Do I Really Need Uninsured/Underinsured Motorist Coverage?

Do I Really Need Uninsured/Underinsured Motorist Coverage?

December 05, 2023

Understanding what auto insurance policy best fits your needs can often feel like a complex puzzle, especially when it comes to understanding the various types of coverage available. One question that frequently arises is whether uninsured/underinsured motorist (UM/UIM) coverage is truly necessary. Let's delve into what this coverage entails and why it might be a crucial part of your auto insurance policy.

Firstly, it's important to understand what UM/UIM coverage is. Uninsured motorist coverage protects you if you're in an accident with an at-fault driver who doesn't carry liability insurance. Underinsured motorist coverage, on the other hand, kicks in when the at-fault driver's insurance is insufficient to cover your damages or medical expenses.

Now, why is this important? Consider the statistics: according to the Insurance Information Institute, approximately 13% of drivers in the United States are uninsured. This means that if you're involved in an accident, there's a significant chance the other driver might not have insurance. Without UM/UIM coverage, you could be left footing a hefty bill for something that wasn't your fault.

Moreover, even if the other driver has insurance, their policy limits might not be enough to cover all your expenses, especially if the accident results in serious injury or significant damage to your vehicle. UM/UIM coverage ensures that you're not left in a financial bind due to someone else's lack of adequate coverage.

Another aspect to consider is the peace of mind UM/UIM coverage offers. Knowing that you're protected in these scenarios can alleviate the stress and uncertainty that comes with any road incident.

However, it's also important to weigh the cost of adding UM/UIM coverage to your policy. While it generally isn't the most expensive component of an auto insurance policy, it does add to your overall premium.

While UM/UIM coverage isn't legally required in all states, it's a valuable addition to your auto insurance policy. It safeguards you against the unpredictable nature of accidents with uninsured or underinsured drivers, ensuring that you're not left vulnerable to unexpected financial burdens. As with any insurance decision, it's crucial to assess your specific needs and risks before making a choice.

Contact our team today for your free insurance program review – 360-254-7166.