What is UM or UIM coverage?

What is UIM or UM coverage?

UIM and UM stand for underinsured motorist coverage and uninsured motorist coverage, respectively. Though they technically are different things, you just purchase one set of coverage for both. This is coverage that covers you if you are injured by another individual in a car collision and that individual either doesn’t have insurance or doesn’t have enough insurance.

Say you are hit by someone without insurance. If you have UM coverage, you will be able to make a claim against your own insurance for compensation. Or say you are hit by someone who has the minimum liability policy of $25,000, but your damages entitle you to $100,000. With UIM coverage, you could collect $25,000 from the at-fault driver and then make a claim for the rest against your own insurance. As a general rule, you want to purchase as much UM/UIM coverage as you can. Generally this is capped at however much liability coverage you purchase.

If you have questions about UM/UIM coverage, call us today at 303-209-9395. Life happens. We can help.

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