What is an uninsured or underinsured driver?
Not everyone follows the rules of the road. Some drivers either carry no insurance at all or just the bare minimum.
- Uninsured drivers have no car insurance at all, even when it’s required by law in their state.
- Underinsured drivers have insurance, but not enough to cover all the expenses after an accident.
Do you need uninsured motorist coverage?
About 1 in 8 drivers on the road is either underinsured or uninsured, making every drive a risk for unexpected expenses.
Coverage in action: Let’s say the other driver’s policy maxes out at $25,000 but your hospital bills are $50,000. Underinsured motorist coverage can help cover the difference. If the person has no insurance at all, uninsured motorist coverage will kick in to cover most expenses.
What are uninsured and underinsured coverage for?
They can help cover things like:
- Car repairs
- Medical expenses for you and your passengers
- Property damage
- Lost wages if you have to miss work
Uninsured motorist coverage in action
Picture this: You’re stopped at red light, just a few blocks from home. Out of nowhere a car slams into you from behind. Your bumper is crumpled, your back is sore, and the police are on their way. You’re ready to exchange information but find out the driver has no insurance. Now what?
When the other driver doesn’t have any or enough coverage, you might be left paying for car repairs, medical bills, and other out of pocket expenses—even if it wasn’t your fault.
Is uninsured motorist coverage required?
Well, that depends. Uninsured and underinsured motorist bodily injury coverage is required in some states, while optional in others. Additionally, some states also offer uninsured motorist property damage coverage.
In short—similar coverage might already be a part of your policy, or you may need to consider adding it.
Be sure to check your state’s requirements, review your existing policy, and talk to your agent for more information.