Posted in Blog on June 13, 2019
Georgia does not require uninsured motorist insurance coverage. When a driver is not at fault in an accident with an uninsured vehicle, this insurance provides protection. Therefore, many Georgia drivers carry this additional coverage on their auto insurance policies. Most policies limit the coverage to $25,000 per person and a total of $50,000 for the entire accident.
Uninsured motorists (UM) carry no insurance, or the insurance provider denies coverage because of the circumstances of the accident.
Underinsured motorists carry insurance, but the coverage is insufficient to cover the total cost of damages in the accident. The underinsured motorist coverage (UIM) pays the difference between what the underinsured driver’s policy pays, and the total damages, depending on the policy details.
UM and UIM provide financial relief in car accidents caused by uninsured or underinsured drivers. Without purchasing these policies, drivers hit by uninsured or underinsured drivers often pay out of pocket for their expenses related to the accident.
When a crash causes injuries or damage, the primary option for financial recovery is the other driver’s liability coverage. Georgia law states drivers legally must carry minimum liability coverage.
Unfortunately, approximately 10 percent of drivers in Georgia never had, or dropped their coverage. So, they lack appropriate legal levels of vehicle insurance coverage. Many Georgia drivers with insurance only carry the minimum required amounts. Serious car accidents, especially with multiple occupants in the vehicle or several vehicles, find losses quickly far exceed those limits.
UM/UIM provides vital protection. Many situations leave filing a claim on UM/UIM policies as a last resort to recover damages.
Georgia has two kinds of UM/UIM coverage: Non-stacking and Stacking.
In Georgia, the law requires every insurance company to offer UM/UIM when drivers purchase their insurance. So, many drivers carry this insurance, without knowing about it. Unless they specifically reject the coverage in writing, UM/UIM remains a part of their insurance coverage. The Declarations page of any vehicle insurance policy outlines those details.