Do You Have the Right Amount of Car Insurance?
It is extremely important to have proper automobile insurance. The attorneys at McCollum & Griggs have made it their personal mission to see that every client has the proper amount of coverage as well as a complete understanding of their auto policy.
We ask that every prospective client bring in the Declarations Page of their auto policy to an appointment with one of our attorneys. We will go over that policy in detail at our first meeting with you. It is our opinion that you should look out for you and your family's interests over and above anyone else — especially since you pay the insurance premiums!
Do you have questions about car insurance or an auto insurance claim in Missouri? Call us today at (816)474-2060 or contact us online to schedule an appointment with one of our experienced lawyers.
What Is Liability Insurance?
Liability insurance covers the bodily injuries of people resulting from an insured driver's negligence. Missouri law requires that drivers and vehicle owners carry minimum liability coverage of $25,000/50,000 (25/50). In Missouri, the minimum limits of liability insurance are $25,000 per person with no more than $50,000 being paid out for the entire accident — no matter how many people are injured or how badly injured they are. Bodily Injury Liability does NOT cover the insured or any other people on the insured's policy. Coverage is limited to the terms and conditions contained in the policy.
Claims for bodily injury may be for such things as medical bills, loss of income or pain and suffering. In the event of a serious accident, it is a good idea to have enough insurance to protect your personal assets if you cause injury to another. By purchasing adequate liability limits one should account for both their current assets and future net worth to adequately protect them from this risk.
What Is Property Damage Coverage?
Property damage insurance covers your car if you are in a car wreck and covers the other vehicle damaged if you were at fault for the accident. It also covers other property like fences, trees, and personal items damaged or destroyed in the accident.
The Missouri minimum limit of property damage coverage is only $10,000. This amount is not enough to replace or repair most cars on the market today. The limits of your policy should encompass enough coverage to replace an average new car. If you select limits that are too low, you could be putting yourself at risk financially. For example, if either you or a driver covered by your policy cause a serious accident where damages exceed your limits, you will be held responsible for property damage above your limits. To make that payment, you could be forced to pay from your personal assets or your future earnings could be attached.
What Is Uninsured Motorist Bodily Injury (UM)?
In this attorney's opinion, Uninsured Motorist (UM) and Underinsured Motorist (UIM) coverage (discussed below) are the most important types of coverage one can have on their policy. Unfortunately, they are also the most frequently over-looked or discarded forms of coverage. Uninsured Motorist coverage is designed to protect you, the insured, from the negligence of an uninsured driver. Uninsured Motorist insurance not only covers you, but also the insured members of your household and your passengers for bodily/personal injuries, damages, or death caused by an at-fault uninsured or hit-and-run driver.
If you are involved in an accident where the other driver is at fault but has no insurance, your policy will cover such things as medical bills, loss of income or pain and suffering medical expenses, up to the limit on your policy. In Missouri, the limits of your UM coverage cannot exceed your liability limits.
What Is Underinsured Motorist Bodily Injury (UIM)?
This coverage is critically important for all drivers. Underinsured Motorist (UIM) coverage protects you, the insured members of your household and your passengers for injuries, damages or death caused by the negligence of a person with insufficient insurance coverage. If you have an accident with a person who has coverage that is less than your bodily injury losses, you will be insured up to the amount of your UIM policy limits. In other words, if the other driver involved in an accident is underinsured, your insurance policy will pay the difference between the other driver's limits and what your bodily injury coverage will pay up to the limit of your own UIM coverage.
Say a negligent driver is insured for $25,000 and causes injuries to you that total $100,000. If you have UIM coverage limits of $100,000/$300,000 (100/300) then you would be able to collect $75,000 from your insurance company and $25,000 from the negligent driver's insurance for a total of $100,000.
In Missouri, UIM coverage is sold separately from Uninsured Motorist (UM) coverage. Therefore, it is very important to review the declaration's page of your policy and speak with your agent if you do not see UIM coverage listed separately.
What Is Medical Payments (Med Pay) Coverage?
Medical Payments coverage (Med Pay) is available in Missouri and covers medical expenses incurred by you and your passengers if you are injured in an accident. This coverage applies, regardless as to who is at fault. Medical Payments may also cover policyholders and their family members when they are injured while riding in someone else's car or when a car hits them while on foot or bicycling.
Med Pay coverage is limited to the terms and conditions contained in the policy. Common limits are $1,000, $2,000, $5,000, $10,000 and $25,000. Med Pay can be extremely beneficial to those injured in an auto accident - even if you have health insurance. There are many circumstances where the Med Pay portion of your policy can help with medical expenses that are not covered by any other policy. There are also circumstances where Med Pay can pay you even if your medical bills are paid by other insurance.
