Imagine you are in a motor vehicle accident. You are working through a recovery, have a damaged vehicle and need to replace your lost wages. Upon contacting the insurance provider to make a claim for your losses, you discover the driver who struck you is uninsured or underinsured. Later, you realize the other driver is unable to reimburse you the settlement amount you want to receive.
In this situation you are able to sue for compensation. You could avoid this event with the right foresight.
It is generally easier to carry your own coverage for these kind of situations.
You can purchase uninsured motorist (UM) or underinsured motorist (UIM) coverage from your insurance provider, added to your monthly car insurance. Although they cover different events, these two coverages are normally sold together as a package. These coverages are in addition to your liability coverage or Medical Payments coverage.
What does it cover?
Bills resulting from injuries or damages caused by a driver who didn’t have enough or any insurance coverage. UM covers accidents caused by both hit-and-run drivers and drivers without coverage. UIM covers injuries and damages resulting from an accident caused by a driver who doesn’t have enough to cover all claims.
Your insurance company should offer it.
There are not laws in Alaska forcing you to purchase either kind of coverage. Your insurance provider will automatically added this coverage to your policy, unless you refuse. If you refuse the coverage, you must do so in writing. To refuse it, you must acknowledge that you may not receive compensation in these cases.
For further information or to schedule a free initial consultation call 866.452.3741 or visit www.merdes.com. The Merdes Law Firm has been helping injured Alaskans for more than 30 years. It’s who we are; and while we hope you never need us … We’re here if you do.
Source: SafeMotorist.com, “Auto Insurance“
