When the other driver does not have enough insurance
If the driver who injured you does not have enough insurance, I want to examine all available sources of recovery before you sign a release. The first policy identified may not be the only relevant coverage. Your own underinsured motorist coverage may matter, and the circumstances of the collision may support a claim against another responsible party. Those possibilities need evidence and policy review.
A driver's policy limit is a starting point for the investigation, not a measure of your injury. A serious injury does not become less serious because the responsible person purchased limited coverage. At the same time, an insurer's contractual obligation and the value of the injury are different questions. A useful discussion addresses both so you understand what may actually be recovered.
I would begin by confirming the coverage in writing. A statement made at the scene or an informal estimate from an adjuster is not enough to resolve the issue. We need to know what policy applies, who is insured and whether other injured people are seeking payment from the same limit.
Confirming the limits that applied to this accident
New Jersey increased the minimum bodily injury limits for standard automobile policies issued or renewed on or after January 1, 2026 to $35,000 per person and $70,000 per accident. That change does not mean every vehicle involved in a New Jersey collision carries those exact limits. Basic policies follow different rules, and older accident dates or out-of-state coverage require their own review.
The per-person limit and per-accident limit also do different work. If several people were injured, the total amount available for the incident may need to be divided among competing claims. That can affect a settlement even when a particular person's damages exceed the stated per-person limit. The full situation matters more than a single number on a declaration.
I ask whether there is excess coverage or another policy that may respond. If the driver was working, the employer's role and insurance deserve examination. That inquiry is based on what the driver was actually doing, not simply on whether the vehicle looked commercial. A personal vehicle can be used for work, and a company logo alone does not establish every coverage obligation.
How underinsured motorist coverage may help
Underinsured motorist coverage, usually called UIM, is coverage that may be available under a policy protecting you. New Jersey generally compares the applicable liability limits with the applicable UIM limits. It does not treat a vehicle as underinsured merely because your injuries are worth more than the amount the other driver purchased. The statutory comparison and policy terms are important.
For example, a policy with a higher UIM limit may provide an additional route to recovery after the liability claim is addressed. The available UIM payment is affected by the required credit for liability coverage and by proof of damages. The UIM number is not ordinarily an extra amount simply added on top of every other payment.
I review the policy under which you qualify as an insured, including any applicable household or occupied-vehicle coverage. Coverage priority and exclusions can affect the answer. The objective is to determine what protection you actually have and then preserve the procedures needed to pursue it. Buying additional coverage after a crash generally does not increase the limits for that earlier loss.
Protecting UIM before releasing the driver
A proposed settlement with the responsible driver should be reviewed before a release is signed. New Jersey's Longworth procedure addresses notice to the UIM carrier and its opportunity to protect its rights before the underlying claim is resolved. The procedure is not satisfied merely by assuming that the two insurance companies are communicating with each other.
I want the UIM carrier to have the relevant information and the required opportunity to respond. The specific notice, timing and release terms should be addressed as part of the settlement process. An avoidable dispute about consent can make a coverage claim more difficult even when the injury evidence itself is strong.
If you already accepted money or signed something, bring the documents for review. The actual agreement and the surrounding communications matter. It would be inappropriate to promise that every problem can be corrected, but it is also premature to assume the entire claim is lost without examining what occurred and what the governing law requires.
Investigating other responsibility with a factual basis
Sometimes another person or business contributed to the injury. An employer may be responsible for an employee's driving within the scope of employment. A separate driver's conduct may have helped cause a chain collision. In another case, evidence may support a claim arising from a dangerous condition that contributed to the crash.
Those are investigation questions, not a reason to name everyone connected to the event. We need facts showing a legal duty, a breach of that duty and a connection to the injury. Identifying a company with substantial insurance accomplishes little if there is no supported basis for holding it responsible. Careful investigation allows the claim to be directed where the evidence leads.
A claim against the individual driver beyond insurance may also be considered. Collectability matters because a judgment and an actual payment are different things. I would explain the practical considerations, including the cost of pursuing that route, so the client can make an informed decision rather than being offered an unrealistic recovery projection.
Making a settlement decision with the full picture
Before recommending a resolution, I want to understand the available coverage and the medical evidence supporting the damages. I also consider valid reimbursement claims and the expenses that affect the amount the client receives. A gross settlement figure is only one part of that discussion.
Your decision should be based on the developed facts and the realistic alternatives. Sometimes accepting available limits while preserving another claim makes sense. In other circumstances, additional investigation is needed before the proposed release can be evaluated. The important point is to address those questions while the options remain open.
When the other driver does not have enough insurance, the next step is a focused review of the policies and the accident circumstances. You do not need to know every possible source of coverage before contacting a lawyer. That is part of the work required to give you a supported explanation of the paths available for your injury claim.
Sources and Further Reading
About Michael B. Fusco
Michael B. Fusco is a New Jersey personal injury attorney certified by the Supreme Court of New Jersey as a Civil Trial Attorney. Read Mike’s biography and credentials.
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If you have questions about an injury in New Jersey, I am happy to discuss what happened and the options the facts may support. You do not need to have every document or answer before contacting us. Call 732-465-8733 or contact Fusco Law for a free personal injury consultation.
General Information
This article provides general information, not legal advice for a particular situation. Laws and policy terms must be applied to the actual facts. Reading this article or contacting the firm does not, by itself, create an attorney-client relationship.