Uninsured Motorist Coverage: What Medical Expenses and Lost Wages Are Covered?

Imagine being involved in a car accident caused by a negligent driver. You’re injured, your car is damaged, and you’re facing mounting medical bills. To make matters worse, you discover the at-fault driver has no insurance. In this unfortunate scenario, what options are available to cover your medical expenses and lost wages? Uninsured Motorist (UM) coverage is designed to protect you.

What is Uninsured Motorist Coverage?

Uninsured Motorist (UM) coverage is a part of your auto insurance policy that protects you if you’re injured in an accident caused by a driver who doesn’t have insurance. It can also apply in hit-and-run accidents where the at-fault driver cannot be identified. UM coverage is designed to cover the damages you would have been able to recover from the at-fault driver’s insurance company if they had sufficient coverage.

According to the Insurance Information Institute, nearly 13% of drivers nationwide don’t have auto insurance. In some states, this number exceeds 20%. This highlights the importance of having UM coverage, even if it’s not required in your state.

What Expenses Does Uninsured Motorist Coverage Cover?

Uninsured Motorist coverage typically includes two main components:

Uninsured Motorist Bodily Injury (UMBI): This covers medical expenses, lost wages, pain and suffering, and other related damages for you and your passengers if you’re injured by an uninsured driver.
Uninsured Motorist Property Damage (UMPD): This covers damage to your vehicle if it’s hit by an uninsured driver. However, UMPD may not be available in all states, and some states may require you to have collision coverage to cover hit-and-run incidents.

Specifically, UMBI can provide compensation for the following:

Medical Expenses: This includes hospital bills, doctor visits, surgeries, rehabilitation, medication, and other necessary medical treatments.
Lost Wages: If your injuries prevent you from working, UM coverage can compensate you for lost income.
Pain and Suffering: This includes compensation for physical pain, emotional distress, and reduced quality of life resulting from the accident.
Funeral Expenses: In the event of a fatality, UMBI can cover funeral costs.

How Does Uninsured Motorist Coverage Work?

Report the Accident: After an accident with an uninsured driver, the first step is to ensure everyone’s safety and call the authorities. File a police report, as it provides an official record of the incident.
Gather Information: Collect as much information as possible, including the other driver’s name, contact details, and vehicle information. Take photos of the accident scene, vehicle damage, and any visible injuries.
Notify Your Insurance Company: Contact your insurance company promptly to report the accident and initiate the UM claim process. Provide them with all relevant details, including the police report, photos, and any witness statements.
Claim Investigation: Your insurance company will investigate the claim to verify the other driver’s uninsured status and assess the damages.
Settlement Negotiation: If your claim is approved, your insurance company will work with you to settle the claim. They will cover your medical expenses, lost wages, and other damages up to the limits of your policy.

Uninsured vs. Underinsured Motorist Coverage

It’s important to distinguish between Uninsured Motorist (UM) and Underinsured Motorist (UIM) coverage. UM coverage applies when the at-fault driver has no insurance, while UIM coverage applies when the at-fault driver has insurance, but their policy limits are insufficient to cover your damages. In the latter case, UIM coverage can help bridge the gap between the at-fault driver’s coverage and the full extent of your losses.

For example, let’s say you have $60,000 in medical bills after a car accident, and the at-fault driver’s policy only includes $30,000 in bodily injury coverage. If you have UIM coverage with a limit of at least $30,000, you can file a claim to recover the additional $30,000 from your insurance carrier.

Is Uninsured Motorist Coverage Required?

Whether UM coverage is required depends on the state. Many states mandate UM coverage, while others don’t. Even if it’s not required, it’s highly recommended to have it. Without UM coverage, you could be responsible for paying for medical bills, vehicle repairs, and lost wages out of your own pocket if you’re hit by an uninsured driver.

Factors Affecting Your Uninsured Motorist Claim

Several factors can affect the outcome of your UM claim, including:

Policy Limits: The amount of coverage you have will limit the amount of compensation you can receive.
State Laws: UM coverage laws vary by state, so it’s important to understand the laws in your jurisdiction.
Negligence: To recover damages under UM coverage, the other driver must be proven negligent.
Documentation: Thorough documentation of the accident, injuries, and damages is crucial for a successful claim.

What if My Claim is Denied?

If your UM claim is denied, you have the right to appeal the decision. You can also consider filing a lawsuit against your insurance company to recover the damages you’re entitled to. It’s best to consult with an attorney experienced in handling UM claims to explore your legal options.

The Importance of Legal Representation

Navigating the UM claims process can be complex, especially when dealing with insurance companies. An experienced personal injury attorney can help you understand your rights, gather evidence, negotiate with the insurance company, and represent you in court if necessary.

Don’t navigate the aftermath of an accident with an uninsured driver alone. Contact us today for a free consultation to discuss your options and protect your rights.