Why is uninsured motorist coverage and underinsured motorist coverage so important?
Due to the high risk of encountering an uninsured or underinsured driver in a serious accident, uninsured motorist and underinsured motorist coverage is vital. Studies show that more than 50 percent of Detroit drivers do not have mandatory No-Fault auto insurance coverage. Michigan law requires every automobile owner to carry at least a $20,000 minimum in liability insurance. However, some people only pay the minimum insurance premium to renew their license plate each year, and let their auto insurance lapse. Without a UM or UIM policy, a driver or passengers injured by an uninsured or underinsured motorist will have no source of legal recovery, other than filing a lawsuit against the at-fault driver for his personal assets. Our lawyers have found that most people do not have sufficient personal net worth to compensate a person that they have injured.