Do you have Uninsured Motorist Coverage

Sometimes when I ask if people have uninsured motorist coverage people say they have FULL COVERAGE.

Sometimes what they really have is liability coverage.  Meaning they have what is legally required to drive.  Liability coverage pays another driver for their losses if you are at fault. It does not cover the damage to your car or your injuries.

There are a lot of people driving around without any insurance at all.  What would you do if your car had $2,500 in damage and you had hospital bills of $3,000.00 and the person that caused the accident had no job, no insurance, no license and was just generally unaccountable? Uninsured/underinsured coverage comes to the rescue in this situation.

Coverages summarized

Bodily injury liability covers other people’s bodily injuries for which you are responsible.  Property damage liability covers you if your car damages someone else’s property.  These coverages come with maximum limits that you choose at the inception of your policy. Liability coverages don’t protect your car in any way, so that is why you purchase physical damage coverages.

Uninsured property damage covers damage to your own car if the at fault driver has no insurance.

Uninsured motorist coverage steps into the shoes of at at fault party’s coverage if they had no coverage.

Talk to your insurance agent.  See if you have the coverage that you need.  If you are not sure, ask the agent to explain it in detail.  It is really not difficult to incur $5,000.00 in property damage and $5,000.00 in hospital bills.  Take steps to protect yourself and make informed decisions.

Do not let someone tell you that you have full coverage without knowing exactly what they mean by the reference.

Collision insurance covers damage to your automobile caused by a collision with another object or by upset. Comprehensive insurance covers damage to your vehicle for damages caused by things other than collisions, such as vandalism, theft, or glass breakage.

Most lienholders require physical damage coverage if you are financing or leasing your vehicle.  These coverages each come with a deductible, an amount due before your insurance benefits kick in.