Teen driver hits parked jet at KTEB

Dylan Smith wrote:

Hm. Now assuming that the car driver gets landed with the bill, and lets
suppose the bill is $1M, and lets also (probably reasonably) suppose
that the driver or his family have no way to pay that bill, how does the
Lear owner recover the money? Is the driver now (assuming a typical
middle class income future) essentially indebted for life? Or would they
just declare bankruptcy?

This being New Jersey, the car is insured. That's the first recourse for the
Lear owner. The plane is also insured, and that would be the second recourse.
Between the two, the Lear owner will get his money.

If the cost is covered by the car owner's insurance, that's that. If not, the
aircraft insurance company will usually go after the car owner. If that's the
18-year-old and she loses the case, she has two basic choices. She can pay the
remaining damages, possibly on an installment plan, or she can declare bankruptcy.

The case procedure is a three-step one. First, she is given the opportunity to
pay the bill. If she declines, the insurance company's attorney and her attorney
meet with an arbitrator, who decides fault and penalty. Assuming she's found at
fault, she's again given an opportunity to pay the bill. If she declines again,
the case goes into civil court.

If the car belongs to her father, I think the aircraft insurance company can sue
both the driver and the owner, but I'm not sure about that.

The typical property damage limit on liability for car insurance policies in New
Jersey is $50,000. Some people opt for as much as $100,000. Given the latter
option and your stipulation of damages of $1 million, the car owner would be
looking at a bill for $900,000.

The car insurance premium increases and NJ "at fault accident" surcharges are
trivial nuisances by comparison.

George Patterson
Coffee is only a way of stealing time that should by rights belong to
your slightly older self.

Dylan Smith wrote:
On 2006-01-14, Robert M. Gary wrote:
I think it depends if she's still a dependant. If she's living at home
dad might be in trouble.

Hm. Now assuming that the car driver gets landed with the bill, and lets
suppose the bill is $1M, and lets also (probably reasonably) suppose
that the driver or his family have no way to pay that bill, how does the
Lear owner recover the money?

Against his own hull policy.

Let's say I drive my car into your house, the car catches fire, and
the house is destroyed. I'm an easy target; between my primary auto
policy and my umbrella, I carry $3 million in liability coverage. You
call your insurance company, they drag my company in, and my policy
pays off.

But, what if some 19 year old kid carrying the legal minimum ($50k, I
think, in New York) does the same thing? You file a claim against
your homeowner's policy. The insurance company may then turn around
and sue the kid to recover what they can (you can't get blood out of a
stone), but at that point, it's their problem, not yours.