Insure Your Future

Insure Your Future

Uninsured And Underinsured Motorist Coverage: What They Are And Why You Need Them

by Sue Palmer

Statistics from 2015 reveal that approximately 13% of all people driving on the roads do not have car insurance. While some drivers may have some protection, many do not have enough coverage. If you drive a car, this means that there is a good chance that you could get into a collision with one of these individuals. According to the statistics, if you get in an accident, you have a one in eight chance that the other driver will not have any or enough insurance. You can protect yourself, though, by purchasing uninsured and underinsured motorist coverage.

The Definition of These Coverage Types

Buying insurance is something people do to reduce their risk levels. When you have car insurance, for example, you can reduce the risks of paying expenses out of your pocket if you cause an accident. Purchasing uninsured and underinsured motorist coverage is a combination package you can buy to also reduce your risks.

Uninsured motorist coverage is something that provides you with coverage if an uninsured driver causes a collision. Underinsured coverage provides you with coverage when a person causes an accident and does not have enough insurance protection.

Both types protect you against the negligence of other drivers. While it might seem unfair for you to pay for coverage that protects you from the negligence of others, the costs are reasonable and fair. Paying the low costs for these coverage types gives you the protection you need if you plan to drive on roads filled with irresponsible drivers.

How They Work

Suppose a driver pulls out in front of you and ends up colliding with your car. If the accident is clearly this driver's fault, his or her car insurance company would be responsible for paying the bills from the accident. If he or she didn't have coverage, though, where would the money come from to pay the bills?

You could sue the driver for the money. However, if the driver doesn't have car insurance, he or she probably doesn't have any money either. Therefore, you could file a claim with your insurance policy if you have uninsured and underinsured motorists. Your company would pay the costs of the claim because you have coverage for this specific purpose.

As you can see, having these coverages on your auto insurance policy is a necessity. If you would like to add them to your plan, call an auto insurance agent or an insurance company like Angel Auto Insurance today.


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Insure Your Future

Purchasing insurance — the right insurance — is one of the smartest things you will ever do. While there are definitely differences between homeowners, car, life, and health insurance policies, they all serve the same purpose when it comes down to it. Insurance protects you against financial ruin should a tragedy happen in your life. In the case of homeowners insurance, that tragedy could be a fire or a flood. In the case of life insurance, that tragedy would be your death. The more you learn about insurance, the better the decisions you'll make when purchasing it. So dive into the articles here, and start reading.