Uninsured or underinsured motorist coverage

New York City is legendary for its nerve-wracking traffic and aggressive drivers. Though drivers in New York, and most other states, are required to carry liability insurance, far too many motorists are uninsured or underinsured.

According to the Insurance Information Institute, roughly 1 in 8 drivers in the United States is uninsured. Having coverage under your own policy that covers you if an accident is caused by an uninsured or underinsured motorist is crucial to ensuring you are fully protected. No matter how carefully you drive, NYC streets are dangerous for motorists. Having adequate insurance can offer peace of mind that any damages you sustain will be covered regardless of whether the other party is insured.

What is Uninsured and Underinsured Motorist Coverage?

Uninsured motorist coverage covers auto accidents caused by at-fault drivers who do not have insurance. It also provides coverage for hit-and-runs when the at-fault drivers leave the scene without being identified. To recover damages on an uninsured motorist claim, insurance companies will need to determine that there was no coverage in effect for the at-fault driver or vehicle. If it was a hit-and-run accident, the insurance company would want proof of physical contact and other evidence that proves said contact caused the damages and injuries claimed. You can learn more about filing a claim with your insurance by visiting the New York State Department of Financial Services.

Underinsured coverage comes into play when the amount of insurance carried by the other driver is insufficient to fairly compensate you for your injuries. This is fairly common, as the state minimum requirement for liability insurance is grossly insufficient. So if you’re involved in an accident with an underinsured driver, there may be far too little insurance available from the other driver to cover the injuries caused by the accident. That’s why we recommend that policy holders obtain a policy with higher-than-state-minimum underinsured coverage. That way, if you are also injured in an accident, and your damages exceed the amount of insurance carried by the other driver, you may be able to recover the difference from your own policy.

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