What Is Uninsured Motorist Coverage?

While driving without insurance is against the law, it’s estimated that 1 out of 8 drivers on the road are uninsured. That poses serious consequences to you, too. If you’re in an accident and an uninsured person is at fault, they’re not able to compensate you for the damages you suffer. Thankfully, uninsured motorist coverage restores fairness and allows you to receive funds to help with medical and vehicle repair costs if you’re in this situation.

How Does Uninsured Motorist Coverage Work?

Uninsured motorist coverage disburses payments to you if you’re in an accident in which an uninsured driver is at fault. It covers costs for both you and your passengers, as well as the expenses for vehicle repairs.

This coverage also works in instances of hit-and-run incidents, or where the other driver has inadequate coverage and is unable to provide you with the compensation you need.

Many states mandate that all car insurance policies have this type of coverage to a certain extent, but uninsured motorist coverage is typically considered an add-on. The additional cost is considerably low, as most uninsured motorist coverage costs between $50-$75 per year.

What Are The Types Of Uninsured Motorist Coverage?

The coverage is broken down into two forms:

  • Uninsured Motorist Bodily Injury (UMBI)
  • Uninsured Motorist Property Damage (UMPD)

UMBI coverage helps you take care of your medical expenses. If you already have health insurance, your health insurance will kick in once your UMBI coverage has been exhausted. The same applies to your passengers. UMPD coverage applies to repairing damage done to your vehicle.

When you sign up for this policy, you can choose coverage limits to your liking. It’s generally suggested to have UMBI coverage that is equal to your liability, and for UMPD, coverage that is equivalent to the value of your car.

How Do I File My Claim?

At the scene of the accident, get as many details as you can. Take pictures, get contact information of any witnesses, gather as much descriptive information about the uninsured driver’s car, and have this ready when you speak to your insurance company and police department.

You will need to alert your insurance company that you were in an accident involving an at-fault uninsured driver as soon as possible, in as much detail as possible.

After this, you’ll need to file a police report. Then you will need to see an insurance adjuster, who will assess the damages. At this point, you will get reimbursed a specified dollar amount, and after that, you can receive your payment.

Have Questions? We Can Help

At All Things Insurance, we will find you uninsured motorist coverage so that you will be properly compensated when an uninsured driver cannot pay for the damage he or she caused. We’re on your side, and we will be happy to get you a policy that helps you keep your money in your pocket.