You expect the insurance of the driver who caused the accident to pay for your costs, like medical bills or car repairs. But in some situations, you may be unable to collect damages from the other party or their insurance. Or, you might be to blame. Everyone makes mistakes, and sometimes even a small mistake can cause a car accident. Also, sometimes accidents happen that aren’t their fault but also can’t be avoided, like when a deer jumps in front of a car.
If any of these things happen, standard liability insurance won’t be enough to cover your costs. In some situations, your liability coverage may pay for another party’s damages but not your own. Fortunately, several other types of insurance provide additional protection for you in a wider range of situations. Other than liability insurance, these are not required by Georgia law. However, if you don’t get them, you might end up paying for certain types of accidents. We’ll talk about the differences between uninsured motorist coverage, collision coverage, and MedPay coverage in this article. We’ll also talk about what each type of insurance will cover.
If you are trying to file a claim for a car accident or have been hurt because of another driver’s carelessness, you should talk to a lawyer about your case. Attorney Ali Awad is experienced in battling insurance companies and helping clients get the best settlement possible. He opened the CEO Lawyer Personal Injury Law Firm a few years ago and quickly made it one of the law firms in the country with the most rapid growth. Right now is the best time to get a professional opinion on your insurance claim, so please call the CEO Lawyer Personal Injury Law Firm right away to set up a free, no-obligation meeting.
Deciding whether to get collision insurance or uninsured motorist coverage can be confusing. Both provide protection for damage to your vehicle but there are some key differences between the two that you need to understand. In this comprehensive guide we’ll explain what collision and uninsured motorist coverages are, how they work, how they differ, and help you determine which type of protection makes the most sense for your situation.
What is Collision Insurance?
Collision insurance pays to repair or replace your vehicle if it’s damaged in an accident. It applies regardless of who is at fault. For example, if you collide with another car collision coverage will pay for repairs even if the other driver caused the crash. It also covers damage from single-vehicle accidents, like if you hit a tree or roll your car over.
Collision is not required by law, but your lender may insist you carry it if you have an auto loan or lease. It’s a good idea for drivers who want absolute protection for their vehicle. Without collision, you’d have to pay out-of-pocket for repairs if an accident is your fault.
Collision claims are subject to a deductible which is the amount you pay before insurance kicks in. Common deductibles are $250 $500, and $1,000, but you can usually choose a higher or lower amount. The higher your deductible, the lower your premiums will be.
What is Uninsured Motorist Coverage?
Uninsured motorist coverage (UM) pays for losses when you’re hit by a driver with little or no insurance. There are two parts:
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Uninsured motorist bodily injury (UMBI) pays your medical bills and possibly lost wages if you’re injured.
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Uninsured motorist property damage (UMPD) covers repairs to your vehicle.
UMBI is mandatory in most states. UMPD is required in just a handful of states, optional in some, and not offered in others.
With UMPD, you can file a claim if an uninsured driver hits your car. No deductible applies, so you don’t pay anything out-of-pocket. UM also covers hit-and-run accidents in most states.
Key Differences Between Collision and UM
While collision and UM can both pay for vehicle damage, there are some important distinctions:
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Collision is broader – It covers any accident, regardless of who’s at fault. UM only applies if an uninsured driver hits you.
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Collision has a deductible – You pay this amount before coverage kicks in. UM typically has no deductible.
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UM covers bodily injury – Collision only pays for vehicle damage. UM also covers medical treatment and lost wages if you’re hurt.
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UM may not cover hit-and-runs – Collision will pay for hit-and-run damage. But in some states, UM only applies if you can positively ID the at-fault driver.
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Rates vary – Collision rates are based on factors like age, driving record, and type of vehicle. UM premiums depend on state law, chosen coverage limits, and other factors.
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Collision is broader and offers guaranteed protection for your vehicle, but requires a deductible.
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UM is limited to accidents caused by uninsured drivers but may cover both property damage and bodily injury with no deductible.
When to Get Collision vs UM
So which type of coverage should you get? Here are some guidelines:
Get collision if:
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You have an auto loan or lease – Lenders usually require it.
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You want certainty your vehicle is covered – UM may not apply in all at-fault situations.
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You can afford the deductible – Pick an amount you’re comfortable paying in the event of an accident.
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You drive an expensive or new vehicle – Comprehensive coverage is wise to fully protect your asset.
Consider UM if:
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You live in a state where UM/UMPD is mandatory or optional – It provides an extra layer of protection.
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You want protection from uninsured drivers – Especially if you’re frequently on the road.
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You want coverage for bodily injury – UM pays for your medical treatment after an accident.
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You can’t afford a collision deductible – UM often has no deductible.
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You drive an older vehicle – The lower value may not warrant collision coverage.
