What Is Uninsured Motorist Insurance?
Just what exactly is UM insurance? It is uninsured/underinsured motorist coverage. In Florida it isn’t mandatory to have, but it makes a lot of sense to have because it protects you in the long run. Watch as attorneys Victor Demesmin Jr. and Jeremy Dover explain this issue.
The state of Florida is a ‘no fault’ state. That means that, no matter what, the first $10,000 of coverage from an accident comes out of your own insurance. So, if you’re in your car, minding your business at a red light and someone rear ends your car with theirs, the first $10,000 covering you is still coming out of your insurance coverage, not theirs. Even if the accident was clearly not your fault.
Now, what happens if you have $50,000 in medical bills from that accident and that person who rear ended you doesn’t have bodily injury coverage? Your insurance pays the first $10,000, but that remaining $40,000 is still at play. If that other motorist who caused the accident doesn’t have bodily injury insurance, you need Uninsured, sometimes known as Underinsured Mororist coverage to cover the rest of your medical bills in that situation.