and ensure damages are covered correctly.
