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Well, You should file your claim with the Insurance Company of the At Fault party first. It doesn't matter what state they are in. Unless their is some disagreement they will generally pay all losses within the policy limits of their insured.

You would only need to sue if the responsible Insurance Company has refused to pay or otherwise violated your rights.

Barring any wrong doing on the part of the Insurer you would really have no grounds for the suit and would likely get the same amount you would have without a suit except that you don't have to share it with an attorney.

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Q: If your car was hit by a vehicle registered in another state which state do you sue in?
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