What You Should Know About Uninsured Motorist Coverage
In most states, the law requires people to have car insurance in order to legally operate a vehicle. Unfortunately, this does not mean all individuals who operate a vehicle have car insurance, as a skilled personal injury lawyer trusts might explain. It happens more times than most people realize. It has been estimated that over 14 percent of drivers on the road carry very little or no insurance on their vehicle. An accident with this type of driver could mean you may struggle to obtain compensation for your accident losses. Insurance companies provide coverage for this scenario. You can purchase uninsured motorist coverage to protect yourself if you are ever in such a situation.
Uninsured Motorist Coverage
This type of coverage is designed to protect you if an accident occurs with a driver who does not have liability insurance or coverage to pay for your losses. The options offered for this type of insurance product are different in each state. They are often based on the state’s car insurance coverage requirements. This insurance has to comply with any mandatory state requirements as well as coverage limits. Some states provide three different types of uninsured motorist coverage:
- Uninsured Motorist Coverage
- Underinsured Motorist Coverage
- Uninsured Motorist Property Damage.
It is common to have an accident with a person who only has minimum insurance coverage. This may not provide enough compensation to cover all of your losses. If this driver can’t pay you out of pocket to cover your damages, you will have to cover them yourself. This is when Underinsured Motorist coverage can provide you with the additional compensation you need. In many states, Underinsured Motorist coverage is often part of Uninsured Motorist coverage.
This is the amount an insurance company will pay you. You will be able to choose a combined single limit or a split limit. A combined single limit describes the maximum amount you will receive per accident. A split limit describes the amount you will receive per person. If you have split limit coverage of $20,000/$45,000, the $20,000 would be the maximum you could receive for injuries experienced by one person in the accident. The $45,000 is the maximum amount your insurance company would pay for injuries experienced by every person in the accident.
Uninsured Motorist coverage will cover your expenses as well as those of your passengers. It provides compensation for such things as lost wages, pain and suffering, medical bills, and more. This type of coverage can also be used if you are struck by a hit-and-run driver. In addition, it will provide compensation for personal property damage caused to your vehicle. That may include your:
- Cell phone
- Electronic tablet
Should you live in a no-fault state, your insurance company will provide you damage compensation after an accident. The issue of who was at fault is not important in this situation.
In a state with tort car insurance, an insurance company will pay for damages based on which driver is at fault. They will try and pay all damages; this means yours as well as theirs. In a tort state, a person involved in an accident with an uninsured driver may be able to have their health insurance cover their medical bills. Without uninsured driver coverage, damages such as pain and suffering as well as lost wages may not be covered.