What is Unsatisfied Judgment Fund?

WHAT IS UNSATISFIED JUDGEMENT FUND?

States who also have compulsory insurance requirements have also adopted unsatisfied judgment funds where the states established to compensate the persons who are unable to collect legal judgments resulting from auto accidents. In order to have an access to the funds, injured person must show that the judgment can not be collected (in addition to obtaining a legal judgment against the negligent party.)

Maximum amount is usually is limited to the state's compulsory insurance requirement are also reduced by collateral sources of recovery (such as insurance or worker's compensation.)

Collection from these funds are slow process where some some funds even had financial difficulties as a result of inadequate funding that comes from the fees collected from the insured drivers or from the insurance companies that provide auto insurance within that state.