07/21/2021
Uninsured motorist coverage
About one in eight drivers don’t carry car insurance, according to a 2021 report from the Insurance Research Council. And what happens if you’re injured in a car crash caused by a driver who doesn’t carry liability car insurance? You can be stuck with some hefty out-of-pocket expenses like medical bills and health insurance deductibles.
If your injuries cause you to miss work, you can also lose valuable wages.
Fortunately, there are car insurance coverage types that alleviate this problem: Uninsured motorist (UM) coverage and underinsured motorist (UIM) coverage pay for medical bills and other expenses for you and your passengers if you’re in a car accident caused by:
A driver who doesn’t carry any liability car insurance
A driver who doesn’t have enough liability insurance to cover your medical bills
A driver whose insurance company denies coverage or goes out of business
Uninsured motorist coverage can pay for:
Medical bills
Lost wages if you can’t work because of the car accident
Pain and suffering compensation
Funeral expenses
In some states, car damage, known as uninsured motorist property damage coverage
Some states require uninsured motorist coverage, while other states require your insurance company to offer you the coverage, which you can typically reject in writing if you don’t want it. If it’s optional in your state, it’s worth considering because UM is usually a good coverage to have.
