A guest passenger has legal right to claim compensation to an at-fault driver when he/she is injured while riding on a car of the at-fault driver. Generally, the amount of compensation is not reduced.
A responsible party has legal responsibility to compensate only for the repairing fee but not for its renewal cost. That’s a basic idea. However, only in the case where a damaged property needs to be rebuilt, renewal cost can be subject for compensation.
When you become a traffic accident victim, how does insurance work for getting compensation? If a perpetrator has voluntary insurance, you can likely get compensated entirely. However, what if the perpetrator is only with CALI?
A traffic accident victim has a legal right to claim compensation to an at-fault party. The extinctive prescription for claiming compensation is three years. Requesting payout of insurance also has three years of extinctive prescription. Both are supported by the Japanese law: Civil Code and Insurance Act.
Consolation money is not paid for a property damage traffic accident. However, the damages can be compensated by the at-fault party if a victim can prove his/her loss is due to the traffic accident.
Compensation is mainly based on the actual losses of car accident victims. However, when it comes to human injury accidents or fatal accidents, consolation money is necessary for compensation. In the case where a victim is injured, you have three standards to calculate the consolation money.
Lost wages are calculated based on the actual salaries which the victim got before a traffic accident. If the victim did not gain salaries, the average wage is used for the calculation. You have to deduct interim interests from the calculated lost wages by using the Leibniz coefficient in traffic accident cases in Japan.
We explain an overview of how the average Japanese people compensate for car accident victims by using automobile insurance. In most of the cases, at-fault drivers compensate for victim's damages by using both Compulsory Automobile Liability Insurance (CALI) and voluntary insurance.
CALI's compensation drastically increases if you are left with residual disability in a traffic accident. In most of the cases, at-fault driver's insurance companies apply for CALI's compensation for residual disability on behalf of you. However, it's better to apply for it by victims themselves so that they can increase the possibility to get higher compensation.
