According to a study by the Insurance Research Council (IRC), more than 12.6% of drivers in the US were driving without insurance in 2019. While 12.6% might not sound like a big number, it can become a problem if you are involved in an accident where the at-fault party doesn’t have any coverage. Uninsured drivers pose a significant threat to everyone on the road.
Firstly, you will have to deal with the damages and the injuries due to the accident. Secondly, you won’t be able to receive any compensation for it if the other driver doesn’t have insurance coverage to pay for a settlement.
The at-fault driver’s insurance company is responsible for paying for any losses that you incur. But what happens if the other party doesn’t have any coverage? Who will be responsible for paying your bills? That is where uninsured motorists’ insurance comes into play.
What is Uninsured Motorists Insurance?
Uninsured Motorists Insurance is designed to help you recoup your losses in case of a car accident where the other party doesn’t have any insurance coverage. In most cases, you’ll file a claim with the at-fault driver’s insurance provider to pay for:
- Property damages
- Medical expenses
- Lost Wages
However, if the driver has no insurance coverage to pay you for your losses, uninsured motorists insurance helps you get compensation for your losses.
Why is Uninsured Motorists Insurance so Important?
Car accidents can lead to very serious losses, and out-of-pocket expenses for things like medical bills. You deserve compensation if these damages are due to an irresponsible driver.
However, more than 12% of Americans don’t have insurance coverage, and the number is only increasing. That is where uninsured motorist insurance can cover your medical expenses, lost wages, and other expenses. This insurance coverage will pay for you and other passengers’ losses if the at-fault party:
- Doesn’t have any liability car insurance
- Insurance provider doesn’t give coverage or goes out of business
- Insurance policy limit doesn’t cover your medical expenditure
This insurance coverage can pay for the wages you lose due to missing out on work, funeral expenses, car damages (in a few states), etc. It is vital to know that the rules and limits for uninsured motorist insurance vary from state to state.
So, it is better to know the state guidelines regarding uninsured motorist insurance. Most people confuse uninsured motorist insurance and underinsured motorist coverage to be the same thing.
Uninsured motorist insurance pays for the losses of victims involved in a car accident where the driver doesn’t have insurance coverage. On the other hand, underinsured motorist coverage covers the difference between your total losses and the at-fault driver’s insurance limit.
Hire an Attorney Today For Your Car Accident
If you or your loved ones are in a car accident where the at-fault driver doesn’t have any coverage, then you should contact a lawyer today. Vanessa E. Dream, Esq. is an experienced and reliable attorney who can help you understand your case and guide you on how to proceed. Contact her and her legal team of professionals at Dream Team Law at 1-855-255-TEAM.