27 Jul The Importance of Uninsured / Under-Insured Motorist Coverage

Buying car insurance can be a bit tricky when you don’t know what all of the terms mean. What is uninsured and under-insured motorist coverage? Do you need it? The short answer to that second question is: yes, you do need to at least have uninsured motorist coverage. This type of insurance is crucial. Under-insured coverage can be a necessity as well.

So, what do these insurance policies cover? Let’s answer that question and all of the other ones here, so you can be prepared and protect your assets.

Uninsured Motorist Coverage

Unfortunately, despite the laws and regulations in a number of states, many people still drive without an auto insurance policy covering them and their vehicle. If this is the case, and you get into an accident with a driver who isn’t insured, your uninsured motorist coverage will kick in and cover your damages up to your policy limits.

There are two different types of uninsured motorist coverage:

• Bodily Injury – With bodily injury coverage, you won’t have to worry about going bankrupt if you’re injured in an accident caused by an uninsured motorist. This policy will cover a number of different things, including your medical bills and any lost wages due to those injuries. It can also cover pain and suffering, as well as funeral expenses.
• Property – Property coverage, on the other hand, kicks in when your car is damaged due to actions of the uninsured motorist. This insurance will pay to have those damages repaired, saving you from having to go without a car while you save up to pay those costs yourself.

In addition to providing necessary coverage from the time that the uninsured motorist is deemed at fault, both of these policies give you peace of mind. Without them, you’d have to either pay for all of those bills yourself, or go after the driver, filing a claim against them in a court of law. While you might still end up doing so, it will be after your medical bills have been paid and your car has been repaired.

Under-Insured Motorist Coverage

On the other hand, under-insured motorist coverage takes care of those gaps in coverage. For example, if you’re in an accident and the other motorist, who is deemed at fault, has insurance, they would be the ones footing the bill for your medical bills and car repairs.

But what happens if their insurance is a basic policy that doesn’t have enough coverage? Your under-insured motorist coverage would kick in and help you by filling in those financial gaps. It would pay your medical bills and the costs of any repairs after the other party’s insurance pays its part. As you can see, this type of insurance is very good to have as well.

Do you want to increase the coverage of your current car insurance policy or add both uninsured and under-insured coverage? Or do you just have additional questions about both of these types of insurance? Either way, give us a call! We can help by answering questions, getting you the best auto insurance policy and coverage, and more.