Bodily injury claims are where low limits hurt. This case involved a driver with a minimum-limit non-owner policy who struck two pedestrians at a crosswalk. The per-person and per-accident caps interacted in a way the driver had never considered.
The facts
A 41-year-old driver insured at 30/60/25 struck two pedestrians while turning left at a signalised crosswalk. One pedestrian suffered a fractured tibia and a concussion; the other sustained soft-tissue injuries and a wrist fracture. Medical costs reached $185,000 combined.
The driver was not impaired, was not speeding, but was found at fault for failing to yield. Both pedestrians retained counsel.
How 30/60 applied
The per-person limit capped the more seriously injured pedestrian at $30,000, despite $132,000 in medical bills. The second pedestrian claimed the remaining $30,000 of the $60,000 per-accident limit, and settled at $27,500 to avoid exhausting the policy.
The total paid by the insurer was $57,500 against $185,000 in costs. The $127,500 balance became a personal claim against the driver.
| Item | Amount | Outcome |
|---|---|---|
| Pedestrian A medical | $132,000 | Capped at $30,000 |
| Pedestrian B medical | $53,000 | Settled $27,500 |
| Personal settlement | $38,000 | Paid by driver |
| Total insurance paid | $57,500 | Out of 30/60 |
| Uninsured balance | $127,500 | Personal liability |
What happened to the balance
Both claimants pursued the driver personally. The driver had modest savings and no property; the case settled for $38,000, paid from savings, with the remainder written off in exchange for a payment plan. A wage garnishment order was avoided by agreement.
Had the driver carried 100/300, the entire claim would have been within limits and no personal exposure would have existed.
The insurance aftermath
The policy was non-renewed at the next term. The driver obtained replacement coverage through a non-standard carrier at 2.1 times the previous premium, and the at-fault surcharge applied for three years.
The lesson
Pedestrian and cyclist claims are the highest-severity category in urban areas. A 30/60 limit assumes injuries that cost less than $30,000, which is roughly the cost of an emergency admission with surgery in most U.S. metros.
- Per-person and per-accident caps both applied, cutting the payout sharply.
- The excess became personal debt, settled from savings.
- Urban pedestrian claims routinely exceed $100,000.
- A 100/300 limit would have covered the entire claim.
If you drive in a city, the probability of a pedestrian or cyclist claim is materially higher and the severity is higher too. Minimum limits are a rural calculation applied to an urban risk.
Key takeaways
- Bodily injury limits cap each claimant and the whole accident.
- Pedestrian claims are the highest-severity common category.
- Above-limit damages are pursued personally and can be settled.
- Coverage was non-renewed after the claim, raising future costs.
