Underinsured Motorist Coverage Explained

Underinsured motorist coverage is a part of an auto insurance policy that helps protect drivers when they are injured or experience losses caused by drivers who carry auto insurance, but not enough to fully cover the damages they cause. While liability insurance is required in most states, minimum coverage limits are often too low to address serious accidents.

This coverage is designed to supplement the at-fault driver’s insufficient liability insurance. When damages exceed the other driver’s policy limits, underinsured motorist coverage can help pay for remaining losses. It commonly applies to medical expenses, lost income, and pain and suffering, depending on policy structure and state regulations.

This section explains how underinsured motorist coverage works, what it covers, what it does not cover, how claims are handled, and when this coverage becomes essential for protecting against financial shortfalls after an accident.

Articles in This Section

  1. Underinsured vs Uninsured Motorist Coverage Explained
  2. How Underinsured Motorist Coverage Is Triggered
  3. What Underinsured Motorist Coverage Typically Covers
  4. What Is Included in a Standard Underinsured Motorist Policy
  5. What Underinsured Motorist Coverage Does Not Cover
  6. How Underinsured Motorist Coverage Is Structured
  7. Bodily Injury Protection Under Underinsured Motorist Coverage
  8. Property Damage and Underinsured Motorist Coverage
  9. Underinsured Motorist Coverage Limits Explained
  10. How Stacking Affects Underinsured Motorist Coverage
  11. When Underinsured Motorist Coverage Is Required by Law
  12. How Underinsured Motorist Coverage Affects Auto Insurance Premiums
  13. How Underinsured Motorist Claims Are Filed and Paid
  14. How Underinsured Motorist Coverage Works With Medical Bills
  15. Lost Wages and Income Protection Under Underinsured Coverage
  16. Pain and Suffering Claims Under Underinsured Motorist Coverage
  17. Common Misunderstandings About Underinsured Motorist Coverage
  18. Underinsured Motorist Coverage for Passengers and Family Members
  19. When to Review or Increase Underinsured Motorist Coverage
  20. When Underinsured Motorist Coverage Is Not Enough

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