Welcome to another article on insurance coverage & claims! This article series is meant to help those of you out there who do not have a great understanding of the finer points of insurance coverage. Last week we looked at the No Fault rules in NY State, and all of the particulars that you need to know to make sure you don’t end up in a tight spot after an accident. This time around, we’re going to look at another issue that sometimes trips people up: Uninsured/Underinsured Motorist Coverage.

What is UM/SUM Coverage?

This coverage is meant to protect you in the event that you have an accident with someone who isn’t carrying enough coverage to properly account for the damages or injuries in an accident with you. And considering both people’s general lack of knowledge about insurance, as well as the current economic situation people are experiencing, we anticipate that this coverage will only become more important as time goes on.

If someone is uninsured or underinsured, and you are hurt in an accident, your UM/SUM coverage will kick in to assist with the shortfall between your expenses and the coverage that the other driver has. As with any accident case, if there appears to be a situation where it may be difficult to get the compensation you deserve, that’s what we’re here for, and you can always give us a call.

Why Do I Need UM/SUM Coverage?

You might be surprised, or even horrified, to learn how irresponsible people can be when it comes to their insurance coverage. Just consider, if you’re a relatively well informed person, or at least someone who is curious enough to read this and learn about it, how many people aren’t? Do you trust them to properly understand the degree of coverage they might need in the event of a car accident with injuries? Some people even argue that UM/SUM coverage is actually the most important coverage to buy on your insurance policy.

What Happens if I Don’t Have UM/SUM Coverage?

You may find yourself in a very difficult position, honestly. There is an old saying in personal injury law that “you can’t get blood from a stone”. And that is absolutely relevant here. If a motorist doesn’t have proper coverage, it may also follow that they don’t necessarily have much of anything to pay in a potential legal case. Obviously we always try to get everything we can to help make a client whole from both the insurance company and sometimes the individual, but having robust UM/SUM coverage is something that absolutely will help if you need it.

How Much Coverage Should I Buy?

The short answer is: as much as you can afford. It may be one of the more expensive parts of your insurance plan, but it is critical.

 Why is Underinsured Motorist Insurance so Expensive?

Another short answer here: Because it’s incredibly valuable. Insurance premiums are largely based on a complex matrix of risk assessments on the part of the insurance company. If they feel that a particular type of coverage is likely to be used more often, it is always going to be more expensive. So the price of UM/SUM coverage is effectively foreshadowing the fact that it is relevant to a large number of auto accident cases.