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Ask The Expert

By Jimmy Vigil

Last February I wrote an article about the importance of having Medical Payments Coverage as part of your car insurance policy. Well, here is another highly recommended and important part of your policy to look at: Uninsured Motorist Coverage (UM) and Underinsured Motorist (UIM) Coverage.

What exactly is UM/UIM Coverage?

Essentially, Uninsured Motorist (UM) Coverage goes like this: If you are in a car accident and the other driver does not have insurance, then if you have UM coverage, your car insurance steps in for the at-fault driver’s insurance, and will pay reasonable benefits to compensate you for your injuries, damages and losses, up to the amount of your coverage.

Underinsured Motorist Coverage (UIM) is very similar. Say for example, you are in an accident, suffering substantial damages and the at-fault driver only has a state minimum insurance policy of $25,000. If your damages exceed that at-fault driver’s insurance coverage, then your UIM policy kicks in to pick up where the liability policy left off. Also, remember, your car insurance carrier cannot raise your monthly premium to penalize you for using UM/UIM Coverage.

Why is this important?

UM/UIM coverage is extremely important. If the at-fault driver that just devastated your life doesn’t have car insurance or has a state minimum policy, do you really think that they will have any assets to go after if you sue them?  Highly unlikely. Also, the risk of being in a car accident with an uninsured or underinsured driver in the Denver metro area is too real to leave in the hands of others. You really need to look out for yourself and your loved ones and make sure you are protected.

Disclaimer:  This article is not meant to be considered legal advice and is not meant to be specific to your claim, case or situation. Each case is different and if you do need legal advice, please call an attorney.

Jimmy Vigil is a managing attorney at Vigil & Alford, PLLC located in Edgewater. He can be reached at 303-756-9935.