According to the Insurance Research Council (IRC), one driver out of every seven drivers in the United States is currently uninsured. This is especially startling considering that an accident with an uninsured or underinsured driver can result in significant costs that aren’t covered by a basic liability insurance policy.
The State of California mandates liability limits for auto insurance be 10/20/3 for low cost auto insurance policyholders. For regular drivers, it’s 15/30/5. The first number is medical payments per person in an accident, the second is total payments for everyone in a single accident, and the third payment is total property damage payment.
Uninsured and underinsured motorist coverage is designed to help you pay for bills associated with a crash that was caused by another person who either doesn’t have an auto insurance policy or has a policy with liability limits that are too low to cover costs associated with a covered loss.
As with any insurance questions, your best resource is your insurance professional. Take a few minutes to meet with them and explain your concerns. They will make sure you have all the coverage you need at a price you can afford.