Uninsured motorist coverage (UM) is a type of automobile insurance that covers costs related to an accident involving an uninsured driver. It is sometimes referred to as "underinsured motorist coverage," and it protects drivers if they are injured in an accident caused by a driver who does not have appropriate insurance.
UM is an important type of coverage because it can provide financial protection for drivers in the event of an accident with an uninsured motorist. Without this coverage, drivers would be responsible for all of the costs associated with an accident involving an uninsured driver, including medical bills, lost wages, and vehicle damage.
In most states, UM coverage is required by law. This coverage is typically provided by the same insurance company that provides the driver's liability coverage. It is important to note that UM coverage does not cover damage to the other driver's vehicle; it only covers the costs associated with the driver's own medical expenses and other financial losses.
When purchasing automobile insurance, it is important to understand the coverage limits of the policy. UM coverage typically has a limit of $25,000, $50,000, or $100,000. This means that the insurance company will only pay up to that amount for any costs associated with the accident.
It is also important to understand the types of accidents that are covered by UM coverage. Generally, this coverage will only apply if the accident was caused by an uninsured motorist. It will not cover accidents caused by another driver who is covered by insurance, such as a hit and run driver or a driver with inadequate insurance coverage. In addition, it will not cover any intentional acts by the uninsured motorist.
When purchasing automobile insurance, it is important to understand all of the coverage options available. UM coverage can be a valuable protection for any driver, and it is important to ensure that the coverage limits are adequate for the situation. It is also important to understand the types of accidents that are covered by this type of coverage, as this will help drivers make sure they are adequately protected in the event of an accident with an uninsured driver.
It is also important to be aware of the requirements for filing a claim for uninsured motorist coverage. Generally, drivers must file a claim within a certain period of time after the accident. In some states, this period is as short as 30 days, while in other states it may be as long as one year.
In addition, drivers must also provide the necessary documentation in order to receive UM coverage. This may include a police report, medical bills, and other documents that prove that the accident was caused by an uninsured motorist.
Uninsured motorist coverage is an important type of automobile insurance coverage that can provide financial protection for drivers in the event of an accident with an uninsured motorist. It is important to understand the coverage limits of the policy, the types of accidents that are covered, and the requirements for filing a claim. By understanding these aspects of the coverage, drivers can make sure they are adequately protected in the event of an accident with an uninsured motorist.