Even though some type of car insurance is mandatory in every state, the Insurance Research Council estimates that roughly 1 out of every 6 drivers (or about 16% of the US population) is operating a motor vehicle uninsured. Given people’s propensity to break the law, you may want to protect yourself by purchasing Uninsured Motorist coverage. This policy kicks in if someone causes an accident, but does not have enough money to cover all your expenses — be it medical bills, property damage repair bills, lost wages, or funeral expenses.
Will Health Insurance Cover An Uninsured Auto Accident?
Health insurance providers will pay for your medical treatment, ambulance and hospital stay in the event of an uninsured auto accident. If you have UM/UIM coverage, this will pay for expenses before your insurance kicks in. It is important to keep in mind that your health insurance provider will not cover things like lost wages, pain and injury suffering, funeral expenses or collision repair. Your only recourse would be to take someone to civil or small claims court. However, that is an expensive and long process. Also, since most drivers avoid buying car insurance because it is expensive, you are unlikely to squeeze any pennies out of these deadbeat drivers anyhow.
Laws Vary By State.
States like Illinois, Maryland, New York and Pennsylvania make uninsured motorist coverage mandatory, so your provider will build this coverage right into your policy. In other states, you can add coverage for underinsured motorists onto your existing policy. So, for example, if you were in an accident that caused $25,000 in damages and the other motorist was only insured for $10,000, your UIM policy would cover the other $15,000. Some states charge whoever is at fault, while other states are considered “no-fault” and punish both drivers equally.
Searching For Car Insurance Quotes Will Keep Rates Low.
To avoid sky-rocketing rates after a UIM claim has been filed, it’s a good idea to shop around for better car insurance rates. This will ensure you don’t pay more than you have to and keeps the market competitive. Try our site’s quote shopper. It only takes a few minutes!
