Know More About Uninsured Motorist Insurance

An estimated 12.6 drivers in the United States are currently uninsured. What impact does this have to a licensed, law abiding driver? It means costs might not be covered when someone with no insurance hits your car, leaving you to pay out-of-pocket for damage and/or medical bills. Drivers with minimum insurance may not have enough liability coverage to pay your expenses.

Plus, chances are that these people with inadequate or no insurance do not have the money to pay for the damages on their own, which is where uninsured motorist property damage insurance comes into play.

Today, many insurance companies offer uninsured motorist property damage in their coverage to protect insured drivers from uninsured drivers. Uninsured motorist property damage insurance coverage can help pay for damage — up to your coverage limits — when accidents with uninsured motorists occur.

To help you better understand the situation, has compiled a list of important questions, topics and items to know when it comes to uninsured motorist property damage insurance and how you can be best protected against uninsured motorists when they are the at-fault party.


What is an uninsured motorist?

An uninsured motorist is defined as “one who has no insurance, does not have insurance that meets state-required minimum liability amounts, or whose insurance company is unwilling or unable to pay the claim.”

Furthermore, a hit-and-run driver would be considered an uninsured motorist, as the cost of fixing the damage is left up to you.


What is uninsured/underinsured motorist property damage insurance?

First, uninsured motorist property damage coverage comes into play when the other driver involved is determined to be at-fault (or at least partially at-fault) for the accident. This at-fault driver must have either no insurance or inadequate insurance coverage. An underinsured motorist is a driver whose liability limits are too low to cover vehicle and medical costs in an accident where they are at-fault.

ALSO: Switching Car Insurance Companies: When Can You Cancel?

The function of uninsured motorist property damage insurance is to pay for the vehicle damage when the at-fault party does not have auto liability insurance. Most uninsured motorist property damage insurance will pay only up to the value of your vehicle, but it depends on your coverage and what state you currently reside.

If under your insurance policy, you do not have collision coverage, uninsured motorist property damage will pay up to a certain amount for car repairs. Depending on your state of residence, the limit might be up to $3,500. Some states will have the limit that matches the actual cash value of the vehicle. Again, check to see what your limit is within your current state. This goes the same for deductibles, as some states have uninsured motorist property damage insurance with a deductible, normally ranging from $200 to $500.


What does uninsured motorist insurance cover?

While uninsured motorist property damage insurance covers car damage, uninsured motorist insurance primarily covers two areas, bodily injury and property damage. Many states require uninsured motorist bodily injury insurance, while uninsured motorist property damage coverage is not required in every state.

With bodily injury, the insurance may help with injury costs caused by the accident. Moreover, in some states, this coverage may include family members and passengers also in the car. The property damage definition includes covering the cost to repair the car after an accident. In certain cases, property damage may include valuable items damaged from the accident, such as computers, cell phones or other devices as well as property, such as fences or a mailbox. Again, this varies from situation to situation and the state you currently reside in.