Why Is Uninsured Motorist Coverage Important?
- Rabih Hamawi
- 11 minutes ago
- 4 min read
Every time you drive in Michigan or anywhere in the U.S., you share the road with thousands of other drivers—and not all of them carry adequate insurance. In fact, Michigan consistently ranks among the states with the highest number of uninsured drivers, with nearly 1 in 4 motorists lacking insurance coverage.
This creates a serious problem for responsible drivers: what happens if you’re hit by someone who doesn’t have insurance or doesn’t have enough insurance to cover your damages? That’s where Uninsured/Underinsured Motorist Coverage (UM/UIM) comes in. This type of coverage is often overlooked, but it may be the only protection standing between you and financial hardship after an accident.
The Risks of Uninsured Drivers
Being hit by an uninsured or underinsured driver doesn’t just create an inconvenience—it can change your life. Here are the biggest risks Michigan drivers face:
Lost Wages and Career Impact: Serious injuries can keep you from working for weeks, months, or longer. Some accidents leave permanent disabilities that limit your career opportunities. Without coverage, you may not receive all compensation needed for lost income.
Pain and Suffering: Beyond financial costs, victims often endure physical pain, emotional distress, and reduced quality of life. These non-economic damages are rarely recoverable when the at-fault driver is uninsured or underinsured—unless you carry UM/UIM coverage.
Hit-and-Run Accidents: Unfortunately, hit-and-runs are on the rise. If the driver who caused the crash flees the scene and can’t be identified, your UM/UIM coverage can step in. Without it, you’re left without a legal avenue for recovery.
In short, the risk isn’t just about the accident itself—it’s about the financial fallout afterward. Without UM/UIM coverage, you’re gambling with your health, your property, and your financial future every time you drive.
How UM/UIM Coverage Works?
Uninsured/Underinsured Motorist Coverage is designed to protect you when the driver who causes an accident cannot pay for your damages. It acts as a financial safety net and ensures you can recover compensation for lost wages beyond what is covered by your insurance policy; pain and suffering; and other losses—even when the at-fault party lacks sufficient insurance. Let’s take a closer look at how it functions.
1. Coverage for Uninsured Drivers
If you are involved in a crash with a driver who has no insurance, UM coverage will step in to pay for your:
Medical expenses, primarily what is not covered by your own personal injury protection (PIP) coverage.
Lost wages if you are unable to work due to injuries (again primarily what is not covered by PIP).
Pain and suffering or other non-economic damages, depending on your policy limits.
Example: Imagine a driver runs a red light and hits your car, causing serious injuries. You later find out they don’t have insurance. With UM coverage, your insurance company can cover your pain and suffering damges.
2. Coverage for Underinsured Drivers
Sometimes, the at-fault driver has insurance, but their policy limits are too low to cover the full extent of your damages. This is where underinsured motorist (UIM) coverage helps.
Example: A driver with a $25,000 liability policy causes $60,000 in pain and suffering damages. Without UIM coverage, you’d be responsible for the remaining $35,000. With UIM coverage, your UM/UIM policy can cover the shortfall, giving you full compensation.
3. Hit-and-Run Protection
UM/UIM coverage also protects you in hit-and-run accidents. If the at-fault driver flees and cannot be identified, your policy can provide compensation for injuries and damages, ensuring you aren’t left financially vulnerable.
When filing a claim under UM/UIM coverage, it’s important to notify your insurance company immediately after an accident and thoroughly document all damages and injuries, including medical records and lost income. Working with an experienced insurance attorney can be crucial if there are disputes or delays in payment, as insurance companies may attempt to minimize payouts.
Why You Should Add UM/UIM Coverage to Your Policy?
Uninsured/Underinsured Motorist Coverage (UM/UIM) is one of the most important protections you can add to your auto insurance policy, yet many drivers overlook it, assuming accidents won’t happen to them. In reality, nearly 1 in 4 drivers in Michigan are uninsured (Insurance Information Institute), which makes this coverage essential for responsible drivers. Here’s why:
1. Protect Yourself and Your Family
2. Fill Gaps in Liability Coverage
3. Coverage for Hit-and-Run Accidents
4. Affordable Peace of Mind
Contact Law Office of Rabih Hamawi for a case evaluation
Sometimes insurance companies dispute claims or attempt to minimize payouts, especially in UM/UIM cases. Working with an experienced insurance attorney can ensure that you receive the full compensation you are entitled to, particularly in complex claims involving serious injuries, hit-and-run accidents, or underinsured drivers. At the Law Office of Rabih Hamawi, we guide policyholders through these disputes, protecting their rights and maximizing recovery.
UM/UIM coverage isn’t just a recommendation—it’s a critical component of responsible driving in Michigan, ensuring that no matter what happens on the road, you and your family can recover financially and focus on healing.
If your insurance company has denied, delayed, or underpaid your insurance claim, contact Law Office of Rabih Hamawi for a case evaluation at (248) 905-1133 or www.hamawilaw.com.
Who is Rabih Hamawi?
Attorney & Counselor
Rabih Hamawi is a principal at the Law Office of Rabih Hamawi, P.C. and focuses his practice on representing policyholders in fire, property damage, and insurance-coverage disputes against insurance companies and in errors-and-omissions cases against insurance agents. He may be reached at (248) 905-1133.
