Even though it is legally required in the U.S. for all motorists to have insurance, some people still drive around without it. Unfortunately, if you are in an accident with one of these drivers, you’re still the one responsible for footing the bill for damages.
So how can you protect yourself from this situation? While you may assume that it’s unlikely that you’ll ever have to worry about it, paying a few more dollars per month for Uninsured Motorist (UM) / Under Insured Motorist (UIM) could save you thousands in repair and medical costs.
Uninsured Motorist Coverage
Uninsured motorist coverage is necessary when you’re hit by a driver who doesn’t have their own insurance or in the event of a hit and run. UM coverage means that your insurer will help pay for medical bills, property damage, repairs, and lost wages. UM insurance is extremely important, especially considering that the average out-of-pocket costs when you don’t have it reach upwards of $20,000.
It’s important to note that UM Insurance is broken up into two parts, which are often sold separately. Uninsured motorist property damage insurance will pay for repairs to your vehicle, while uninsured motorist bodily injury insurance will help with medical bills and lost wages for you or your passengers.
Some states require drivers to purchase UM, but typically only mandate for bodily injury coverage. We recommend property damage coverage as well if you own an expensive vehicle that would cost a lot to replace or repair.
Under Insured Motorist Coverage
Similar to UM, UIM coverage kicks in when the other driver has insurance but the payouts are too low to fully take care of the damages. If you live in a state with low liability limits, it’s important to consider purchasing UIM to ensure that you’re fully covered. In fact, some states will require UIM insurance as well.
Have you been in an accident and are facing expenses not covered by the driver’s insurance, contact us at Scott M. Schweiger. We work hard to represent your case in the event of an auto accident and more.
