In my last post, I discussed why it was important to carry as much liability coverage as you can in your automobile insurance policy in the event that you cause a motor vehicle accident. In this post, I’d like to discuss the importance of uninsured and underinsured coverage in your insurance policy. This coverage is used when someone else causes an accident and they are either uninsured, or has limited liability coverage.
What happens if someone causes an accident, flees the scene and there are no witnesses? In that case you would look to the uninsured portion of your policy. But what happens if you chose a minimum amount of uninsured/underinsured insurance, and your injuries are worth more? What if someone hits you, they have insurance, but you sustain more injuries than they can cover? Do you have additional underinsured coverage on your policy to seek compensation for the true value of your loss?
Purchasing as much uninsured/underinsured coverage as you can may not seem necessary now, but when an accident does occur and you find yourself with thousands of dollars of bills and no way to pay them, this coverage will come in handy. If you have questions about how much coverage you should have in order to protect you and your family, feel free to contact me. I can meet with you to review your policy, free of charge, here in my Lawrenceville, New Jersey office.