This segment of The Law and You features personal injury trial lawyer Lara Johnson discussing how adequate collision coverage, and sometimes legal action, is needed to recover the full property loss in a collision.
JOEL: This is Joel Block for The Law and You with Eugene attorney Lara Johnson. Lara, many listeners have asked why insurance companies don’t pay for the full loss when their cars have been heavily damaged in an accident.
LARA: Joel, in many cases insurance companies do not offer to cover the true, full losses to a damaged vehicle. Even after repairs, the car may be worth less than before. For instance, if you could sell your car for $10,000 before an accident and after it has been repaired, it was worth only $8,000, you have lost $2,000. However, under Oregon law, if you have adequate collision insurance, it should cover the amount of that diminished value, up to the fair market value of the car before the accident. If you don’t have collision coverage, your only recourse may be legal action against the person responsible for the collision.
JOEL: Thanks, Lara. For more information about your legal rights in an auto collision, visit the Law Firm of Corson & Johnson at CorsonJohnsonLaw.com. The Law and You is a community service and does not replace the advice of an attorney.
The Corson & Johnson Law Firm, a Eugene, Oregon personal injury trial law firm, produced and distributed The Law and You as a public service to help families and consumers answer questions about our legal system and how it works for them. The Law and You spots were aired on KKNU, KMGE, KEUG, and KODZ in Eugene, Oregon. If you have legal questions or topics you would like addressed on our website, please contact us.