What Is Uninsured Motorist Coverage and How Does It Work?

Sharing the road with others is a risk that is inherently obvious. We mitigate these risks with proper courses on avoiding collisions and having insurance, just in case. However, unfortunately, from time to time, there are situations where accidents do occur, and the person responsible doesn’t have insurance. Lucky for you, prior to the accident, you decided to include Uninsured Motorist Coverage as part of your insurance policy! On the other hand, this can be unlucky for some that didn’t know or get UMI coverage.  Here at KAASS LAW, we strive to inform our readers and or clients about what types of insurance coverages are available. The following will shed light on what UMI does and why you should need it. 

What Is Uninsured Motorist Coverage and How Does It Work?

Uninsured Motorist Coverage is a very reliable option that you can have for your insurance policy. This entails that if you’re in an accident with someone but they don’t have insurance. Therefore, you can make a claim to your own insurance. Since you have coverage,  having UMI will help you better when it comes to financial compensation. Normally, these compensations are from the damages against you by the responsible party that is held negligent. It is also worth mentioning that underinsured motorist coverage is similar to uninsured motorist coverage. For instance, it pays for bodily injuries suffered in a collision with a driver who does not have enough coverage to compensate for your injuries. Your underinsured motorist policy kicks in to assist cover the gap between the other driver’s coverage and the entire amount of your losses.

What Can Collision Coverage Do for You?

Collision coverage, which may be added to a car insurance policy, pays to repair your vehicle if you’re in an accident, whether you’re at fault, if the other at-fault driver is uninsured, or if you’re hit by a hit-and-run driver. But remember that collision policy only covers the cost of repairing your automobile up to the limitations of your coverage, not your injuries. However, the period of time a policyholder has to file an uninsured or underinsured motorist claim depends on your policy. KAASS LAW can help and review if needed. 

Is It Possible to Sue an Uninsured Driver?

In this case, you can file a vehicle accident lawsuit, but even if you win, it may be a hollow victory. There’s no assurance that if you get a judgment against an uninsured motorist, you’ll be able to collect the money (or any portion of it). Due to the fact that an uninsured driver may not have many assets, enforcing the judgment may be a lost battle.

How Does Uninsured Motorist Coverage Work?

If you are involved in an accident with an uninsured driver and sustain injuries, you would typically file a claim with your own insurance company under your UM coverage. Here’s a general overview of the process:

• Report the Accident: As with any accident, it’s crucial to report the incident to law enforcement and your insurance company promptly.
• Investigation: Your insurance company will conduct an investigation to determine fault and confirm that the other driver was indeed uninsured or a hit-and-run driver.
• Filing a UM Claim: Once the uninsured status of the other driver is confirmed, you can file a UM bodily injury claim with your insurer.
• Negotiation: Your insurance company will evaluate your claim and may offer a settlement.
• Arbitration: If you and your insurance company cannot reach a settlement agreement, your policy likely includes an arbitration clause.

In addition to uninsured drivers, there’s also the risk of being hit by an underinsured driver. Someone who has insurance but whose policy limits are insufficient to cover the full extent of your injuries and damages. California law also allows you to purchase Underinsured Motorist (UIM) coverage. This kicks in when the at-fault driver’s insurance limits are exhausted, and your damages exceed their coverage. UIM coverage works similarly to UM bodily injury coverage, allowing you to seek additional compensation from your own insurer up to the limits of your UIM policy.

Why You Need Uninsured and Underinsured Motorist Coverage

• Financial Protection: UM/UIM coverage safeguards you from the potentially devastating financial consequences. Accidents aren’t cheap to resolve, and they can cause an irresponsible or underinsured driver.
• Peace of Mind: Knowing you have this protection in place can provide significant peace of mind while navigating California’s roadways.
• Access to Compensation: Without UM/UIM coverage, recovering compensation for your injuries and losses after an accident with an uninsured or underinsured driver can be incredibly challenging, often requiring you to pursue legal action directly against someone who may have limited or no assets.

Contact Us

If you have been injured in an accident involving an uninsured or underinsured driver in California, KAASS LAW can help. We can help with opening up claims if needed and among many other performances such as: 

• Review
• Investigate
• Represent
• Fight

Don’t leave your financial future vulnerable to the actions of uninsured or underinsured drivers. Contact KAASS LAW today for a consultation. Our team is here to discuss your auto insurance coverage and how we can help.