When is an insurance company liable for an accident?

In North Carolina, an insurance company is liable for an accident when the insured party is legally responsible for the damages or losses that arise from the accident. In order for an insurance company to be liable, it is necessary to prove that the insured party is legally responsible for the accident. Generally, this means that the insured party either caused the accident or acted negligently or recklessly when the accident occurred. If the insured party is legally responsible for an accident, the insurance company must pay for any damages or losses the insured party caused. This includes both property damage and personal injury damages. However, certain types of insurance, such as liability insurance, will only be liable for a certain amount of damages or losses. In addition, insurance companies may also be liable for accidents that are caused by another driver or party. This is commonly known as "third-party liability". In these cases, the insurance company may be held responsible for medical expenses, property damage, and other losses that are related to the accident. Finally, an insurance company may also be liable for accidents that are caused by an uninsured or underinsured driver. In these cases, the insurance company must pay for the damages and losses that are caused by the uninsured or underinsured driver. This type of liability is known as "uninsured/underinsured motorist coverage" and it is available in North Carolina.

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