Uninsured and underinsured motorist coverage protects you if you are in an accident with someone who does not have enough insurance to cover damages. Further, the coverage you purchase allows peace of mind if you are in any accidents.
Nationally, around 13% of drivers do not have insurance. That equates to about one in eight drivers, a relatively high risk. If you get into a crash with an uninsured or underinsured individual, you would have to sue them personally for damages and injuries.
Uninsured and Underinsured Motorist Coverage
As the names suggest, uninsured and underinsured coverage applies to different situations. However, in each case, the other driver must be at fault. Uninsured coverage applies when the other driver does not have liability insurance. Further, Underinsured coverage applies when the other driver does not have enough insurance to cover all damages from the accident.
There are four kinds of uninsured or underinsured motorist coverage:
- Uninsured motorist property damage;
- Uninsured motorist bodily injury;
- Underinsured motorist property damage; and
- Underinsured motorist bodily injury.
What It Covers
This type of insurance usually provides coverage for you, your household members, those permitted to drive your vehicle, and passengers of your car. However, it’s always a good idea to check your policy to know who your plan covers. In fact, your insurance company can explain the coverage in detail so you know what to expect if you get into a crash.
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
Sources: Insurance Information Institute; Merdes Law Office
Image Source: Adobe Stock
