Does uninsured motorist insurance cover a hit and run?

Uninsured motorist bodily injury coverage pays for medical care, loss of income, and funeral expenses after an accident where an uninsured driver is at fault. Uninsured motorist bodily injury insurance covers the policyholder, his or her family members, and passengers. Most policies even pay for an accident sustained when the policyholder is biking, walking, or in another person’s car.... read full answer

In other words, uninsured motorist bodily injury (UMBI) insurance is essentially the reverse of your liability policy. Instead of buying coverage for damage that you cause, UMBI protects you when a driver who does not have liability insurance hits you.

Uninsured Motorist Bodily Injury Limits and Requirements

UMBI coverage limits are usually expressed as two figures, one for the maximum dollar amount of UMBI that your insurer will pay per person and the other for the maximum amount per accident. For example, a policy with UMBI limits of $10,000/$30,000 would have coverage up to $10,000 for one person’s injuries and up to $30,000 total for all injuries caused by one car accident.

UMBI coverage is required in less than half of states, but drivers can buy it in most states even if it is not mandatory. States with mandatory UMBI usually require limits equal to the state’s bodily injury liability coverage limits, since UMBI is meant to be a substitute for the at-fault driver’s liability insurance.

Uninsured Motorist Bodily Injury vs. Other Insurance

As a coverage option, UMBI somewhat overlaps with health insurance, disability insurance, MedPay, and PIP. However, UMBI often has higher limits than MedPay and PIP, and it does not require the copays or deductibles that come with health insurance.

Uninsured motorist bodily injury is also an inexpensive coverage option since it usually costs about 5% of your total annual premium.

Underinsured motorist coverage is a type of car insurance that applies when the policyholder is in an accident caused by a driver who doesn’t have sufficient liability insurance. If the policyholder’s expenses exceed the at-fault driver’s limits, underinsured motorist covers the remaining bills up to a certain amount.

How Underinsured Motorist Coverage Works... read full answer

Say that you are involved in an accident that leaves you with $35,000 in vehicle damage. Typically, the at-fault driver’s property damage liability insurance would pay to repair your car. But if that driver’s liability insurance policy only covers $30,000 in property damage per accident, underinsured motorist coverage would pick up the rest. This would prevent you from having to either file a lawsuit against the driver or pay the remaining $5,000 yourself.

Underinsured motorist coverage is required in some states along with uninsured motorist insurance, which applies when the at-fault driver doesn’t have any liability insurance at all. But even if it’s not required, underinsured motorist coverage is still optional in most states. To learn more, check out WalletHub’s guide to uninsured/underinsured motorist coverage.

Yes, you need uninsured motorist coverage even if you have collision and comprehensive coverage. Collision insurance will pay to repair your vehicle if you’re hit by an uninsured driver, but it won’t pay for any of your medical expenses, and comprehensive insurance won’t cover your costs at all after a collision. Comprehensive insurance only pays for repairs if your car is damaged by something other than a collision, such as vandalism or a natural disaster. And you would need uninsured motorist coverage, ... read full answerpersonal injury protection (PIP) or MedPay to cover your medical expenses after a collision with an uninsured driver.

Types of Underinsured Motorist Coverage

There are two types of uninsured motorist coverage: bodily injury (UMBI) and property damage (UMPD). UMBI pays for your medical expenses after an accident caused by an uninsured motorist, while UMPD pays to repair or replace your car.

Eighteen states and the District of Columbia require drivers to carry some type of uninsured motorist coverage. Some states like North Carolina and West Virginia require drivers to carry both types, while others like New York and Oregon only require uninsured motorist bodily injury coverage. And in some other states, insurance companies don’t offer uninsured motorist property damage coverage at all.

When To Have Uninsured Motorist Coverage

Since collision and comprehensive coverage don’t cover medical expenses after an accident, you should carry uninsured motorist bodily injury insurance even if it’s not required in your state. The exception to this would be if you already carry personal injury protection or MedPay, which pay for your medical bills in accidents regardless of fault or if the other driver is uninsured.

If uninsured motorist property damage coverage isn’t available in your state or you’re not required to carry it, then you can purchase collision insurance instead. Unlike UMPD, collision insurance will cover repairs even if you were at fault, which gives you a wider safety net. However, UMPD is usually less expensive than collision insurance and carries a lower deductible.