Do you know that all Massachusetts automobile insurance policies provide insurance coverage called “Uninsured Coverage” to protect you for injuries caused by vehicles with no insurance? Did you know Uninsured Coverage protects you, most members of your household and, in some cases, passengers in your vehicle? Uninsured Coverage is mandatory coverage in Massachusetts. All insured Massachusetts passenger vehicles carry the minimum coverage of $20,000 per person. The mistake made by almost every person we meet is they fail to purchase higher limits. There are so many serious accidents, where the value of the losses far exceeds $20,000, so you should always insure yourself for much higher limits. The typical client we meet 1) has no idea they even have Uninsured Coverage, 2) almost always has the minimum $20,000 of coverage, and 3) is shocked at how Uninsured Coverage can protect them for their injuries in so many situations which don’t involve their own vehicles.

In the event of an accident with an uninsured vehicle, you would be entitled to make a claim against your own insurance policy up to the policy limits you purchased. For example, if you purchased $100,000 per person limits of Uninsured Coverage, and you had an injury valued at $100,000 caused by a vehicle with no insurance, you would be entitled to $100,000 from your own company. If you failed to purchase these higher limits, you would be stuck with minimum coverage of $20,000, leaving you short the $80,000 which it would take to fully compensate you.

Uninsured Coverage even protects when you are hurt as a pedestrian, bicyclist, or a passenger in someone else’s vehicle. It applies whenever an accident is caused by a vehicle with no insurance. Uninsured vehicles are found when insurance policies are cancelled for non-payment, when out of state cars are not required to carry insurance, and when cars are stolen or used without authority. “Hit and run” vehicles are also considered uninsured; even if you are cutoff and there is no contact or “hit” with the fleeing vehicle.

To protect yourself, purchase as much Uninsured Coverage as you can afford. Your agent will explain how to do this. Also, ask your insurance agent about adding or increasing Underinsured Coverage limits. This valuable coverage will be discussed in the next issue. Serious accidents do happen, and in many cases, the offending driver has no insurance or has left the scene before being identified. Don’t make the mistake of carrying the minimum limits ($20,000.00) of Uninsured Coverage on your automobiles.