What Happens If the Person at Fault in an Accident Has No Insurance in Tennessee?

Tennessee follows an at-fault auto insurance system, meaning the driver responsible for causing an accident is legally obligated to compensate the other party for resulting damages. This typically includes medical expenses, property damage, lost income, and other related losses, all of which are generally covered through the at-fault driver's liability insurance policy.

However, when the at-fault driver is uninsured, the situation becomes significantly more complicated. The uninsured driver remains personally liable and may be sued in civil court for damages. If the driver lacks the financial means to satisfy a judgment, the injured party may have limited recovery options. Victims may turn to their own Uninsured Motorist (UM) coverage—if included in their policy—for compensation.

Driving without insurance violates Tennessee traffic laws under Tenn. Code Ann. § 55-12-139 and is classified among Tennessee traffic violations and infractions. Penalties include fines, license suspension, vehicle registration revocation, and the potential requirement to file an SR-22 certificate to prove future financial responsibility.

Is It Illegal To Drive Without Insurance In Tennessee?

Yes. In Tennessee, the financial responsibility law (T.C.A. § 55-12-101 et seq.) requires drivers to maintain liability insurance or another type of financial responsibility, such as a surety bond or self-insurance. Individuals may be exempt from maintaining financial responsibility for a vehicle if they no longer own it, or if it is stored or inoperable. Driving without insurance in Tennessee is treated as a Class C misdemeanor (becomes a Class A misdemeanor if an accident causing death or injury occurs) and may attract the following penalties:

• Fines up to $2,500
• License and registration suspension
• Vehicle impoundment
• Jail time
• Filing an SR-22 form

What Is the Minimum Insurance Requirement in Tennessee?

The minimum auto insurance liability is established under T.C.A. § 55-12-102. The requirements are:

• $25,000 for injury or death to one person per accident
• $50,000 for total injuries or deaths per accident
• $25,000 for property damage per accident

What To Do After A Car Accident With an Uninsured Driver in Tennessee

If involved in a car accident with an uninsured driver in Tennessee, there are several essential steps individuals must take to protect their rights and maximize their ability to recover damages:

• Report the Accident to the Police: This step is compulsory under T.C.A. § 55-10-106 if the auto collision causes injury, death, or property damage exceeding $50. Persons involved in an accident must alert the local police, county sheriff, or State Highway Patrol. Given the low dollar threshold, nearly all accidents must be reported to the police.
• File a Report with the Tennessee Department of Safety: Pursuant to T.C.A. § 55-10-107, each driver must submit an Owner/Driver Report to the Tennessee Department of Safety if an accident causes injury, death, or property damage costing $1,500 or more. The threshold is $400 if government-owned property is involved. The report must also be filed within 20 days of the accident.
• Inform the Insurance Company: Drivers involved in an accident with an uninsured driver may swiftly inform their insurance company. The police report, accident documentation, and any other known details about the other driver's insurance status should be provided to the company.

Drivers should also document every useful detail related to the accident and collect the contact information of any eyewitnesses. This may help in the case of a lawsuit or when making insurance claims.

What Happens If You Have No Insurance But The Other Driver Was At Fault?

If a driver has no insurance and gets into an accident where the other driver is at fault, it is still possible to generally seek compensation due to the Tennessee fault-based system. This means even if the injured party was driving without insurance, the at-fault driver (or their insurer) is responsible for covering the victim's losses. However, while the uninsured victim may recover damages from the at-fault party, the party may still face legal penalties for driving without insurance.

Can I Sue an Uninsured Driver in Tennessee?

Yes, a civil claim can be filed against an uninsured driver who is at fault for damages resulting from a car collision in Tennessee. Under state law, the at-fault driver is responsible for compensating for any damages or injuries caused by the accident. Claims are typically made against the at-fault driver's insurance, but since the driver lacks coverage, the injured party may pursue a lawsuit directly against the uninsured driver in court.

Tennessee General Sessions Courts handle accident cases where damages do not exceed $25,000, while the Circuit and Chancery Courts handle claims above that amount.

Will My Insurance Cover Me If the At-Fault Driver Has No Insurance in Tennessee?

Yes. One's insurance can cover them if an at-fault driver has no insurance in Tennessee, depending on the coverage they carry. The Uninsured Motorist (UM) and the Uninsured Motorist Property Damage (UMPD) are primary coverages in the state that protect against bodily injury and property damage. Additional coverages like Medical Payment (MedPay) and Collision Coverage assist with medical expenses and vehicle repairs, respectively, whether or not the at-fault driver is insured.

What Is Uninsured Motorist Coverage in Tennessee?

In Tennessee, uninsured motorist (UM) coverage is required by law to be included in every automobile liability insurance policy unless the insured expressly rejects it in writing. According to Tenn. Code Ann. § 56-7-1201, this coverage protects insured persons in accidents with at-fault uninsured motorists. The limits of UM coverage must be equal to the bodily injury liability limits outlined in the policy, but the insured may select lower limits (not less than the state's minimum).

