According to a new report from the Insurance Research Council, as many as one in seven U.S. drivers (14 percent) operated a vehicle without liability insurance in 2022.
In Maryland, understanding your auto insurance requirements is crucial to ensure you’re adequately protected in case of car accidents involving uninsured or underinsured drivers. One common question among drivers is, “Is uninsured motorist coverage required in Maryland?”
Let’s take a closer look at the specifics of this important aspect of auto insurance law.
What is Uninsured Motorist Coverage?
Uninsured motorist (UM) coverage is a category of auto insurance that provides you with protection if you’re involved in an accident with a driver who doesn’t have insurance or their amount of coverage isn’t enough to pay for damages and injuries that have occurred.
In Maryland, UM coverage is required to be purchased for at least the minimum mandatory liability coverage limits of $30,000 per person/$60,000 per accident for bodily injury, and $15,000 per accident for property damage.
This level of coverage can help bridge the gap when an at-fault driver can’t adequately compensate you.
Maryland, like many states, requires drivers to carry liability auto insurance to legally operate a vehicle on public roads. In addition to Uninsured Motorist Coverage, you also have the option of Personal Injury Protection (PIP), also known as no-fault insurance. PIP coverage applies to medical expenses and lost wages for you and your passengers no matter who was at fault.
It’s important to note that UM coverage only applies if the other driver is found to be 100% at fault. If you contributed to the accident in any way, you cannot collect payment under Uninsured Motorist coverage.
Benefits of Uninsured Motorist Coverage
Uninsured motorist coverage can benefit you in several ways, including:
- Protection Against Uninsured Drivers: As we’ve mentioned, despite mandatory insurance laws, some drivers may still operate vehicles without insurance. UM coverage makes sure that you’re financially protected if you’re in an accident with an uninsured driver.
- Underinsured Motorists: Even if the other driver has insurance, their coverage limits may not be high enough to cover all your expenses in a serious accident, especially if you require ongoing medical attention. Uninsured motorist coverage can help cover the gap between their coverage limits and your actual expenses.
- Comprehensive Coverage: UM coverage typically covers more than just medical expenses, including coverage for lost wages, and other economic and non-economic losses resulting from the accident.
When Should You Consider Adding UM Coverage?
Here are some of the potential risks you may want to consider when evaluating your level of uninsured motorist coverage:
- High-Risk Areas: If you frequently drive in areas with higher rates of uninsured drivers, UM coverage can provide you with protection and peace of mind.
- Value of Assets: Evaluate your financial situation and the value of your assets. UM coverage can protect you from major losses to your savings and assets in the event of a serious accident with an uninsured or underinsured driver.
- Medical Coverage: If you’re a daily commuter, and (especially) if you have others who regularly ride with you, UM coverage can ensure you and your passengers are covered in case they’re hurt in an accident.
Uninsured motorist coverage in Maryland offers valuable protection against the financial losses that often result from accidents with uninsured or underinsured drivers.
Considering the potential risks on the road UM coverage is a prudent addition to your auto insurance policy. Consult with your insurance agent or a qualified legal advisor here at GDH Law to understand the specifics of UM coverage and how it can best meet your needs.
Making sure that you meet the minimum insurance requirements and have adequate protection for unexpected circumstances is essential for responsible drivers who want to protect their financial security.
