02/25/2025
To follow up on our last post about uninsured / underinsured motorist insurance, you need to know exactly what you are buying! This type of insurance reduces by the amount of money collected from the other side.
For example if you buy a $50,000 uninsured/underinsured policy, you may think that you have a safety net of $50,000. Say you get and an accident with a driver who has $25,000 of insurance and you have $75,000 worth of injuries. It seems like you are covered, but you’re not!
You can only collect the full $50,000 from your insurance company if the other driver does not have any insurance at all. If the other side has $25,000 worth of insurance, your policy is reduced by that $25,000.
Therefore in this case, you can only collect a total of $50,000 ($25,000 from the other side and $25,000 from your own insurance). That leaves you hanging out to dry for $25,000 worth of your injuries!
Remember, uninsured / underinsured motorist insurance is the cheapest type of insurance and it protects against the worst case scenario, being left without compensation for your injuries, medical bills, and lost wages. Make sure you have it and know what you are buying so you can get plenty of it!
If you are injured in an accident, McGlone Law is here to fight for you. Call (812)234-4000 for your free consultation.