Uninsured/Underinsured Motorist (UM/UIM) insurance is a type of coverage that protects you in the event of an accident where the other driver is at fault, but doesn’t have insurance or doesn’t have enough insurance to cover the damages.
In most states, including Alabama, UM/UIM insurance is not required by law, but it’s highly recommended. Keep reading to see why.
What is Uninsured Motorist (UM) insurance?
Uninsured Motorist (UM) insurance provides coverage in the event of an accident where the other driver is at fault and does not have insurance. If you are injured in an accident caused by an uninsured driver, your UM insurance will cover your medical expenses and any lost wages.
What is Underinsured Motorist (UIM) insurance?
Underinsured Motorist (UIM) insurance provides coverage in the event of an accident where the other driver is at fault and does not have enough insurance to cover the damages. For example, if the other driver’s insurance policy has a limit of $50,000, but your medical bills and other damages total $75,000, your UIM insurance will cover the remaining $25,000.
Why is UM/UIM insurance important?
If you are involved in an accident with an uninsured or underinsured driver, you could be left with significant medical bills, lost wages, and other expenses that are not covered by the other driver’s insurance. Without UM/UIM insurance, you would be responsible for paying these expenses out of pocket. UM/UIM insurance can also be helpful in hit-and-run accidents, where the other driver flees the scene and cannot be identified. In Alabama, UM/UIM insurance is not required. However, every auto insurance policy issued on vehicles in Alabama will have UM/UIM coverage unless you expressly disclaim it. That means you will have UM/UIM coverage in Alabama unless you say in writing that you do not wish to have it.
How much UM/UIM coverage should you have?
The amount of UM/UIM coverage you should have depends on your individual situation. In general, it’s a good idea to have enough coverage to protect you in the event of a serious accident. This may mean carrying higher limits than the minimum required by law. It’s also important to review your policy regularly to make sure you have adequate coverage. If your financial situation changes, you may need to adjust your coverage limits to ensure that you are fully protected. UM/UIM insurance is an important type of coverage that can protect you in the event of an accident with an uninsured or underinsured driver. If you have questions about UM/UIM insurance or would like to add this coverage to your policy, contact your insurance agent for more information.
Were You Injured in a Wreck?
If you or a loved one have been involved in an automobile accident, slipped and fell, or a motorcycle accident, it’s important that you hire an attorney quickly. Accidents are not a common thing for most people. When it does happen, you aren’t sure what to do next. That’s where our team of Alabama personal injury attorneys step in. We’ll fight to get you the compensation you deserve. Call our office today at 205-968-1302 or fill out our form online. Don’t wait to reach out! All consultations are free and fully confidential.
