Everybody knows that when they get behind the wheel of a car, they take the risk of getting into a crash. This, of course, is why we purchase automobile insurance. Every state has slightly different requirements in terms of the type and amounts of insurance which must be purchased by motorists.
One particular form of auto insurance that doesn’t always receive the attention it should is uninsured/underinsured motorist coverage. Here in Michigan, it is not required that motorists purchase uninsured/underinsured motorist coverage, but it is certainly a good idea to do so.
The Insurance Information Institute estimated that between nine and eleven percent of drivers were uninsured in Michigan back in 2012. That number is only an estimate, but if it is reasonably accurate, there are a significant amount of drivers out there who either have no insurance coverage or not enough coverage. Here in Michigan, it is not as important of a consideration, given that Michigan is a no-fault insurance state.
What is important is that standard no-fault (Personal Injury Protect) policies do not necessarily provide the level of coverage a motorist will need after an accident involving an uninsured or underinsured driver. For this reason, Michigan motorists do well to consider investing in addition protection.
When an accident occurs, of course, it is critical that motorists receive the full extent of their coverage under their policy. Problems with coverage can and do come up after an accident. When a motorist has challenges obtaining the coverage they are due, it can often help to work with an experienced attorney.
Source: Department of Insurance and Financial Services, “Uninsured and Underinsured Motorist Coverages Possible Exclusions,” June 2015.