Third-Party Claim

If you find yourself involved in a personal injury claim, you may be confused by the legal terms, especially after an injury at a construction site. Our Chicago third-party claim personal injury lawyers explain the meaning of a third-party claim and show how it applies to construction accidents and other situations (like auto accidents).

What Is a Third-Party Claim?

A third-party insurance claim is a legal action filed by someone who is injured (the third party) against a responsible party—an individual or entity separate from their own insurance company. Unlike first-party and second-party claims, a third-party claim involves someone outside of the worker-employer relationship or insurance arrangement.

First, Second, and Third Parties

To fully understand, it helps to define the roles of each party:

First-Party

This is the individual who is insured.

Second-Party

This is the insurance company that provides insurance policy coverage to the first party.

Third-Party

A third-party claim is filed by someone other than the policyholder. A third-party defendant could be a contractor, subcontractor, or even a product manufacturer whose negligence or actions caused the third-party plaintiff’s injury.

Third-party claims are often necessary when the standard protections, such as workers’ compensation or PIP, are insufficient to address the costs and impact of an injury.

How Do Third-Party Claims Work in Construction Accidents?

Construction sites are busy places with many companies and workers on the job, which means accidents can happen when someone’s mistake injures people who don’t work for them. For example:

Subcontractor Negligence

Imagine a worker is injured when scaffolding collapses. If a subcontractor incorrectly constructed the scaffolding, the injured worker can pursue a third-party claim against that subcontractor or their insurance company.

Defective Equipment

Another scenario might involve a worker injured while using machinery that malfunctions. If the machine’s defect is due to poor design or manufacturing, the injured worker can file a claim against the equipment manufacturer.

Unsafe Worksite Conditions

If workers from another company fail to secure heavy materials properly, leading to an accident, those injured may pursue a claim against the responsible company for negligence.

What Are the Benefits of Third-Party Claims?

Unlike workers’ compensation benefits, which are limited, third-party coverage may include additional damages, such as:

• Pain and suffering
• Emotional distress
• Lost earning potential
• Punitive damages (in cases of extreme negligence)

These can provide vital support for injured construction workers facing long recoveries or permanent disabilities.

What Are Third-Party Claims in Auto Accidents?

Third-party claims don’t just apply to construction—they often come up in car accidents, too. Here’s how it works:

• The first party is the driver who has insurance and is the insured party.
• The second party is the company that provides the insurance policy.
• The third party is the injured driver who files a claim against the other driver’s insurance company.

For example, if another driver ran a red light and hit your car, you could file a third-party claim with the other insurance company’s collision coverage for your medical bills, property damage, and other losses. In states that require Personal Injury Protection (PIP) coverage, you would file a first-party insurance claim with your own insurance provider to include medical payment coverage, lost wages, and other expenses resulting from the accident and seek a third-party action for damages that exceed your PIP coverage.

How Can a Lawyer Help with Third-Party Claims?

Handling a third-party claim can be tough, especially after an injury. An experienced personal injury attorney from The Kryder Law Group, LLC Accident and Injury Lawyers, can help by gathering key evidence—like police reports and witness statements—to build a strong case. We’ll also handle communications and negotiations with insurance companies to protect your interests and seek a fair settlement.

If negotiations fail, we can take the case to court to pursue compensation for medical expenses, lost wages, pain, and more. With our help, you can focus on recovering while we manage your claim.