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Uninsured / Underinsured Motorist: What Are Your Options?

Roughly one in seven U.S. drivers carries no insurance, and many more carry far too little. When one of them hits you, the playbook changes — but you are usually not out of options.

The coverage that saves these claims

Uninsured/underinsured motorist (UM/UIM) coverage on your own policy steps into the at-fault driver's shoes: it pays the injury damages their insurance should have, including lost wages and pain and suffering. UIM specifically covers the gap when the at-fault driver has insurance but their limits are too low for your injuries — a state-minimum policy meets a serious injury more often than people expect.

The order things apply

1. PIP first in no-fault states — your own coverage pays initial medical bills regardless of the other driver's status.
2. UM/UIM for injury damages beyond that.
3. Collision coverage for the vehicle, minus your deductible.
4. Health insurance for treatment, possibly with reimbursement from any later recovery.
5. Suing the driver personally — legally available, practically limited: most uninsured drivers have few collectible assets, so a judgment can go unpaid.

Treat the UM claim as adversarial

A UM/UIM claim turns your own insurer into the opposing party — they owe the money, so they scrutinize your injuries the way a hostile carrier would. Document treatment from day one, avoid casual recorded statements about your injuries, and benchmark any offer before signing. Policy notice deadlines and the state lawsuit deadline both apply.

Sources & further reading

• Insurance Information Institute — Facts + Statistics: Uninsured motorists
• r/Insurance
• NAIC — National Association of Insurance Commissioners