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Understanding Uninsured Motorist And Underinsured Motorist Insurance Coverage
Copyright (c) 2010-2023 Quinton Becker
(See This Article in its Original Format.)
Uninsured Motorist (UM) and Underinsured Motorist Insurance (UIM) are often the most under-appreciated and misunderstood forms of insurance available to consumers.
I recall as a child, an uncle who had worked for an insurance agency declared to my parents that Uninsured Motorist (UM) and Underinsured Motorist (UIM) insurance coverage were a complete waste of money. I know that we are supposed respect our elders, but I must respectfully disagree with my uncle. Let me explain why.
An Uninsured Motorist is defined as any driver who did not have any insurance at all, had insurance that did not meet the state-mandated minimum liability requirements, or whose insurance company denied the claim to the insured motorist, and the driver was financially unable to pay for medical expenses or damages on their own.
According to the Insurance Research Council, the estimated number of uninsured drivers may reach as high as 25% of the drivers on the road today, across the United States.
Underinsured Motorist refers to a motorist, who had the state mandated minimum liability insurance and was at fault, but their insurance policy will not provide enough coverage to cover the full bodily injury costs or property damages of everyone involved in the accident.
Under the umbrella of UM and UIM insurance, you will find two different options: Uninsured Motorist Bodily Injury (UMBI) and Uninsured Motorist Property Damage (UMPD). While it is possible to purchase UMBI insurance separate from UMPD insurance, you will not be able to purchase UMPD insurance without also purchasing UMBI insurance.
UMBI insurance will pay for injuries to you or your passengers, when there is an accident that is the other person's fault and the person-at-fault is either uninsured or underinsured. A hit-and-run driver is also considered to be an uninsured motorist, as it relates to bodily injury and UMBI insurance.
UMPD insurance will pay for property damages to your vehicle, when the party-at-fault has no insurance or not enough insurance to cover your property damage repair or replacement expenses.
When purchasing Uninsured Motorist (UM) and Underinsured Motorist (UIM) insurance coverage, be sure to verify whether it also covers UMPD expenses and the level of coverage offered with the plan. The standard uninsured motorist insurance package will vary from company to company. So ask for specifics about the uninsured motorist insurance package that is being offered to you.
Insurance agents, with most auto insurance companies, are required to make a consumer sign documentation that affirms the consumer's rejection of Uninsured Motorist Insurance Coverage. This provides a measure of protection to the insurance company, when the consumer realizes that his or her normal insurance policy will not cover bodily injury or property damage, when the fault for the accident is the result of the uninsured or underinsured motorist.
With up to 25% of the motorists on our roads being either uninsured or underinsured, the chances of being involved in a collision with an uninsured or underinsured motorist is 1-in-4.
Consumer advocates suggest that the average person will be involved in at least one traffic accident during the course of his or her lifetime. So the day will likely come that you will be involved in a traffic accident.
According to the National Highway Traffic Safety Administration, there were more than 6 million auto accidents on American roads during 2009. For those of you who have not really thought about it, that means that there was one traffic accident in the U.S. during 2009, for every 50 residents of the United States.
Another statistic worth noting is that nearly 34,000 people were killed in traffic accidents during 2009, in the United States.
I don't know about you, but I would prefer to do my gambling in a casino, where I can have absolute control over how much money I am willing to lose. I certainly don't want to gamble with my personal finances, while I am behind the wheel of my car, by assuming that the guy in the next car has the liability insurance that he is required to have. With a 1-in-4 chance of coming out on the short end of the stick in a traffic accident, personally I think that those kinds of odds are just too high to risk saving a few dollars by rejecting Uninsured Motorist Insurance Coverage.
As for you, that is your choice... You can choose to reject Uninsured Motorist Insurance Coverage to save a few bucks on your insurance premium or not...
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how much of each tire comes into contact with the pavement. If
you lower your car without installing a camber kit, there are
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Distributed: 2010-04-20 |
Word Count: 626 |
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Word Count: 538 |
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| Votes: 68 |
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A ball joint is an important component of your car's suspension,
located on the front end of the vehicle. Ball joints will wear
out over time and cause handling problems as they continue to
deteriorate. It is important that you have these joints
inspected, particularly if you are experiencing handling problems
with your vehicle.
