Is it time to review Your Uninsured and Underinsured (U/UIM) Auto Insurance? Most of us buy first automobile insurance when we are “young and poor.” Our interaction with an insurance sales agent goes something like this: “I have no money. Sell me the cheapest coverage you have to let me legally drive in Alaska.” As a result, insurance sales agents normally sell us “statutory minimum” “50/100” liability insurance. If we get really good advice, we also understand the value of and buy a matching 50/100 of Uninsured Underinsured Motorist (U/UIM) coverage. This U/UIM insurance provides us with minimal insurance when some drunk, uninsured driver takes us out while we are waiting for a red light to change.
Uninsured/Underinsured Motorist Insurance
Uninsured/Underinsured Motorist Insurance (U/UIM) protects you (and all occupants of your vehicle and family members) when you are run over by an Uninsured or Underinsured Motorist – usually a drunk driver. If you (and your family) are badly hurt by an uninsured or underinsured motorist, this insurance stands in the place of the other driver and pays your claims, just as the other driver’s liability insurance would pay them … if the drunk had any insurance. It is staggering how many Uninsured / Underinsured Motorist we have on Alaskan roads. U/UIM is VERY important insurance for you and your family.
Statutory Minimum Is Not Enough
Buy at least as much U/UIM insurance as you buy liability insurance. Consider buying more to better protect your family. This insurance coverage may be all that is available to address a lifetime of medical bills, unemployment and pain. I recommend at least 100/300 coverage. It is far better than 50/100, but it does not provide much beyond minimal protection. The next step up is 250/500 or $250K per person, and $500K per accident.
IMPORTANT: U/UIM insurance is usually less expensive than liability insurance. It is not linearly priced. In other words, doubling your U/UIM coverage will usually NOT double your premium payment. It is smart to think: “How much is my life – and my family’s lives – worth?”
This Blog is Part 2 of a 3 Part Series. Check these posts for information about Liability and MedPay Insurance.
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. ~ Ward Merdes
Source: Ward Merdes
Image Source: Demo Online
