Every state in the U. S. except for New Hampshire requires drivers to purchase insurance before they drive. Unfortunately, as many as one in five drivers do not purchase auto insurance reports the Insurance Research Council (IRC). If you’re in an accident with an uninsured driver, you get stuck with the financial costs. Protect yourself with these tips.
Purchase Uninsured Motorist (UM) Insurance
Uninsured Motorist insurance, also known as Uninsured Motorist Bodily Injury (UMBI) insurance, pays medical bills for you and your passengers after an accident. It can also reimburse you for lost wages or if you’re a hit-and-run accident victim or a pedestrian who’s hit by an uninsured driver.
Purchase Uninsured Motorist Property Damage (UMPD) Coverage
Uninsured Motorist Property Damage insurance covers vehicle damage. It may also cover property damage depending on the state in which you live. In most cases, UMPD coverage will not cover hit-and-run accidents.
Purchase Underinsured Motorist (UIM) Protection
Sometimes, at-fault drivers do have insurance, but their policy includes low limits that are insufficient to fix your vehicle repair. Your UIM policy will pay the difference and fix your automobile.
Report Accidents
After an accident with an uninsured driver, you may be asked not report the accident or file an insurance claim. Resist the temptation to cut the driver a break. You could be stuck with any bills related to the accident, particularly since your insurance company will probably not pay the claim if you don’t report the accident.
Always document accidents and damages. Include who was driving both vehicles and who was at fault. Get the other driver’s name and phone number as well as his or her driver’s license number and the vehicle’s registration, plate number, make and model.
If You’re the Uninsured Driver
Maybe you are the driver who cannot afford auto insurance because you need to pay the rent or put food on your table instead of buying insurance. Your state may have a program that assists low-income drivers in obtaining the coverage they need. You can also shop around and compare coverage from several insurance agents, including agencies that specialize in insuring low-income drivers. Whatever you do, make sure you buy at least minimum insurance coverage.
You can’t control the type of insurance coverage other drivers purchase. However, you can make sure you have enough coverage to pay for medical injuries and damages if you’re in an accident. Your agent will assist in you in purchasing the insurance you need.
