Cheap vehicle insurance, How Underinsured Motorist Coverage Works
Posted on Thursday, Jan. 17th 2013 11:03 AM by Online Vehicle Insurance Quotes in Vehicle Insurance No Comments »
Anyone who purchases an auto insurance policy in Iowa gets UIM coverage unless they specifically reject it in writing. It pays the policyholder when he or she is the victim in a crash in which the responsible party doesn’t have enough coverage to pay for all the resulting damages.
Here’s an example: Driver A causes an accident, leaving Driver B with $100,000 worth of medical expenses. Since Driver A is responsible, his bodily injury liability insurance pays for Driver B’s medical costs. However, Driver A only has $75,000 worth of coverage, which doesn’t totally cover the damages. If Driver B has a UIM policy, then he could file a UIM claim with his own insurer for the remaining $25,000 worth of medical bills.
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Posted on Thursday, Jan. 17th 2013 11:03 AM | by Online Vehicle Insurance Quotes | in Vehicle Insurance | No Comments »