Charlotte residents often settle for minimum coverage to meet the legal requirements to drive a car in North Carolina.
Tragically, it can lead to much pain and heartache, especially if they are involved in an accident that results in injury or damage.
This article focuses on uninsured motorist coverage (often referred as UM coverage) as well as underinsured driver coverage (often called UIM coverage). While this coverage is not required by every state, it should be considered seriously by all drivers who have the option.
Uninsured motorist coverage covers you if an uninsured person causes injury to yourself or other persons covered by your policy. (This includes passengers, household residents, and designated drivers. The coverage for underinsured motorist is similar to the one above. It applies to anyone who is legally responsible for an accident that causes injury to yourself or to others named by your policy. Each insurance company offers different coverages, so make sure you read the fine print.
These types of coverage offer protection for you and your designated persons in hit-and run type accidents as well as injuries sustained by pedestrians in an auto accident. You will be covered up to the maximum coverage limit with UIM and UM insurance.
Important to note is that insurance for uninsured and uninsured motorists usually covers injuries only and does not cover vehicle or property damage caused by an uninsured, underinsured driver involved in an accident. Uninsured motorist property damages coverage is available in some states. However, collision coverage would cover damage to your vehicle and Property Damage Liability insurance would cover damage to other property.
There are many reasons Charlotte drivers should seriously think about adding this type of insurance protection, or increasing their existing coverage.
Take a look at the following scenarios and consider how they might impact your financial situation, your family’s lives, and your financial health.
A) Charlotte drivers often opt for the minimum required auto insurance to save money. One of these drivers may be the one responsible for a serious accident that involves you or your family. After exhausting their coverage limits, you still have no money to pay for large amounts of medical expenses. This includes lost wages, pain and suffering, and even lost wages. Even though you win the case against the other party, you discover that their insurance coverage is very limited. This is due to the fact that they don’t have any financial resources.
B) Your spouse and children are returning from a weekend trip. It is getting dark outside, and it has started to rain very hard. You are a conscientious driver and slow down. Your vehicle is severely impacted halfway through an intersection and you will forget it. There is no one to see the carnage when you arrive at the intersection. You won’t find the other vehicle, which was being driven by a drunk driver and without its lights on. You have been hit-and-run. You are not entitled to any compensation.
We sincerely hope that nothing happens to you. In both of these scenarios, Uninsured and Underinsured motorist coverage would help. Whereas (depending on where you live) basic auto insurance would most likely leave you in a very difficult financial position.
You will typically not pay much more for your Charlotte auto insurance if you add Underinsured or Uninsured motorist coverage. For a small monthly premium increase, you can rest easy knowing that you and your family are as protected against disasters on North Carolina’s roads as you can plan for.
Disclaimer – The above description/explanation is intended as a guideline only, and is not to be interpreted as a recommendation to buy or sell any insurance products, or to provide legal or financial advice of any kind. Kanetix Ltd. assumes no legal liability for or assumes any responsibility for the usefulness, accuracy, or completeness of any information or apparatus, product, and/or process.