UM generally applies when there is bodily injury and the at-fault driver has no insurance or is insufficiently insured. Unlike some states, UM coverage in Tennessee only applies when the at-fault driver is known. Hence, individuals cannot file a claim under UM coverage for hit-and-run drivers.

What If I Don't Have Uninsured Motorist Coverage in Tennessee?

An individual's options for getting compensation for damages that resulted from an accident with an at-fault uninsured driver in Tennessee are limited when no UM coverage is present. Drivers may file a civil lawsuit against the uninsured driver to recover damages. However, collecting on a judgment depends on the defendant's financial ability to pay, and an absence of insurance may indicate limited resources to compensate for damages.

How Do I Get Compensation from an Uninsured Driver in Tennessee?

To pursue compensation from an uninsured driver, an individual may likely need to file a civil lawsuit, particularly if they do not have UM coverage. The plaintiff may file the lawsuit in the General Sessions Courts for claims under $25,000 or the Circuit Court for higher amounts.

After filing, the defendant must be served a copy of the complaint and summons, for which they generally have 30 days to respond. The plaintiff may motion for a default judgment if no response is received within that time. If the defendant issues a response, a trial might be held for a judge to review the case. The judge will then pass a judgment requesting the defendant to compensate the plaintiff if sufficient evidence exists, or dismiss the case if found otherwise.

How Much Can You Recover From an Uninsured At-Fault Driver in Tennessee?

The amount of compensation a person can receive from an uninsured driver who caused a crash depends on the court in which the lawsuit was filed. In small claims court (General Sessions Court), the maximum a plaintiff may recover is $25,000, regardless of the amount of actual proven damages. Claims surpassing this limit must be filed in a higher court to recover more possibly. T.C.A § 29-39-102(e) also caps the total non-economic damages an injured plaintiff may recover at $750,000 ($1,000,000 if the injury is catastrophic).

A plaintiff's ability to recover damages also depends on the defendant's financial status. If a judgment is passed in favour of the injured party and the defendant does not have the finances to pay, it may be difficult to receive compensation.

How To Find Out If the At-Fault Driver Has Insurance in Tennessee

If a person is involved in an accident and would like to confirm the insurance of the at-fault driver, they may do the following:

• Check the Police Report: Law enforcement typically collects proof of insurance from drivers after an accident. Accessing the police report may provide information on whether the at-fault driver had insurance at the time of the crash.
• Obtain a Crash Report from the Tennessee Department of Safety & Homeland Security (TDOSHS): In addition to the police agency that investigated the accident, the TDOSHS also maintains and issues copies of crash reports, which contain insurance details for the state. A driver can obtain the crash report of the accident they were involved in from the department online, by mail, or in person at a Highway Patrol District Office. Mail and in-person requests cost $4 but take longer processing time, while online requests cost $10 but take a shorter processing time.
• Check the Tennessee Department of Revenue's Insurance Verification Portal: Tennessee operates an electronic Insurance Verification System that drivers can use to check the insurance status of another driver (with their consent). The insurance status can be checked using the vehicle's license plate digits or Vehicle Identification Number (VIN).
• Discovery Tools in Litigation: If a civil lawsuit is filed against the at-fault driver for damages, discovery procedures may be used to obtain insurance information. These include written questions, requests for documents (such as insurance policies), and depositions (sworn testimony) to compel the other party's insurance status disclosure.

Are Accidents Public Record in Tennessee?

Yes. In Tennessee, most accident-related records are considered public under the Tennessee Public Records Act. However, personal identifying information of individuals is withdrawn from publicly accessible accident records. Additionally, lawsuits resulting from accidents are maintained in Tennessee court records and are deemed open to the public. However, access is governed by the Tenn. Supreme Court Rule 34.

Can You Go to Jail for Causing an Accident Without Insurance in Tennessee?

Yes. An individual can face jail time for causing an accident in Tennessee while uninsured. Causing an accident while uninsured constitutes a criminal offense rather than a simple traffic infraction, specifically if the accident results in injuries or death. The offense is a Class A misdemeanor, punishable by fines up to $2,500 and imprisonment for up to 11 months and 29 days (Tenn. Code Ann. § 55-12-139).

Can You Settle With an Uninsured Driver Out of Court in Tennessee?

Yes. Tennessee law recognizes that parties may resolve their disputes through negotiation and mutual agreement without involving the court. A written out-of-court settlement agreement is enforceable as a binding contract, so long as the essential terms are definite and there is mutual assent. Individuals involved in an accident with an uninsured driver may pursue this route if they are confident it is the best option for them.

Can I Get Compensation If I Was Partially at Fault?

Yes. Tennessee applies a modified comparative negligence system (Tenn. Code Ann. § 20-1-119). This means a partially at-fault driver can recover damages if their share or degree of the fault is less than 50%. If it is 50% or more, they cannot make any recovery claims.