Protection Against Uninsured Drivers

Did you know that around 14 percent of motorists—about one in seven drivers—are uninsured, according to the Insurance Research Council1? If you're ever in an accident with one of these drivers, the financial fallout can be serious, depending on whether you live in a "no-fault" or "tort" state.

In no-fault states, neither driver is assigned blame after an accident. Each driver’s insurance covers their own damages, regardless of fault. In contrast, in tort states, fault is assigned, and insurance companies pay out claims based on the percentage of blame attributed to each driver2.

When an uninsured driver is at fault in a tort state, there’s no insurance to cover their portion of the damages, leaving you vulnerable to absorbing those costs yourself.

Protecting Yourself Against Uninsured Drivers

Some states require motorists to carry uninsured and underinsured motorist coverage, but even where it's not mandatory, it’s often a smart addition to your auto policy. This coverage can protect you from paying out of pocket for both bodily injuries and property damage caused by uninsured drivers. It can also safeguard you in hit-and-run situations where the at-fault driver flees the scene without sharing insurance information.

To protect yourself from this financial risk, your first step is to contact your insurance agent. They can review your current coverage, explain your state's insurance requirements, and help you secure the right protection against uninsured motorists.

1. III.org, 2024

2. The information in this material is not intended as legal advice. Please consult legal or insurance professionals for specific information regarding your individual situation.

The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest.?FMG, LLC, is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm.?The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright 2024 FMG Suite.