Car insurance is confusing to say the least. There’s lots of terms and phrases which all sound like a bunch of gobbledygook unless you work in insurance. At Verti our goal is to cut through all the jargon to make car insurance simple and smart. We want you to be comfortable making decisions rather than guessing what kind of coverage you think you should have. With that, we’ve created our first video in our #InsuranceExplained series about tort.
What’s tort? Well…as opposed to a delicious chocolate cake (which sounds the same but is spelled differently), the tort option in your car insurance can help you to recover out-of-pocket medical and certain other expenses.
Tort comes in two flavors, full tort and limited tort. Limited tort is less expensive on your policy, but you’re not able to recover certain damages – such as payments for pain and suffering unless the injuries meet certain legal exceptions.
Full tort allows you unrestricted rights to sue negligent parties for pain and suffering, which includes emotional injuries like fear, sleeplessness, grief, anxiety and inconvenience. It comes at a premium though, as full tort will increase your policy cost by about 40%.
As an example, let’s say someone rear ended your car and you end up needing 20 thousand in long term medical treatments. Whether you elected Limited or Full Tort, you could sue the other driver to recover the medical expenses that weren’t paid by insurance available to you.
But what if you wanted compensation, say another 50 thousand dollars, for the pain and discomfort you endured as a result of being injured in the accident? With full tort, you have the right to sue the other driver for that pain and suffering but with limited tort, you probably couldn’t in most cases.
You have to weigh your risk and think about how much you’re willing to pay to protect your ability to seek compensation for your pain and suffering if you’re injured in a car accident due to someone else’s negligence.