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What is uninsured and underinsured motorist coverage?

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What happens when another driver hits you and they don't have insurance? Or they don't have enough insurance? Uninsured and underinsured motorist coverage will step in.

There are three types of coverages

  • Uninsured motorist bodily injury (UMBI)–pays for medical expenses, lost wages, and injury-related expenses for you and your passengers if the other party doesn't have insurance.
  • Underinsured motorist bodily injury–covers the same as above if the other party doesn't have enough insurance.
  • Uninsured/underinsured motorist property damage (UMPD)–if your car is damaged after an accident with an uninsured or underinsured driver, this coverage kicks in. This does not cover against damaged caused by hit-and-runs.

California has one of the higher number of uninsured drivers vs. other states. Finding out someone doesn't have enough insurance after an auto accident is more common that you'd expect. Uninsured motorist and underinsured motorist liability is often more affordable than other coverages on your auto insurance (i.e. collision and comprehensive).