What’s Uninsured vs. Underinsured?

Do you know what the difference between uninsured and underinsured auto coverage is?

Let’s say you get into a car accident (which I hope never happens to you).

If you or your passenger gets hurt and you think the driver at fault has insurance…think again. Many don’t. In this case, you would be on the hook to pay for it.

This is where your uninsured auto coverage will kick in.

Uninsured coverage will help to cover your medical bills and even lost wages.

Now let’s say in that same driver has some liability coverage but not enough to pay for your medical bills and any lost wages.

This is where your underinsured coverage will come in handy.

You see, your coverage will pick up where that driver’s liability insurance reached it max.

How likely is this to happen?

Well according to a report by USA Today… 11% of drivers in Hawaii are uninsured.

I suggest you talk to your insurance provider to see if you are covered if either situation should happen. Then make sure you’re carrying Uninsured and Underinsured coverage.

You’ll be glad you have it some day.

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