Liability insurance helps with injuries or damage you cause to someone else. But what happens when the driver who causes a crash has no insurance, or not enough? Uninsured motorist (UM) and underinsured motorist (UIM) coverage are designed for that different problem. Whether a particular loss is covered depends on your state and the policy you buy.
UM and UIM solve related but different gaps
UM generally addresses a covered loss caused by an at-fault driver without applicable liability insurance. UIM may apply when that driver's liability limit is too low for a covered loss. The National Association of Insurance Commissioners (NAIC) describes these protections separately from the liability insurance you carry for harm you cause. Some policies or states address hit-and-run crashes within UM, but the conditions vary. Do not assume every UM policy includes the same property-damage protection.
Five questions to ask before comparing prices
- Is this bodily-injury coverage, property-damage coverage, or both? Ask your agent to show the actual coverage line and policy language rather than relying on the initials alone.
- What limits apply? Compare the amount available per person and per accident, and ask how those limits relate to your liability limits. State rules can affect the choices offered.
- Is there a deductible? If property-damage UM is available, ask whether a deductible applies. A low premium can reflect a different coverage choice.
- Who is protected? Ask about listed drivers, household members, passengers, and situations involving another vehicle. The answer depends on the contract and state law.
- What happens after a hit-and-run? Ask about reporting deadlines, police-report requirements, and what evidence the insurer needs. Do not wait until a claim to discover those conditions.
The NAIC's auto-insurance shopping tool distinguishes uninsured-motorist bodily-injury and property-damage coverage from underinsured-motorist coverage, and cautions that definitions vary by state and policy.
How to compare quotes fairly
Put the same driver, vehicle, liability, UM/UIM limits, and deductibles on each quote. Then compare the total policy cost, not only the first payment. A quote with UM/UIM omitted is not equivalent to one that includes it. Our auto-insurance overview explains the broader coverage picture, and we can help you compare available carriers without claiming any one carrier is always cheapest.
Where an SR-22 or FR-44 fits
An SR-22 or FR-44 is a financial-responsibility filing requirement, not a substitute for deciding whether UM/UIM belongs in your policy. If a state requires a filing, tell the agent up front and compare quotes that all satisfy that requirement. Our SR-22 guide covers the filing side. For help comparing the coverage itself, contact The Car Insurance Guy and ask us to show you what each option includes.