You've probably heard of it – Uninsured Motorist Coverage (UIM). But do you understand what UIM is, how it can protect you and whether or not you need it? Statistics show that many Colorado residents have no idea what UIM is and how it operates. While you may not be legally required to carry UIM, you should probably consider getting some.
Uninsured Motorist Coverage
As you probably know, Colorado law requires drivers to carry a minimum amount of auto insurance coverage. For this reason, many drivers believe that if they are in an accident, whether the accident is their fault or not, they will be fully covered for their injuries and property damage. However, this is not the case. By carrying only the minimum amount of coverage, often times the payout on these policies is insufficient to cover all of your damages.
Enter UIM. UIM, as the name implies, will cover your property damage and injuries in the event the driver who hit you does not have insurance or very little insurance coverage so that you are fully compensated for your damages.
Should I Have Uninsured Motorist Coverage?
You may be asking yourself why, if Colorado drivers are required by law to carry auto insurance, should I purchase additional UIM? The sad reality is that over 1/5 of Colorado drivers do not carry any car insurance! This means that if you are in an accident caused by someone else, there is a 20-25% chance that you will not be adequately compensated—if you can obtain compensation at all—for your damages.
Moreover, even if the driver that hit you does carry car insurance, odds are good that their policy limits will prevent you from being fully compensated. This is why it is important to purchase UIM because your UIM policy will step-in and make up the difference.
While purchasing a UIM policy will increase the costs of your car insurance premiums, this amount is not that much. This is likely one of the reasons why you are not familiar with UIM because your insurance company has little to no incentive to sell it to you because these policies are not that profitable.
Due to the added protection that UIM policies provide, you should review your own car insurance policy and strongly consider adding UIM coverage.
At the Law Office of Jeremy Rosenthal, we believe that someone else's negligence should not be your financial responsibility. If you or a loved one has been injured in a car accident, you need a personal injury attorney who will get you the compensation you deserve for your medical expenses and pain and suffering. Our lawyers will fight for your rights and get you the damages you need to recover from your injuries. Call us today for a free consultation at (303) 647-4511, or visit us online.