Get both if:
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You want complete protection – Collision and UM complement each other well.
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You can afford both coverages – But don’t overpay for redundant protection.
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You drive a lot or live in a congested area – More risk means more coverage is smart.
The Bottom Line
Collision and uninsured motorist offer overlapping protections for your vehicle. Collision is more comprehensive while UM fills in gaps from uninsured drivers. For most drivers, having both collision and UM can provide peace of mind. But be sure to understand how the coverages work so you don’t end up overpaying for redundant protection. Consult with a trusted insurance agent to determine the right level of coverage for your individual situation.
What Is Uninsured Motorist Coverage?
As you drive along, out of the blue, another car crashes into you because the driver didn’t see a stop sign or red light. It’s clear that they were at fault, but they won’t give you a straight answer when you ask about their insurance. Eventually, the police arrive and ask both of you for proof of insurance. It turns out that the other driver doesn’t have insurance after all. They say something about not having the money to pay the premiums anymore. It hurts, you need to see a doctor, and your car is messed up, but you can’t get the other driver to pay for the damage.
This kind of situation is more common than you might think. About 12 percent of Georgia motorists are driving illegally without insurance, and the cost is the most likely reason. If one of them causes a crash that leaves you with damages, uninsured motorist coverage is your best chance of getting your costs covered. Uninsured/underinsured motorist coverage, sometimes called UM/UI, will pay your bodily injury and property damage costs, up to the limits of the policy, for a collision caused by an uninsured motorist. You don’t have to be driving, either – UM/UI will also cover damages if you are struck by an uninsured motorist while walking, riding a bike, or riding on public transportation. You may need to prove the other driver was mostly at fault if this isn’t made clear by the police report. Your car accident attorney may be able to help if the insurance company denies your claim for “fault” reasons.
What Is Collision Insurance? Does Collision Cover Uninsured Motorist Situations?
This is a broad type of insurance that pays for damage to your property no matter who is at fault. You only have to prove that your car was damaged in an accident. This is very helpful if you were at fault, if you were in a single car accident for any reason, or if the damage to your car was caused by an uninsured driver and your uninsured/underinsured motorist policy doesn’t cover it all.
Collision is especially helpful if you have damage to your car from a hit and run driver. UM/UI will pay for injuries you get in a hit-and-run, but not for damage to your property if the other driver is never found.
MedPay is a type of no-fault insurance to take care of your injuries in an accident, no matter who caused the collision. It can be used if you’re injured by an uninsured or underinsured driver, but it’s also beneficial in accidents where you may be at fault. Not having to prove fault will save you some time and hassle when filing a claim, but you will still need to prove your injuries happened in the collision. If you have trouble getting your claim paid, it may be that the insurance company believes your injury was a preexisting condition, that the treatment wasn’t necessary, etc. If this happens, contact a Georgia car accident lawyer right away – they can work to convince the insurance carrier of the validity of your claim.
Additionally, if you’ve exhausted your UM/UI coverage and still owe money on some bills, MedPay may pay the rest. You might be able to “stack” the MedPay coverage on top of the UM/UI coverage to get all $50,000 covered. This would happen if your UM/UI policy only covers $25,000 in bodily injury and you have $50,000 in medical bills and another $25,000.
Is It Better To Have Collision Or Uninsured Motorist Coverage?
FAQ
Is collision the same as uninsured motorist?
What is the disadvantage of uninsured motorist coverage?
Do I need uninsured motorist coverage if I have collision and comprehensive in Texas?
Is it bad to not have collision insurance?
What is uninsured motorist coverage?
Uninsured motorist coverage, referred to as UM or UMBI, is a type of car insurance that can pay for medical expenses if you or your passengers are injured in an auto accident caused by: A driver who doesn’t have any liability car insurance. A hit-and-run driver. A driver whose insurance company denies coverage or goes out of business.
Is collision insurance better than uninsured motorist insurance?
If you were going to have one or the other, as opposed to both, it is better to opt for collision insurance. Collision insurance will protect you in more collision scenarios than uninsured motorist coverage. For instance, regardless who is at fault in a crash, collision insurance coverage can be used to repair or replace your vehicle.
Does collision insurance cover uninsured motorists?
Specifically, collision insurance only overlaps with one type of uninsured motorist coverage. There are two types uninsured motorist coverage: bodily injury (UMBI) and property damage (UMPD). In just over half the states, you can only purchase UMBI, which pays for your medical bills if you’re hit by an uninsured motorist.
What is the difference between uninsured and under insured motorist coverage?
Both uninsured and underinsured motorist coverages are broken into bodily injury and property damage coverage options. Similar to liability coverage, uninsured bodily injury (UMBI) protects you on a per person, per accident basis. Your property damage (UMPD) coverage pays for damage to your vehicle on a per accident basis.