Imagine you’re in a car accident that wasn’t your fault, only to discover the other driver has no insurance or not enough to cover your damages. Unfortunately, this scenario happens more often than you might think. That’s why you need uninsured motorist coverage. Data from the Insurance Information Institute (III), a division of The Institutes, shows that 14% of drivers are uninsured, and 15.7% have insufficient coverage in the United States. Conversely, as of 2022, the estimated percentage of uninsured motorists in Illinois was 16.3% and 9.9% in Iowa.
So, why should those numbers interest you? Proper motorist coverage protection could prevent overwhelming expenses after a collision in the Quad Cities area. To help avoid this scenario from wreaking financial havoc in your life after a crash, we’ll explain why you need underinsured/uninsured motorist coverage and how it provides extra protection for you and your family.
What Is Underinsured / Uninsured Motorist Coverage?
State-mandated motorist coverage ensures essential protection for drivers and passengers in case of a car accident, motorcycle crash, large truck collision, etc.
However, this coverage does not always compensate for property damage or damages incurred by incidents involving unidentified hit-and-run drivers. Required levels of coverage can also vary depending on minimum state law requirements.
Here is what you need to know about underinsured and uninsured auto coverage:
- Uninsured motorist coverage: The Insurance Research Council (IRC) defines uninsured motorist (UM) coverage as the portion of an auto insurance policy that offers financial protection for an insured driver from expenses (e.g., medical bills, lost wages) caused by either an at-fault or uninsured driver.
- Underinsured motorist coverage: The Insurance Research Council (IRC) defines underinsured motorist (UIM) insurance as coverage that protects you if a driver hits you and doesn’t have enough coverage to pay for injuries or damages they caused. For example, your car repair costs exceed the at-fault driver’s policy limits.
Why Are Both Underinsured and Uninsured Motorist Coverage Important?
Both types of motorist coverage offer more comprehensive protection in a broader range of accident scenarios in Iowa and Illinois.
Without this extra coverage, you’re financially vulnerable. However, with these additional auto policy coverage options, you gain valuable peace of mind by helping ensure you and your loved ones are protected no matter who’s at fault.
What Does General Motorist Coverage Typically Include?
Now that you have a better idea of underinsured and uninsured motorist coverage, it’s good to refresh your knowledge about general auto coverage.
You’ll need proof that you can pay for some of the injuries and property damage you might cause in a collision. This means that if you are at fault for an accident, your auto insurance needs to cover a minimum amount of compensatory damages, such as:
- Medical Expenses:
- These costs include hospital bills, physical therapy, related pharmacy charges, and more.
- Lost Earnings and Benefits:
- Compensation may help cover time off work due to injuries and lost benefits.
- Pain and Suffering:
- Compensatory damages compensate you for the pain and suffering of injury victims who suffer severe emotional and physical distress.
- Property Damage:
- These damages may include vehicle repair or replacement and replacement of other lost personal items.
- Funeral Expenses:
- After the loss of life, insurance companies may provide financial compensation for these expenses.
At Winstein, Kavensky & Cunningham, our legal team knows how to evaluate all parties’ motorist coverage to get the highest possible amount of compensation after a wreck.
How Much Vehicle Coverage Do Illinois Drivers Need?
Under Illinois law, vehicle liability insurance automatically includes uninsured motorist coverage at the legal minimum requirements for bodily injury or death. This coverage ensures you’re financially protected if you are hurt in a crash involving an uninsured driver.
Illinois minimum vehicle coverage limits include:
- $25,000 for bodily injury or death of one person in a crash
- $50,000 for bodily injury or death of more than one person in a crash
- $20,000 for damage to property of another person
State law, however, does not require motorists to have collision, comprehensive, medical payment, or uninsured property damage coverage.
That said, per the Safety and Financial Responsibility Law, if damages exceed $500 or if injuries result from the crash, the at-fault, uninsured motorists must then pay for the damages they cause. If they don’t, the uninsured driver may face license plate registration and driver’s license suspension.
Contact Winstein, Kavensky & Cunningham to schedule a free, no-obligation consultation after you’ve been injured in Colona, Milan, Rock Falls, Moline, Rock Island, or other cities throughout Illinois.
How Much Auto Insurance Coverage Do Iowa Drivers Need?
If you drive a motor vehicle in Iowa, you must comply with the state’s financial responsibility law. (Iowa Code §321.20B.1.a)
Iowa law minimum motorist coverage limits require:
- $20,000 for bodily injury or death of one person in any one accident
- $40,000 for bodily injury or death of two or more persons in any one accident
- $15,000 for bodily injury or destruction of property of others in any one accident
Iowa law also states that every auto liability policy must have underinsured and uninsured motorist coverage to equal the state’s financial responsibility minimums. (Iowa Code § 516A.1.1) But these aren’t required coverages because you can reject them in writing. (Iowa Code § 516A.1.2)
An experienced Iowa personal injury attorney at Winstein, Kavensky & Cunningham can help evaluate your unique circumstances and recover just compensation when you are injured in a vehicle crash in Bettendorf, Clinton, Davenport, or LeClaire, Iowa.
Uninsured Motorist Coverage Protects in Quad Cities Car Crashes
As we’ve explored, underinsured and uninsured motorist coverage is essential to a comprehensive insurance plan. It acts as a financial safety net, ensuring that you’re not left vulnerable in the aftermath of an accident caused by an uninsured or underinsured driver.
Here are the key takeaways:
- Assess Your Risk: When evaluating your current policy limits, consider the rising costs of medical care and vehicle replacement and whether or not your current coverage aligns with your potential needs.
- Avoid Common Misconceptions:
- “I’m Fine. I Have Full Coverage.” Remember, meeting state law minimum coverage limits doesn’t automatically include protection for uninsured/underinsured motorists.
- “It’s Too Expensive.” This coverage is often more affordable than you might think.
- “It Won’t Happen to Me.” While no one plans to get into an accident, being prepared can make all the difference.
Contact an Experienced Injury Lawyer after a Car Wreck in the Quad Cities
Underinsured and uninsured motorist coverage claims can be tricky to handle. Strict deadlines for filing a claim can also be confusing to manage independently. We highly recommend contacting Winstein, Kavensky & Cunningham for help with your underinsured or uninsured motorist coverage claim.
Contact us today to schedule a free consultation and learn how we can help you pursue justice and compensation for your injuries and other damages.
Use our convenient online LiveChat feature, fill out this brief form, or call (309) 794-1515. Remember, you won’t pay fees unless we win your Iowa or Illinois auto injury case.
The information on this blog is for general information purposes only. Nothing herein should be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or viewing does not constitute an attorney-client relationship.