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Stacking Insurance Coverage to Maximize Car Accident Settlement

Posted on February 28th, 2016

In Pennsylvania, we have a special opportunity, to take advantage of the automobile insurance system in a way that is not allowed in most of the United States. The opportunity is called “stacking”. Stacking allows motorists to increase the limits he or she had selected for their uninsured or underinsured motorist coverage policy. Stacking gives the motorist an increased level of coverage protection by using their car’s insurance policy, without it ever being a part of the accident. Here is an example:

Derek has an insurance limit of $100,000 per person and $300,000 per accident (written as 100/300) for his uninsured motorist bodily injury coverage and is insuring two vehicles. If he leaves them “unstacked,” Derek’s limits would remain at 100/300. Instead, if Derek chose to stack his uninsured motorists’ coverages, then his limits would double to $200,000 per person and $600,000 per accident (200/600). Therefore, if after surgery, rehabilitation, ambulance fees and more, Derek’s personal injuries he sustained cost over $100,000, he is able to turn to the safety of the coverage of his own vehicle’s insurance policy which would cover his pain and suffering up to $200,000. If Derek had three cars insured under his stacked policy, he would be entitled to $300,000 worth of coverage per person and $900,000 per accident (300/900).

Generally, there is no limit on how many vehicles you are permitted to stack within your policy. The more cars and coverage, the more protection you would have. This is a powerful consumer tool that could put any motorists’ mind at ease. The only drawback of stacking your insurance policies is that a motorist is likely to pay significantly more for this coverage. This is a tradeoff for having significantly better protection from your insurance company.

With unstacked insurance alone, insurance policies of a driver’s cars remain individualized. Coverage will only come from the vehicle that was involved in the incident, despite the fact that a driver could have two or more cars insured under his or her name. The advantage of this approach is that your car insurance premium will be much lower because your coverage will be less. While this is a positive, your post-accident injuries could be too high for your unstacked policy to cover.

Medical bills are often extremely expensive and time occupying. A higher, stacked insurance policy enables you to receive rehabilitative treatment which could be necessary for a full bodily recovery well after the initial medical procedures following the accident.

The experienced Philadelphia accident lawyers at Ciccarelli Law Offices are ready to fight to protect your rights if you are in a challenging legal situation. We can help guide you through the entire judicial process and get the results you need for your recovery. Contact us at 610-692-8700 or toll free at 877-529-2422.