1. Notification: Following the accident, the driver must promptly report the incident to their insurance company. They will need to provide details about the accident, including the date, time, location, and circumstances surrounding the incident.
2. Investigation: The insurance company will assign an adjuster or investigator to assess the accident. This may involve speaking to witnesses, reviewing police reports, and inspecting the vehicles involved.
3. Coverage Assessment: The insurance company will review the driver's liability insurance policy to determine if it covers the liability for damages resulting from the accident, including the passenger's death. Liability coverage is designed to provide financial protection for the driver against potential legal claims arising from accidents they cause.
4. Fault and Liability: The insurance company will assess who is legally responsible for the accident. If the driver is found to be negligent or grossly negligent, and their negligence directly contributed to the passenger's death, they may be legally liable for the damages.
5. Legal Claims and Lawsuits: If it is determined that the driver is liable, the passenger's family or estate may file legal claims against the driver seeking compensation for various damages, such as medical expenses, funeral costs, loss of income, and emotional distress.
6. Settlement Negotiations: The insurance company may negotiate with the passenger's family or representatives to settle the claims out of court. This can involve reaching an agreement on an appropriate amount of compensation without the need for a lawsuit.
7. Litigation: If a settlement is not reached, the case may proceed to court, and a jury or judge will determine the driver's liability and allocate compensation to the passenger's family or estate.
8. Coverage Limits: The amount of compensation that the driver's liability insurance will provide is limited by the policy limits. If the claims exceed the liability coverage limits, the driver may be personally responsible for any remaining amounts.
It is crucial to note that insurance coverage and the handling of claims may vary depending on factors such as the insurance policy's terms, state laws, and legal precedents. Consulting with an attorney or an insurance expert can provide more detailed and personalized guidance based on the specific circumstances of the accident and the insurance policy.
