Driving Without Insurance – Who Pays?

Does uninsured/underinsured motorist (UM/UIM) coverage have you confused?

You’re not alone.

Both types of coverage are meant to protect you and your vehicle’s passengers from the medical expenses you may incur if you are seriously injured in an accident with an uninsured or underinsured driver.

In other words, the coverage provides you with protection. It does not — as many people assume — protect the uninsured drivers on the road.

Below, we’ll take a closer look at this type of coverage and its benefits. We’ll also explain whether it’s simply a coverage that’s recommended by experts or one that’s required by law. 

First Thing’s First: How Many Uninsured Drivers Are on the Road?

Most people assume that the majority of Wisconsin drivers have their own liability insurance plans. To be sure, liability insurance is a required type of coverage in the state of Wisconsin and in most (if not all) states. If you’re caught without it, you’ll be in serious trouble with the law.

What you may be surprised to know is that, actually, approximately one in every seven drivers does not have liability insurance. They are driving illegally.

Liability insurance is meant to protect both the insured and the other driver if the insured causes an accident. There are two types of liability insurance: bodily injury liability insurance (which covers the other driver and passengers’ injuries) and property damage liability insurance (which covers the other driver’s vehicle damage).

But with one in every seven drivers not having any liability insurance, this puts you at risk whenever you get on the road.

What Happens if You Get Into an Accident With an Uninsured Driver?

If you get into an accident with an uninsured driver (and the other driver is at fault), you have few options. Your best option is to have thought ahead and purchased UM/UIM coverage.

UM/UIM coverage or uninsured/underinsured motorist coverage will take the place of the other driver’s bodily injury liability insurance that they do not have. You can also purchase a type of insurance called UMPD (uninsured motorist property damage) coverage. This will take the place of the other driver’s property damage liability insurance that they do not have.* 

Keep in mind that underinsured motorist (UIM) coverage is slightly different than uninsured motorist (UM) coverage. Basically, an underinsured driver is just what it sounds like: They have insurance, but it’s not very much. Get into an accident with one of these drivers, and their liability limits will likely be so low that you’ll have to supplement your medical bills and/or property damage repairs with your own money. As you naturally don’t want this to occur, UIM coverage can help. 

* Unfortunately, UMPD coverage is not offered to Wisconsin residents. Therefore, if you’re a Wisconsin resident, you need to have a collision policy to protect yourself from property damage caused by an uninsured driver.

How to Get UM/UIM Coverage

Burstad Insurance can help you get the auto insurance coverage you require to stay safe on the road and protect yourself, your family, and your assets. 

We definitely recommend having an adequate amount of UM/UIM coverage. Our friendly and experienced agents would be happy to sit down with you and carefully explain the benefits of these types of coverage and how much it will cost you each month. 

Fortunately, the price of UM/UIM coverage is generally not very much per month, and it provides you with a wealth of protection that you’ll be glad you have if you’re ever in an accident with an uninsured or underinsured driver.

Burstad Insurance also has additional locations in Chippewa Falls, Medford, River Falls & New Richmond, WI. Call or stop in today.