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Written by: Quinton Becker |
Distributed: 2010-05-06 |
Word Count: 630 |
Page Views: 19672
| Votes: 51 |
Rating: 2.98
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parts. Without a properly functioning alternator, your car will
simply refuse to run. A faulty alternator can leave you stranded,
but luckily, a low-performing alternator often shows warning
signs that indicate its malfunction before it ceases to work.
Being able to recognize these warning signs, and knowing what to
do next, may prevent you from getting caught in an inconvenient
or dangerous situation.
Brake Pads Are An Essential Element of Your Car's Safety Equipment
Written by: Quinton Becker |
Distributed: 2010-04-20 |
Word Count: 626 |
Page Views: 5707
| Votes: 21 |
Rating: 2.33
Brake pads are an integral element of the braking system in a
car. As you use your brakes in everyday driving, you will slowly
wear down, and, eventually, need to replace the brake pads.
Taking good care of your braking system will ensure the safety of
you and your family as you drive.
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Written by: Isaak Carter |
Distributed: 2007-03-14 |
Word Count: 1243 |
Page Views: 4706
| Votes: 15 |
Rating: 2.33
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Written by: Quinton Becker |
Distributed: 2010-04-29 |
Word Count: 649 |
Page Views: 9414
| Votes: 22 |
Rating: 2.18
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you stop to realize that most police departments use them on
their cars as well. Brush guards protect cars and trucks from
minor damages that might otherwise be sustained in a low-impact
collision with a vehicle or a tree.
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Written by: Quinton Becker |
Distributed: 2010-05-25 |
Word Count: 754 |
Page Views: 6067
| Votes: 13 |
Rating: 2.15
Performance parts are often better in quality than the factory
replacement parts. The cost difference is generally minimal, and
when you add in the fact that they outperform the factory
replacement parts, it is really no contest.
Low-Riders, Street Racers and Everyday Drivers Should Be Aware of the Camber in a Car's Suspension System
Written by: Quinton Becker |
Distributed: 2010-05-18 |
Word Count: 721 |
Page Views: 5800
| Votes: 13 |
Rating: 2.15
The camber kit in your car's suspension system adjusts the angle
of your tires, and increases the size of your tire footprint -
how much of each tire comes into contact with the pavement. If
you lower your car without installing a camber kit, there are
some major handling problems that will arise. While street racers
and low-rider buffs are the people who could use the camber kit
most often, everyday drivers often consider it to be an
economical safety improvement for their vehicles.
Constant Reminders: Oil Change Stickers
Written by: Malcolm Uffelman |
Distributed: 2008-06-09 |
Word Count: 479 |
Page Views: 5431
| Votes: 17 |
Rating: 2.12
More than ever these days we are forced to take responsibility
for our own welfare. As a symbol that little oil change decal is
always there, every time we get behind the wheel. And it greets
us with an important question: 'Hey is it time for service
yet?'
How a Vehicle's Exhaust System Affects Its Power and Performance
Written by: Quinton Becker |
Distributed: 2010-04-14 |
Word Count: 959 |
Page Views: 5882
| Votes: 18 |
Rating: 2.00
The stock exhaust on many cars is far more restrictive than it
needs to be. Many years ago people seeking improved power and
performance learned that they could achieve both by adding a
larger, less restrictive exhaust system to their vehicle. Not
only do new exhaust systems provide increased power, they can
also generate that sound that many automotive enthusiasts like to
hear from their vehicle.
Oil Change Reminder Stickers
Written by: Malcolm Uffelman |
Distributed: 2008-06-13 |
Word Count: 692 |
Page Views: 4462
| Votes: 13 |
Rating: 2.00
On his thirtieth birthday Joe was proud of himself. He was the
owner of the biggest little business in town. Every week the same
ad ran in the local paper: Get your oil changed by a friend.
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