What is Uninsured Motorist Coverage?
Uninsured motorist coverage is a type of auto insurance that protects you in the event of an accident with a driver who does not have insurance. This type of coverage is particularly important because it helps cover medical expenses, lost wages, and other damages that you may incur as a result of the accident.
In many states, uninsured motorist coverage is mandatory. It acts as a safety net, ensuring that you are not left with high costs if you encounter an uninsured driver. This coverage can also extend to hit-and-run accidents, where the at-fault driver cannot be identified.
Typically, uninsured motorist coverage includes two components:
- Uninsured Motorist Bodily Injury (UMBI): Covers medical expenses for you and your passengers.
- Uninsured Motorist Property Damage (UMPD): Covers damages to your vehicle caused by an uninsured driver.
When purchasing auto insurance, consider the limits of your uninsured motorist coverage, as they can vary by policy. It's advisable to select limits that align with your financial and healthcare needs.
Overall, uninsured motorist coverage is a crucial component of your auto insurance policy that provides peace of mind and financial protection on the road.