When shopping for car insurance, most drivers focus on the basics—liability, collision, and comprehensive coverage. But one part of your policy that often gets overlooked could end up being your financial lifeline in an accident: Uninsured Motorist (UM) coverage. At the same time, some drivers question whether it’s necessary. So, should you add it to your policy? The answer depends on several factors.
The Case For Uninsured Motorist Coverage
Despite mandatory insurance laws in most states, millions of drivers remain uninsured. According to the Insurance Research Council, about 1 in 8 drivers in the U.S. is uninsured. That means if you’re hit by one of them, you could be left paying out-of-pocket for injuries and damages—unless you have UM coverage.
Uninsured Motorist Bodily Injury (UMBI) covers your medical expenses, lost wages, and even pain and suffering if you’re injured by an at-fault driver who doesn’t have insurance. Uninsured Motorist Property Damage (UMPD), where available, helps pay for repairs to your vehicle.
“Uninsured motorist coverage acts like a safety net,” says Karen Simmons, a claims manager at Midwest Auto Insurance. “It protects you and your passengers when someone else’s irresponsibility puts you at risk.”
It can also protect you in hit-and-run accidents, which are legally treated as if the other driver is uninsured in many states. Given rising medical costs, even a minor accident could leave you with thousands in bills.
The Case Against Uninsured Motorist Coverage
On the other hand, some argue that UM coverage may not be essential—particularly if you already have strong health and collision coverage.
If your health insurance plan is comprehensive and has low deductibles, you might already be covered for medical treatment resulting from an accident. Likewise, if you carry collision coverage, your car repairs could be handled without relying on UMPD.
“In some situations, uninsured motorist coverage may duplicate benefits you already have,” explains Joseph Martinez, a financial advisor in Houston. “If you’re budget-conscious and have overlapping protection, it might be an area to consider trimming.”
In states where no-fault laws apply, your own insurance pays for injury-related expenses regardless of who caused the accident—making UM coverage less critical.
Additionally, if you rarely drive, live in a state with low uninsured rates, or have a well-funded emergency savings account, the risk of going without may seem acceptable.
Ultimately, the decision to carry uninsured motorist coverage comes down to your personal risk tolerance, financial situation, and existing insurance portfolio.
It tends to be one of the more affordable add-ons to a policy, offering valuable peace of mind. But for others with overlapping coverage, it may be a redundant cost.
Before making a decision, it’s smart to consult with a licensed insurance agent who can help you evaluate your exposure and craft a policy that works for you.
About the Author:
David Dandaneau is a insurance agent that covers the insurance and financial services industry. He is known for his insightful analysis and comprehensive coverage of market trends and regulatory developments.
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