QuestionWhat is uninsured motorist coverage for?
We have 2 cars. Do we really need uninsured motorist coverage? if yes how much is minimun.
AnswerUninsured motorist (UM)is just as important as liability coverage and is a must have.
If someone without insurance or with very little insurance damages your vehicle and/or person, UM will stand in place of the non-existent or inadequate policy. It covers the cost of repairing or the value of your vehicle, rental car expenses, medical bills, lost wages, pain and suffering etc. It generally carries a lower deductible than collision coverage and allows you to make a claim in an uninsured loss, without using your collision. While collision claims can be counted against you, UM claims are generally not.
Recently, I had ear surgery. The hospital bill for "day surgery" was nearly $20,000. If someone runs into and causes serious injury, the medical bills can hit six figures within a week. Even if you have health insurance, imagine what the out of cost expenses would be on such an event.
Now what if, God forbid, you or a passenger in your vehicle are killed by an uninsured or underinsured motorist? Most people only carry the state minimum required liability. In Georgia for example, it is $25,000 per person. I think that my life is worth a whole lot more than $25,000.
Generally, UM limits of liability will follow whatever Liability limits you already have. If your basic liability limits are $25/$50,($25,000 per person or a maximum of $50,000 per accident) then if you elect UM, it will be the same. Adding to these limits is relatively inexpensive and I recommend at least $100,000. Personally, I carry a whole lot more than that. Not am I concerned about what would happen to me in a UM situation, but I've so often seen liability limits exhausted on other people's policies. When that happens, those people are on the hook personally for the difference.
Good luck and I'd appreciate your feedback.
