What Is Uninsured Motorist Coverage?
Uninsured motorist coverage is a type of car insurance that protects you after an accident caused by a driver who doesn’t carry liability insurance. Similarly, underinsured motorist insurance applies when the at-fault driver has insurance but not enough to cover the policyholder’s bills.
Key Things to Know About Uninsured Motorist Coverage
- Uninsured motorist (UM) and underinsured motorist (UIM) insurance will cover your medical expenses and vehicle repair costs up to predetermined limits.
- The two types of uninsured motorist coverage are bodily injury (UMBI) and property damage (UMPD).
- Twenty states and the District of Columbia require drivers to have uninsured motorist insurance, while 14 require UIM.
- Even where it’s not required, uninsured motorist insurance is a good investment, especially in states with high rates of uninsured driving.
How Does Uninsured Motorist Coverage Work?
Uninsured motorist (UM) coverage works like liability insurance. If you’re involved in an accident with a driver who is uninsured, UM replaces the liability coverage that the at-fault driver should have had in the first place. If the driver does have insurance but it doesn’t cover all of your medical and vehicle repair expenses, underinsured motorist (UIM) insurance fills the gaps.
When Uninsured/Underinsured Motorist Coverage Applies
- The accident is not your fault.
- The at-fault driver doesn’t have enough liability insurance to pay for your injuries or property damage.
- You’re the victim of a hit and run (excluding some states).
Learn more about when would uninsured motorist coverage apply.
Some states only require drivers to purchase uninsured motorist coverage, while others require underinsured motorist, too.
Learn more about how uninsured motorist coverage works.
How Much Is Uninsured Motorist Coverage?
Uninsured motorist coverage costs around $50-$75 annually for bodily injury and property damage coverage. Like any type of car insurance, uninsured motorist premiums vary based on the policyholder’s risk factors and how much coverage they purchase. Uninsured motorist premiums tend to be higher in states with more uninsured drivers because of the added risk.
Learn more about how much uninsured motorist coverage costs.
Do You Need Uninsured Motorist Coverage?
You definitely need uninsured motorist coverage if it is required in your state. Even if uninsured motorist coverage is not required, it is usually worth the investment considering how affordable it can be. Remember that your standard liability insurance alone will not be enough to protect you in an accident with an uninsured motorist.
Some types of coverage may offer you some similar safeguards, though.
- Bodily Injury Protection: Personal injury protection (PIP) and medical payments insurance will cover your medical costs no matter who is at fault.
- Property Damage Protection: Collision insurance can cover damage to your vehicle, making an added UM/UIM property damage plan redundant.
Learn more about who needs uninsured motorist coverage.
Uninsured Motorist Requirements by State
Almost half of the states require at least some form of uninsured or underinsured motorist coverage. Others require that insurance companies at least offer uninsured/underinsured motorist coverage but allow drivers to reject it.
If you live in a state where UM/UIM is not required, you may still have the option to purchase it. However, not all types of coverage are available in every state. The table below shows the minimum amounts of uninsured motorist coverage required in each state.
