Uninsured and underinsured motorist claims

Uninsured and underinsured motorist (UM/UIM) coverage is a type of insurance that provides protection to drivers in the event of an accident where the at-fault party either does not have insurance (uninsured) or does not have sufficient insurance coverage to fully compensate for the damages (underinsured). UM/UIM coverage is designed to fill the gap left by the lack of insurance or inadequate coverage of the at-fault party.

Here's an overview of uninsured and underinsured motorist claims:

1. Uninsured Motorist Coverage:

Protection Against Uninsured Drivers: Uninsured motorist coverage provides compensation for bodily injuries and, in some cases, property damage caused by uninsured drivers.
Hit-and-Run Accidents: UM coverage also applies in hit-and-run accidents where the at-fault driver cannot be identified or located.

2. Underinsured Motorist Coverage:

Supplemental Coverage: Underinsured motorist coverage kicks in when the at-fault driver's insurance coverage is insufficient to cover the full extent of the damages.
Coverage Limits: The amount of compensation available under UIM coverage depends on the coverage limits selected by the insured and the difference between the at-fault driver's coverage and the actual damages incurred.

3. Filing UM/UIM Claims:

Notification to Insurer: In the event of an accident involving an uninsured or underinsured motorist, the insured should promptly notify their own insurance company about the accident and the uninsured or underinsured status of the other driver.
Evidence Collection: The insured should gather evidence to support their claim, including police reports, witness statements, medical records, and documentation of damages.
Cooperation: Insured individuals are typically required to cooperate with their insurance company's investigation of the claim, which may involve providing statements, attending medical examinations, or other necessary actions.

4. Coverage Determination:

Policy Provisions: The availability and extent of coverage under UM/UIM insurance are determined by the terms and provisions of the insured's policy, including coverage limits, deductibles, and exclusions.

5. Settlement Negotiation:

Claim Evaluation: The insurance company will evaluate the claim and negotiate a settlement with the insured based on the damages incurred and the coverage available under the policy.

6. Arbitration or Litigation:

Dispute Resolution: If there are disputes regarding the claim amount or coverage determination, the insured and the insurance company may resort to arbitration or litigation to resolve the matter.

7. Subrogation Rights:

Recovery from At-Fault Party: In cases where the insured receives compensation under UM/UIM coverage, the insurance company may exercise subrogation rights to recover the amount paid from the at-fault party or their insurance company.

8. Legal Representation:

Consulting an Attorney: Insured individuals may choose to consult with an attorney, particularly if there are complex legal issues or disputes involved in the UM/UIM claim process.

Uninsured and underinsured motorist coverage provides valuable protection for drivers, ensuring that they have financial recourse in the event of accidents involving uninsured or inadequately insured motorists. It's essential for insured individuals to understand their policy provisions and rights under UM/UIM coverage to effectively pursue claims and obtain appropriate compensation for their losses.