Here’s Why You Need to Get Uninsured Motorist Coverage

Auto insurance is an essential investment for any motorist. It can mitigate the effects of an accident on you, any passengers, and your actual vehicle by compensating you financially. There are various levels in insurance, and many motorists may not opt for all the coverage options included in insurance plans.

Many motorists actually end up underinsured, and a key point of interest that gets oft-overlooked is uninsured motorist coverage.

What is Uninsured Motorist Coverage?

Uninsured motorist coverage ensures that if you have an accident or collision involving an uninsured motorist, your insurance company will pay for all damages. This includes any pain and suffering and lost wages. It basically protects you and your vehicle, whether or not you are at fault.

Specifically, you can obtain uninsured motorist bodily injury (UMBI) and uninsured motorist property damage (UMPD) coverage. You can also have a comprehensive coverage plan that carries both of these things.

For UMBI, you and your passengers will be compensated for medical bills, lost wages, and pain and suffering. For this, a maximum limit will be set for the amount of coverage each involved party can claim.

UMPD, on the other hand, covers any damage taken by your vehicle and other personal property in the course of the accident. This variation is not always available in all states.  

Who Needs Uninsured Motorist Coverage?

For starters, certain jurisdictions require UM. Among these are major states like New York, Massachusetts, and Vermont. For anyone living in those regions, this is legally necessary. If you get caught without the right insurance coverage, you can get fined and have your license suspended.

Even if you live in a state that doesn’t have a UM mandate, it would still be wise to have this coverage to protect you from uninsured motorists.

UMPD or Auto Collision Coverage?

The difference between the two is that collision coverage only pays for vehicle repairs after a collision. This means any items inside the vehicle and property involved will not be compensated for. On top of that, your coverage won’t pay for your vehicle’s diminished value.

In Sanford, car insurance UM also has a lower deductible than collision coverage. The latter will see you receive a payout regardless of who may be at fault, but it also doesn’t cover any bodily injury. UM generally has better value than collision coverage in hit-and-run situations and the like.

Benefits and Repercussions to Note

• We’ve noted that a lack of UM coverage is illegal in certain states. However, you should also know that many jurisdictions have a minimum limit that might not always apply to your situation.

• First-time offenders without proper coverage will already pay upwards of $500. This rate increases with repeated violations and eventually leads to suspension of one’s driver’s license.

• UM coverage should be computed with your vehicle’s value and the number of usual passengers in mind. This way, you can ensure that the coverage will be comprehensive in the event of an accident.

Conclusion

Car insurance is generally advised, and in many cases, mandatory. When it comes down to uninsured motorist coverage, the case for getting it really lies in your own risk management. Without this coverage, any accident that involves an uninsured motorist can end up with you shouldering every expense. It’s simply a preventative measure against any long-term financial burdens that could be unmanageable.

In need of motorcycle and auto insurance in Sanford Central Florida? The Sanford Insurance Center has you covered. Contact us now to enjoy basic, full, and comprehensive coverage from our selection of top-notch insurance companies.