What is Uninsured Motorist (UM) Insurance Coverage?

There are multiple kinds of insurance out there. If you or a friend/loved one has been in a car accident, you may wonder, “What is Uninsured/Under Insured Motorist (UM) coverage?”

UM coverage is insurance coverage that covers you in the event that the person who hurt you (the tortfeasor or at-fault party) does not have enough money to cover your injuries and damages. Damages in a car accidnet or personal injury case range from hospital bills and the cost of replacing your car to lost wages and, even, pain and suffering.

A quick example, let’s say you’re hit from behind by a car going 50 mph. You go to the ER and spend the night in the hospital. You then spend the next 6 months treating with a chiropractor, physical therapist, and an orthopedic physician. At the end of the 6 months, you have $100,000 in medical bills. So you go to the person who hit you and demand $100,000. Unfortunately, his insurance policy is only good for $10,000. That leaves you with a $90,000 bill.

This is where UM coverage comes in. The person who hurt you was under insured i.e. did not have enough insurance to cover your bills after an accident. If you have $100,000 in UM insurance then you’ll be able to cover the $90,000 medical bills with $10,000 left over.

This is one of the most important kinds of insurance to purchase, because so many people on the road do not have enough insurance or do not have any insurance at all. Purchasing UM insurance protects yourself and your family against major damages after an accident.