Auto Insurance And Intentional Acts: What's Covered?

Whether auto insurance covers intentional acts depends on the type of coverage and whether you are the actor or the injured victim. Liability coverage is provided by every auto insurance policy, but almost every liability policy will have an exception for intentional acts of the insured. If you intentionally injure someone, your insurance company will likely deny coverage for the injuries you caused, and you will be personally liable for any claims made against you. If you are the victim of an intentional act, you will still have coverage under your own policy, such as Personal Injury Protection (PIP) and Uninsured/Under-Insured Motorist coverage (UM/UIM).

Liability coverage and intentional acts

The rationale behind excluding intentional acts from liability coverage is rooted in public policy. Public policy aims to discourage individuals from intentionally harming others. Therefore, insurance companies typically deny coverage for intentional acts to avoid providing an incentive for harmful behaviour. However, it's important to note that the determination of intent can be complex and may depend on various factors, such as the insured's subjective belief and the specific circumstances of the incident.

When assessing whether an intentional act will be excluded from liability coverage, insurance companies and courts consider the nature of the act and the intent of the insured. The key question is whether the insured intended to cause harm or if the act alone is sufficient for exclusion. Some states have laws excluding coverage for acts of willful conduct, while others focus on the insured's subjective intent. In some cases, even if the harm caused was unintended, the act itself may be considered intentional, leading to a denial of coverage.

It's worth noting that if you are the victim of an intentional act, you may still have coverage under your own insurance policy. Personal Injury Protection (PIP) and Uninsured/Under-Insured Motorist coverage (UM/UIM) are two types of coverage that can provide protection in such situations. PIP, often referred to as "No-fault insurance," applies regardless of who is at fault in an automobile collision. On the other hand, UM/UIM coverage comes into play when the at-fault party is uninsured, under-insured, or when their liability policy does not provide adequate coverage for the damages and injuries sustained.

In conclusion, while liability coverage typically excludes intentional acts, the determination of intent can be nuanced and fact-specific. If you are the victim of an intentional act, you may still have recourse through your own insurance policy or legal action against the perpetrator. Each case is unique, and it is always advisable to seek legal advice to understand your rights and options fully.

Personal injury protection (PIP)

PIP covers medical expenses related to injuries sustained in automobile accidents, including rehabilitation expenses. It also often provides payments for lost income, childcare, and funeral expenses. Notably, PIP coverage applies regardless of who is at fault in an accident. This means that if you are injured due to an intentional act, such as an assault or "road rage" incident, you can still claim under your PIP coverage as long as you were not the perpetrator.

In addition to medical expenses, PIP can cover 80% of lost earnings from work, up to a maximum of $2,000 per month for up to three years from the date of the accident. It can also reimburse other reasonable and necessary expenses, such as household help and transportation to medical providers, of up to $25 per day for up to a year. In the unfortunate event of a death, PIP includes a $2,000 death benefit, payable to the estate of the deceased.

It is important to note that PIP has minimum coverage amounts and per-person maximum coverage limits. If the cost of medical care exceeds these limits, health insurance may cover further expenses.

Uninsured/under-insured motorist coverage

UM/UIM coverage protects you if you are hit by a driver with insufficient or no auto insurance. If you are injured or your vehicle is damaged, and the at-fault driver cannot cover the costs, this coverage ensures you are not left out of pocket. It also covers you in hit-and-run accidents, and if you are a victim of road rage or a similar intentional act.

Uninsured motorist bodily injury (UMBI) and underinsured motorist bodily injury (UIMBI) may pay medical bills for you and your passengers. They may also cover lost wages, diminished earning potential, and other damages not protected under some health insurance plans. Uninsured motorist property damage (UMPD) and underinsured motorist property damage (UIMPD) may pay for damage to your vehicle.

It is important to note that some states require a deductible for UMPD/UIMPD, but UMBI/UIMBI generally does not include a deductible. In some states, such as Illinois, both uninsured and underinsured motorist coverage are required. In others, such as Massachusetts and South Carolina, only uninsured motorist coverage is mandatory.

