Auto insurance is a safety buffer for accidents and can be very worthwhile when you are involved in an accident and your car suffers severe body damage.
There are some instances where an uninsured driver is at fault for an accident and the fact that they don't have insurance can be a problem especially if someone is injured.
This can be quite costly for an insured driver which is why many people are purchasing uninsured motorist coverage as an addendum to existing car insurance.
Uninsured motorist coverage basically allows a driver and any other individuals stipulated on the insurance policy to receive monetary reimbursement for injuries caused by an uninsured driver.
In some states this type of coverage is mandatory.
The insured driver will choose a particular coverage amount.
This amount should be chosen wisely as this is the amount that the insurance company will pay for bodily injury per incident and per person.
If you and the other members listed on your car insurance policy have health insurance then you may be able to choose a lower coverage amount.
If you are without health insurance or a savings to pay for bodily injury as a result of an uninsured driver than it is recommended that you choose a higher amount of coverage.
This type of coverage usually comes in handy under two circumstances.
The first is when you are involved in accident with an uninsured driver and you or others on your policy are injured.
The uninsured driver is responsible for your injuries and if they have the money to pay for your medical expenses they should.
However, given the fact that they can hardly afford to carry auto insurance the possibility of uninsured motorists being able to pay medical expenses is highly doubtful.
Another incident where uninsured driver coverage is needed is when you are involved in a hit and run accident.
The driver who hit you may be uninsured and afraid of the legal implications involved with driving without insurance and at worst injuring someone in the process.
The driver could also be insured but decides to leave the scene of the accident because they are afraid their cheap auto insurance rates will go up.
These are both very sad and unfortunate circumstances but it is the reality and it is the reason this type of insurance is offered and at times required.
A similar type of insurance called underinsured motorist coverage provides the same benefits as with an uninsured driver but it instead picks up the costs that the underinsured driver's insurance is not able to cover.
For example, if you are in an accident and break both of your legs and your hospital expenses after health insurance coverage equals $3000 and the underinsured driver's insurance can only pay out $2000 your coverage for an underinsured driver can pay for the remaining $1000 balance on your hospital bill.
Ultimately, including coverage for an uninsured motorist into your auto insurance policy will help you cover medical expenses if you should be involved in an accident with someone who is not insured.