Imagine this: You’re heading to work, running errands, or picking up the kids, sharing the road with a whole lineup of other drivers. And here’s a surprising thought—about one in eight doesn’t have car insurance at all, according to the Insurance Research Council. That means there’s a good chance you’re driving alongside uninsured motorists every day.
That’s why uninsured motorist (UM) coverage can be such a lifesaver. It steps in to cover your medical bills (and more) if you or your passengers are injured in an accident caused by an uninsured driver.
What Exactly is Uninsured Motorist (UM) Coverage?
Uninsured motorist coverage, often abbreviated as UM or UMBI, is a type of auto insurance designed to help cover medical expenses if you’re hit by:
- A driver with no liability insurance
- A hit-and-run driver
- Someone whose insurance company won’t cover them or has gone out of business
What Does UM Coverage Cover?
If you’re injured by an uninsured driver, uninsured motorist coverage can help pay for:
- Medical bills
- Lost wages if the accident keeps you from working
- Pain and suffering compensation
- Funeral expenses, in the unfortunate case they’re needed
It’s important to note that UM coverage pays for you—it’s not a bailout for the uninsured driver.
In some states, you can also add uninsured motorist property damage (UMPD) coverage, which helps repair your car if it’s damaged by an uninsured driver. Collision coverage, which you can get in every state, can also pay for repairs, regardless of whether the other driver is insured.
There’s also underinsured motorist (UIM) coverage, which steps in when you’re hit by a driver who doesn’t have enough insurance to cover your expenses. UIM and UM coverage are sometimes bundled together, giving you peace of mind whether the other driver has no insurance or not enough.
Driving uninsured might be common, but with the right coverage, you can help protect yourself from the unexpected.
How Much Uninsured Motorist Coverage Should You Carry?
If your state requires uninsured motorist (UM) coverage, you’ll need to purchase at least the minimum amount set by state law, typically matching your liability coverage limits. So, if your policy includes limits of $100,000 per person and $300,000 per accident for liability (often called 100/300), you’d get the same 100/300 limits in UM coverage.
Tips for Buying Uninsured Motorist Coverage
Some states require UM, while others make it optional or don’t offer it. Here’s how to navigate buying it:
- Check Your State’s Requirements: Find out if your state requires UM coverage or if it’s optional.
- Match Your Liability Limits: If you decide to get UM, it’s best to match it with your bodily injury liability limits for solid coverage.
- Consider Other Coverage Options: Many states also offer Uninsured Motorist Property Damage (UMPD) or Underinsured Motorist Property Damage (UIMPD), which protect your car if you’re hit by someone without sufficient property damage coverage.
- Shop Around: Compare quotes from different companies for the best rate on the coverage you need.
When comparing policies, check out ratings of car insurance companies to see who offers great deals and reliable coverage.
The Basics of Uninsured Motorist Coverage
Uninsured motorist coverage, or UM, breaks down into four main types, each designed to protect you in slightly different ways when you’re on the road:
| Type | How It Works |
| Uninsured Motorist Bodily Injury (UM or UMBI) | Covers medical expenses if an at-fault driver without insurance causes an accident. |
| Uninsured Motorist Property Damage (UMPD) | Pays for damage to your car if it’s hit by an uninsured driver. Some states even allow UMPD to cover hit-and-run accidents. |
| Underinsured Motorist Bodily Injury (UIM or UIMBI) | Steps in when the at-fault driver’s insurance isn’t enough to fully cover your medical costs, lost income, and other related expenses. |
| Underinsured Motorist Property Damage (UIMPD) | Covers repairs to your car if it’s damaged by a driver who doesn’t have sufficient liability insurance. |
Uninsured Motorist Coverage Limits
UM coverage typically comes in two parts, often expressed as 100/300. Here’s what that means:
- $100,000 per person for bodily injury
- $300,000 per accident total
So, if you have a 100/300 policy and, say, several passengers with medical costs, UM would pay up to $300,000 per accident. Once the UM coverage is used up, your health insurance can generally cover any remaining bills.
State Requirements for UM Coverage
Depending on where you live, UM coverage may be required, optional, or unavailable. Make sure you know your state’s specific laws to build the right coverage plan.
Is Uninsured Motorist Coverage Worth Adding?
If your state doesn’t make uninsured motorist (UM) coverage a requirement, you may be wondering whether it’s really necessary. Here’s a quick breakdown to help decide if it’s right for you.
Do You Have Other Insurance to Cover Injuries from Car Accidents?
Uninsured motorist coverage is mainly designed to pay your medical bills if you’re hit by a driver with no insurance. If you already have strong health insurance, you may feel covered. But if you have a high-deductible plan or worry about out-of-pocket costs in the event of hospitalization, UM coverage could provide peace of mind. Plus, UM doesn’t just cover medical bills—unlike health insurance, it can also compensate you for pain and suffering, lost wages, and other accident-related expenses.
