Uninsured/Underinsured Motorists Coverage

There a couple different types of policies or plans that you can add to your existing car insurance policy to extend what is covered and paid for in the case of an accident with a person who does not have high enough limits on their existing policy. These policies include uninsured or uderinsured add-on plans.

Uninsured Motorist coverage.
Uninsured policy is designed to pay for your damages and/or injuries should your car be struck by a hit-and-run driver, or by someone driving without auto insurance. Typically, carriers require confirmation that the party at fault was not carrying any type of coverage prior to this portion of your policy coming into play to pay for damages to your vehicle.

Underinsured Motorist coverage.
Underinsured driver policy is a type of coverage that pays for the costs incurred by an accident in the event that the driver at fault causes more damage than his or her liability limits cover. If a driver only carriers the minimum state requirements for insurance this could happen quite easily, since most damages caused in accidents costs several thousands of dollars.

However, in some states, Uninsured and Underinsured motorist coverage may not pay for property damages no matter who is at fault or what type of insurance policy is involved.

Uninsured Motorist coverage is required in a significant number of states with more requiring this type of policy every year. Underinsured Motorist coverage, however, is only required in four states as of this writing: Connecticut, Vermont, Maine, and Minnesota.