What If the Other Driver Doesn’t Have Insurance?

Car accidents are stressful enough—but finding out the at-fault driver doesn’t have insurance can turn an already difficult situation into a financial and legal nightmare. While many states require drivers to carry auto insurance, millions of Americans still drive uninsured. So what happens when one of them hits you?

In this post, we’ll walk through everything you need to know about uninsured motorist accidents, including your legal options, insurance protections, and the steps to take immediately after the crash.

Whether you're trying to recover from an accident or simply want to be prepared, here's what you need to know.

Why Do Some Drivers Skip Insurance?

Despite legal mandates in most states, about one in eight drivers in the U.S. is uninsured, according to the Insurance Research Council. Some common reasons include:

• Financial hardship: Premiums can be expensive, especially for high-risk drivers.
  
• Lapsed policies: Some drivers unintentionally let their coverage expire.
  
• Deliberate avoidance: A small percentage simply ignore the law.

Unfortunately, none of these excuses help you if you're hit by one of them.

What Happens If the At-Fault Driver Has No Insurance?

In a typical accident, the at-fault driver’s insurance would cover your medical bills, lost wages, and property damage. But if the driver has no insurance, they may be personally liable—which creates a complicated path to compensation.

Here's what you may face:

1. Out-of-Pocket Medical and Repair Bills

Unless you have uninsured motorist coverage (more on that soon), you may need to rely on your own health insurance and auto coverage to pay for expenses.

2. Legal Action Against the Driver

You can file a personal injury lawsuit to recover damages, but collecting from an uninsured driver is often difficult. Many don’t have significant assets, so even a court judgment may not result in actual payment.

3. Delayed Recovery

Without an insurer facilitating the process, your path to financial recovery can take much longer—and may involve litigation, court fees, and collection attempts.

Protect Yourself With Uninsured Motorist Coverage

One of the most powerful tools for protection is Uninsured Motorist Coverage (UM or UM/UIM). This optional (but highly recommended) policy add-on steps in when the at-fault driver has no insurance or not enough to cover your losses.

It can cover:

• Medical expenses
  
• Lost wages
  
• Pain and suffering
  
• Funeral costs (in fatal accidents)

UM/UIM is mandatory in some states and optional in others. In states like Texas and Illinois, insurers are required to offer it, but drivers can reject it in writing. Check your policy or ask your agent—you may already have this crucial coverage and not even know it.

Need help filing a UM/UIM claim? Contact Big Auto Accident Attorneys to explore your options today.

Can You Sue the Uninsured Driver?

Yes—but it's not always worth the effort.

Here's what to consider before suing:

• Do they have assets? If the driver doesn’t own property, earn significant income, or have bank assets, a judgment won’t get you much.
  
• Will the court garnish wages? Some states allow wage garnishment, but it could be minimal and take years.
  
• Are they judgment-proof? Some individuals are legally "judgment-proof," meaning they don't have enough non-exempt assets for you to collect.

Still, suing may be worthwhile in certain cases—especially if the accident resulted in serious injury or the uninsured driver was acting egregiously (e.g., drunk driving).

Learn more about your legal options in hit-and-run or uninsured cases on our Car Accident Resource Center.

What to Do After an Accident with an Uninsured Driver

If you’re involved in a crash and the other driver lacks insurance, follow these steps immediately to protect your rights:

1. Call the Police

Always file an official police report. Not only is this essential for legal documentation, but it will also help support your uninsured motorist claim.

2. Gather Information

Even without insurance details, collect:

• Name and contact info
  
• License plate number
  
• Vehicle make/model
  
• Photos of damage, scene, and license plate
  
• Witness statements (if possible)

3. Notify Your Insurance Provider

Report the accident ASAP. If you have UM/UIM coverage, initiate the claims process.

4. Seek Medical Attention

Always get checked by a medical professional, even if you feel fine. Some injuries (like concussions or soft-tissue damage) may not appear immediately.

5. Speak With a Car Accident Attorney

These cases are more complex than standard insurance claims. A seasoned accident lawyer can guide you through uninsured claims, help you explore civil litigation, and ensure you’re not left footing the bill.

Big Auto Accident Attorneys has recovered millions for injured victims—view our results and find out how we can help you.

Can You File a Claim Through Health Insurance?

Yes, but it should usually be a last resort.

If neither you nor the at-fault driver has auto insurance, you may use your health insurance to cover medical expenses only—but it won’t pay for:

• Lost wages
  
• Vehicle damage
  
• Pain and suffering

Also, your health insurer may pursue subrogation, meaning they can try to get reimbursed from a future settlement or lawsuit.

Uninsured Drivers and State Laws

Each state handles uninsured driver claims differently. Some impose criminal penalties for driving without insurance, including license suspension or jail time. Others offer state-sponsored “uninsured accident funds” (rare) to help victims.

Example: Texas

In Texas, drivers must carry liability insurance. If an uninsured driver causes an accident:

• They may face fines or license suspension
  
• You can file a UM/UIM claim with your own provider
  
• You can sue the driver for damages

For more details, visit the Texas Department of Insurance’s Auto Coverage Guide.

What If the Driver Fled the Scene?

Hit-and-run drivers are legally considered uninsured for insurance purposes. If you can’t identify the other driver, your UM policy should kick in—assuming you have one.

Worried about a recent hit-and-run? Read our guide to hit-and-run accidents and discover your rights.

Be Prepared Before the Worst Happens

Being hit by an uninsured driver can be a frustrating, confusing experience—but it doesn’t have to ruin you financially. The best protection is preparation:

• Check your policy for uninsured/underinsured motorist coverage
• Consider adding medical payments or collision coverage
• Keep a post-accident checklist in your glove box
  
• Always call the police, even for minor crashes

And most importantly, know you don’t have to handle it alone.

Get Legal Help After an Accident With an Uninsured Driver

If you’ve been injured by someone who wasn’t insured, time is critical. Evidence can disappear, deadlines can pass, and insurance companies may delay. Let Big Auto Accident Attorneys fight for you.

• Free consultation
• No fees unless we win
• Millions recovered for injury victims

Call now or contact us online to get started.