The benefits of UM/UIM coverage far outweigh the relatively low cost of the insurance policy. With nearly 13% of drivers countrywide uninsured, and over 20% in some states, it is a valuable protection to have.

Intentional acts and fraud

Insurance companies are generally reluctant to cover intentional acts, especially when they involve criminal activity. This is because public policy disallows insurance coverage for someone who intentionally harms another person. The state wants to discourage people from intentionally harming others.

Liability Coverage

Every auto insurance policy provides for liability coverage, which covers an individual when they cause injury or damage as a result of a car accident. However, almost every liability policy will have an exception for "intentional acts of the insured". For example, if you have an argument with a friend and then intentionally hit them with your car, this would be a crime, and your insurance company will likely deny coverage for the injuries you caused. In this case, you will be left exposed to a claim by the injured party without the legal protection of your insurance company.

Other Coverages

If you are the victim of an intentional act, you will still have coverage under your own policy, such as Personal Injury Protection (PIP) and Uninsured/Under-Insured Motorist coverage (UM/UIM). For example, if you are intentionally struck by someone's car and have bodily injuries, you can make a liability claim under the other driver's policy. Their insurance company will likely deny coverage for the driver, so you can then make a claim under the UM portion of your own policy.

Intentional Act Determination

Whether an act is intentional for the purpose of insurance exclusion depends on the facts of the case. If the parties agree on the facts, a court can make an intentional injury determination. Intent to cause an injury can be inferred if the injury is the natural and probable consequence of the insured's intentional act. Whether or not an intentional act has occurred can be inferred from the insured's conduct. For example, an intentionally staged vehicle collision as part of an insurance fraud scheme would not be covered under an insurance policy. However, an insured driver who, in a fit of jealousy, drove over a tent, injuring someone, was covered because a jury found the driver's conduct to be reckless rather than intentional.

Intentional acts and criminal convictions

Criminal intent, or mens rea, is an essential element of most crimes. In the context of intentional acts and criminal convictions, it is important to understand how insurance coverage may be affected in the event of an intentional criminal act.

Intentional Acts and Insurance Coverage

When it comes to auto insurance, liability coverage is typically provided when an individual causes injury or damage as a result of a car accident. However, it is important to note that almost every liability policy includes an exception for "intentional acts" by the insured. This means that if someone intentionally causes harm or damage, their insurance company may deny coverage for any injuries or damages caused. In such cases, the individual will be personally responsible for any claims made against them and will not have the benefit of their insurance company's legal protection or financial support.

Criminal Convictions and Insurance

In the context of criminal convictions, intentional criminal acts are generally excluded from liability insurance coverage. This means that if someone is convicted of an intentional criminal act, their insurance policy will not cover any damages or injuries resulting from that act. However, the specific coverage depends on the contract details and may need to be decided by a court of law.

Criminal Intent

Criminal intent is a crucial aspect of criminal law, as it refers to the subjective state of mind or mens rea that accompanies certain crimes. The intent is typically defined as "the decision to bring about a prohibited consequence." The specific wording used to describe shades of intent can vary across different criminal laws and jurisdictions.

Common-Law Criminal Intents

Common-law criminal intents are ranked in order of culpability as malice aforethought, specific intent, and general intent. Malice aforethought is reserved specifically for murder and is defined as the "intent to kill." Specific intent refers to the highest level of culpability for crimes other than murder, requiring the defendant to act with a sophisticated level of awareness. General intent, on the other hand, is less sophisticated and refers to the intent to perform the criminal act itself.

Model Penal Code Criminal Intent

The Model Penal Code further divides criminal intent into four states of mind, ranked in order of culpability: purposely, knowingly, recklessly, and negligently. Purposefully resembles specific intent, while knowingly indicates an awareness of the potential consequences. Recklessly involves a conscious disregard for a substantial and unjustifiable risk, and negligently refers to a lack of awareness of such a risk.

In conclusion, intentional acts and criminal convictions can have significant implications for insurance coverage and criminal liability. It is important to understand the specific definitions and distinctions of criminal intent, as they play a crucial role in determining culpability and insurance coverage.

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