To give you an idea, the average uninsured motorist claim is around $35,546, according to the National Association of Insurance Commissioners.
Do You Have Coverage for Car Damage?
Some states offer uninsured motorist property damage (UMPD) coverage, which protects your car if it’s suddenly damaged by an uninsured driver. If you already have collision insurance, though, UMPD might be unnecessary. Collision coverage protects against damage from various incidents, not just uninsured drivers, and it’s available nationwide.
Does Your State Have a High Rate of Uninsured Drivers?
Certain states have higher rates of uninsured drivers, like Mississippi, where nearly 30% of drivers are uninsured. States like Michigan, Tennessee, New Mexico, and Washington also have a significant percentage of drivers without insurance. In these areas, adding UM coverage might be a smart choice for extra protection on the road.
Does Uninsured Motorist Coverage Help with Hit-and-Run Accidents?
A hit-and-run can be a huge and long-standing hassle. This occurs when someone hits your car, property, or even a pedestrian and leaves without sharing contact or insurance info. Whether it’s your car, fence, or mailbox that gets hit, uninsured motorist (UM) coverage might be able to help in some cases. Here’s how:
- Uninsured Motorist Property Damage (UMPD): This covers repairs to your car or property if damaged in a hit-and-run.
- Uninsured Motorist Bodily Injury (UMBI): This covers medical expenses if you’re injured by a hit-and-run driver.
Keep in mind, though, that UMPD isn’t available in every state. Even in states where it is, it may not cover hit-and-runs, and you might need to pay a deductible.
Some states that don’t allow UMPD coverage for hit-and-runs include California, Colorado, Georgia, Illinois, Louisiana, and Ohio. If you’re in one of these states, you can often use your collision coverage for repairs instead.
What to Do After a Hit-and-Run Accident:
- Pull over safely and check that everyone’s okay—avoid chasing the other driver.
- Gather details: Jot down as much as you remember about the other vehicle (make, model, color) and any other specifics.
- Get witness info if available.
- Call the police and take photos of your car and the scene.
- Reach out to your insurer for guidance on filing a claim.
Should You Get UM Coverage for Property Damage?
If UMPD isn’t required in your state, you may not need it if you already have collision insurance. Collision insurance generally covers car damage no matter who’s at fault, and it often applies in more situations than UMPD. However, UMPD sometimes has a lower deductible, which might be appealing.
The average claim for UMPD is around $2,104, according to the National Association of Insurance Commissioners.
Making an Uninsured Motorist Claim
If you’re in an accident caused by a driver who lacks sufficient insurance, here’s how a UM claim might work:
- At a Stop Light: You’re rear-ended by an uninsured driver. You would use UMBI for any injuries and UMPD for car damage, if available in your state.
- As a Pedestrian: You’re hit while crossing the street by an underinsured driver. You could claim on their liability insurance, then use your UIMBI to cover any gaps in medical expenses.
- Parked Car Hit in a Garage: If you find your car damaged in a public garage with no note, you can file a UMPD claim, if allowed, or use your collision coverage.
Understanding Your Uninsured Motorist Claim Payout
It’s important to know that if you file a claim under your underinsured motorist (UIM) coverage, the payout might be reduced by what you already received from the other driver’s insurance. For example:
- Say you have $100,000 in UIM coverage, received $50,000 from the at-fault driver’s insurance, and have $300,000 in medical bills. Your UIM payout would be reduced by the $50,000 already received, leaving you with $50,000 from UIM.
In states like Connecticut, drivers can get UM “conversion” coverage, meaning their UIM benefit isn’t reduced by the other driver’s payout.
What is “Stacking” Insurance?
Stacking means using two UM policies to increase your payout. It’s not allowed everywhere, but if it’s available, you can typically accomplish this by:
- Within One Policy: Coverage for multiple cars on the same policy can be stacked.
- Across Multiple Policies: Coverage for two vehicles on separate policies in your name can also be stacked.
For example, if you have $100,000 of UM coverage on two cars, stacking could increase your benefits to $200,000.
Things to Know About Stacking:
- Stacking usually costs more and must be selected upfront.
- You can only claim UM benefits if the accident wasn’t your fault.
Imagine the peace of mind knowing that you and your loved ones are protected, even if the driver responsible for an accident isn’t. At Alexander Insurance Agency of St. Charles, we understand the unpredictable nature of the road and are here to make sure you never face these risks alone. Our dedicated team is ready to assist you—day or night—to find an affordable uninsured motorist (UM) policy that keeps you covered from unexpected medical expenses, lost wages, and more when you’re hit by an uninsured driver. Let our hardworking crew help safeguard your financial security with a coverage plan designed to step in when you need it most. Don’t let someone else’s lack of insurance become your financial burden—reach out to us today for personalized, round-the-clock support.