Do I Need Uninsured and Underinsured Motorist Coverage?
Too often bad motor vehicle accidents occur and the victims are not adequately compensated for their injuries when the at-fault driver has no insurance at all or minimal coverage (i.e. 20/40 policy limit) for bodily injury caused to others. To provide yourself and those who are insured under your policy with greater protection, you should have high uninsured and underinsured coverage, which becomes additional bodily injury coverage.
Uninsured and underinsured coverage is also known as “UM/UIM benefits” and are distinct from one and another. Uninsured motorist coverage protects you if you're in an accident with an at-fault driver who doesn't carry liability insurance; whereas, you can recover from underinsurance coverage when the at-fault driver’s liability coverage is not sufficient to compensate for your losses and injuries sustained. However, there is a caveat to the underinsurance benefits - it is available only if the limits of such coverage exceeds the liability insurance of the at-fault driver’s policy limit. Most Massachusetts automobile insurance policy provides a limited amount of underinsured motorist coverage which is usually a 20/40 policy limit. However, it is recommended that you elect to supplement your underinsurance policy limit or else underinsured coverage may exist, but the limits purchased may not allow for any payment.
So what is the big take away from all of this? Attorneys at Alves|Santos, LLP work diligently to pursue all available insurance proceeds when our clients are injured in motor vehicle accidents. That means our client’s own UM/UIM benefits could be up for grabs to adequately compensate them for their injuries. This coverage is there to protect you, and passing on it means you’re rejecting an important coverage you may need one day.