States Where Uninsured Motorist Coverage Is Required
State | Uninsured Motorist Coverage Requirements |
---|---|
Alabama | Coverage is optional |
Alaska | Coverage is optional |
Arizona | Coverage is optional |
Arkansas | Coverage is optional |
California | Coverage is optional |
Colorado | Coverage is optional |
Connecticut | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
Delaware | Coverage is optional |
District of Columbia | Bodily injury coverage of at least $25,000 per person, $50,000 per accident Property damage coverage of at least $5,000 per accident, subject to a $200 deductible |
Florida | Coverage is optional |
Georgia | Coverage is optional |
Hawaii | Coverage is optional |
Idaho | Coverage is optional |
Illinois | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
Indiana | Coverage is optional |
Iowa | Coverage is optional |
Kansas | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
Kentucky | Coverage is optional |
Louisiana | Coverage is optional |
Maine | Bodily injury coverage of at least $50,000 per person, $100,000 per accident |
Maryland | Bodily injury coverage of at least $30,000 per person, $60,000 per accident Property damage coverage of at least $15,000 per accident |
Massachusetts | Bodily injury coverage of at least $20,000 per person, $40,000 per accident |
Michigan | Coverage is optional |
Minnesota | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
Mississippi | Coverage is optional |
Missouri | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
Montana | Coverage is optional |
Nebraska | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
Nevada | Coverage is optional |
New Hampshire* | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
New Jersey | Drivers can choose to add coverage |
New Mexico | Coverage is optional |
New York | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
North Carolina | Bodily injury coverage of at least $30,000 per person, $60,000 per accident Property damage coverage of at least $25,000 per accident |
North Dakota | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
Ohio | Drivers can choose to add coverage |
Oklahoma | Coverage is optional |
Oregon | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
Pennsylvania | Coverage is optional |
Rhode Island | Coverage is optional |
South Carolina | Bodily injury coverage of at least $25,000 per person, $50,000 per accident Property damage coverage of at least $25,000 per accident, subject to a $200 deductible |
South Dakota | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
Tennessee | Coverage is optional |
Texas | Coverage is optional |
Utah | Coverage is optional |
Vermont | Bodily injury coverage of at least $50,000 per person, $100,000 per accident Property damage coverage of at least $10,000 per accident, subject to a $150 deductible |
Virginia* | Bodily injury coverage of at least $30,000 per person, $60,000 per accident Property damage coverage of at least $20,000 per accident, subject to a $200 deductible |
Washington | Coverage is optional |
West Virginia | Bodily injury coverage of at least $25,000 per person, $50,000 per accident Property damage coverage of at least $25,000 per accident |
Wisconsin | Bodily injury coverage of at least $25,000 per person, $50,000 per accident |
Wyoming | Coverage is optional |
As of July 2021
Note: New Hampshire and Virginia uninsured/underinsured motorist requirements only apply to drivers who choose to purchase car insurance. In both states, drivers can legally go uninsured if they meet financial responsibility requirements.
Percentage of Uninsured Drivers by State
The proportion of motorists without insurance varies dramatically by state. It ranges from 29.4% of drivers in Mississippi to only 3.1% in New Jersey, according to a study by the Insurance Research Council.
You can find data for your state on the map below.
Estimated Percentage of Uninsured Drivers
Source: Uninsured Motorists, 2021 Edition, Insurance Research Council.
Difference Between Uninsured and Underinsured Motorist Coverage
The difference between uninsured and underinsured motorist coverage is that uninsured motorist (UM) coverage protects against accidents caused by drivers who don’t have any insurance, while underinsured motorist (UIM) coverage protects against at-fault drivers who don't have high enough insurance limits to cover all of the damage they cause.
Not every state requires or even offers both uninsured motorist and underinsured motorist coverage. Most only require drivers to carry one or the other – usually uninsured motorist. In some states, you may be able to purchase them together, though.
Learn more about the difference between uninsured and underinsured motorist coverage.
How To File An Uninsured Motorist Claim
- Report the incident to your insurance company with as much detail as possible.
- File a police report.
- Follow up with the insurance adjuster assigned to your claim and provide any additional information or photos to them.
- Wait for the adjuster to finish investigating the incident.
- Accept the payment if it is to your liking.
An uninsured motorist claim is filed much the same way as a normal insurance claim. However, the claim will be filed with your own insurance company rather than the other driver’s insurer.
Learn more about how to file a car insurance claim.
Video: What Is Uninsured/Underinsured Motorist Coverage?
Ask the Experts
To gain more insight about uninsured/underinsured motorist coverage, WalletHub posed the following questions to a panel of experts. Click on the experts below to view their bios and answers.
1. Why is uninsured/underinsured motorist coverage only required in some states?
2. Should drivers get uninsured/underinsured motorist coverage even if it’s not required?
3. When should drivers get more than the required uninsured/underinsured motorist coverage limits?
Ask the Experts
Ph.D., Professor of Economics and Finance, Department of Economics, Finance, and Quantitative Analysis, Michael J. Coles College of Business, Kennesaw State University
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CPCU, ASLI, CIW, Adjunct Faculty, Rio Salado College
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JD, CPCU, CFP, CLU, ChFC, CASL, Lecturer in Risk Management and Insurance, Lacy School of Business, Butler University
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Professor, School of Business & Technology, Southwestern College
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Professor, Scott College of Business, Indiana State University
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CFS, Lecturer of Finance and Economics, Department of Accounting and Finance, College of Business, University of Michigan-Dearborn
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