Hello, I am Dale D. Dahlin of Dale D Dahlin, PC, LLO law firm in Lincoln, Nebraska. I’m an attorney, and I’ve practiced Personal Injury Law for over 35 years. I have a tip concerning auto insurance coverage that I have found to be an overlooked and a very valuable coverage. It is underinsured motorist coverage.
Most people have heard of liability coverage. This is the coverage we are often required to carry that protects other people in case we’re at fault in an accident. Uninsured coverage, on the other hand, is coverage that protects you. It comes into play when you’re involved in an accident that is the other drivers fault, and they don’t have enough coverage. If they don’t have any coverage, that is an uninsured motorist coverage that comes into play. But what is often overlooked in the underinsured coverage. An example of this is if you’re in an accident and are rear-ended by someone that is at fault, but they only have $25,000 worth of coverage? If you have been injured and have over $25,000 in medical bills and you have lost wages, their coverage is clearly not enough in this case. Your underinsured coverage will then apply and be added on top of their coverage. Say you have $25,000 of underinsured it would be on top of their $25,000. If you have $100,000, which is much better, for underinsured, it will cover you if you have that much in damages.
It’s often not very expensive to increase your coverage for the underinsured motorist or uninsured coverage. You can take underinsured coverage or uninsured coverage up to the amount of your liability. I’ve had many experiences with clients who have $100,000 of liability coverage but only $25,000 of underinsured coverage. I can’t emphasize enough that underinsured motorist coverage is the insurance that will protect you. I believe it is very important for you to carry this insurance, and it is very economical for you to do so.
Situations can become complicated such as if you are riding in another person’s vehicle at the time of the accident. If you are in an accident, you will be covered with their underinsured coverage and your own. In this instance, you will have a stacking situation and that can become complicated. Also, if you have a claim, and you are going to exceed the other driver’s policy limits, you have to give proper notice to the company that carries your underinsured coverage or else you could lose that coverage.
For these and many other reasons, I suggest you hire an attorney if you are involved in a car accident. I have over 35 years of experience dealing with these situations in insurance coverages including uninsured and underinsured coverage. I offer Free Consultations. Call me at 402-423-4300.