Statistically speaking, at one time in our lives every one will be involved in an automobile accident of some sort. Hopefully yours is not serious and no one is truly injured.
But for those people who do suffer severe injuries and do so at the fault of another driver, they need to be made whole again. In our society, this is done by bringing a lawsuit and seeking compensation for the accident.
Typically a driver is covered by their insurance company in the case of an accident. We pay a deductible if we are at fault in order to payout the other driver that we caused harm to, whether it’s to them personally and/or their vehicle. And if we’re not at fault, the other driver is supposed to do the same for us.
However, you may be involved in an accident where the other driver has little or no insurance coverage at all. What happens then? How do you get reimbursed for your injuries if there is no insurance company to payout your claim? Well, you have your own insurance company at that point. You can actually bring a claim against your own insurance company based on the different type of policies you carry.
You can purchase coverage such as uninsured or underinsured motorist to help fill the gap between how much your injuries cost and how much the other driver can (or can’t) pay. An uninsured motorist coverage policy pays out to the limits you set if you’ve been injured by a driver who simply has no insurance. While an underinsured motorist coverage policy covers you in the event the other driver has insurance but their policy limits just aren’t enough to cover the injuries you’ve actually suffered. By bringing a claim against your own insurance company, you’re able to cover those costs that the other driver’s insurance company could not. You may also be able to put a claim in for medical and personal protection coverage. This helps you pay off those medical bills and some of the lost wages you’ve suffered due to the accident.