Carrying a sufficient amount of personal liability insurance could save a driver from financial devastation if they cause an accident. Drivers also risk becoming the victims of reckless drivers who carry too little insurance or none at all. Thankfully, uninsured/underinsured motorist protection could provide an option for compensation to those injured in a vehicle collision in Kentucky.
The benefits of uninsured/underinsured motorist protection
Uninsured/underinsured motorist coverage offers what its name implies: a way for the policyholder to file a claim against their own auto insurance policy after suffering property damage or bodily injury in an accident. Some drivers may irresponsibly take to the roads without any insurance, not caring about the consequences.
Others may carry insurance, but the amount could be Kentucky’s state minimum. The state’s minimum coverage amounts are $25,000 per person/$50,000 per accident for bodily injury and only $10,000 for property damage. $25,000 per person/$50,000 per accident is the same minimum amount for uninsured motorist coverage, although the policyholder may opt-out of such coverage, a potential mistake.
Points to consider about coverage
A driver might think they have enough uninsured/underinsured motorist coverage, but the amounts may be lower than thought. $100,000 in coverage could be woefully inadequate if the victim suffers an injury that requires extensive rehabilitation and time away from work.
Remember, motor vehicle accidents could lead to losses beyond medical expenses. In some situations, punitive damages are warranted. Other costs, such as lost wages, may be worth seeking. So, it might be wise to review a policy and consider increasing the limits.
An uninsured driver may have few assets, undermining the ability to collect on a lawsuit. When weighing options for uninsured/underinsured motorist coverage increases, keep that in mind.