It is self-explanatory why drivers carry uninsured driver coverage. If you get in a crash with someone who doesn’t have a policy, you will be stuck covering all of your own expenses.
Insuring yourself against underinsured drivers may seem less important. You may think that your car isn’t worth that much or that you have good health insurance, making that extra coverage seem unnecessary.
However, when you look at what insurance Pennsylvania actually requires, you might understand why it wouldn’t be enough after a crash.
What insurance is necessary in Pennsylvania?
Pennsylvania requires that you carry $5,000 worth of medical coverage for you and others protected by your policy. Unlike the other coverage on your policy, this is no-fault coverage.
The other two forms of mandatory coverage protect a driver from liability if they cause a crash. Drivers in Pennsylvania must have $15,000 worth of bodily injury liability coverage for crashes involving one hurt person or $30,000 in bodily injury coverage for a crash where multiple people are hurt. Drivers also need at least $5,000 worth of property damage liability coverage.
Why might minimum coverage policies fall short?
Most cars are worth more than $5,000, and one surgery could cost more than $15,000. If someone only has the smallest policy on their vehicle, the insurance may not cover all of your losses.
Having coverage on your own policy to protect you if another driver doesn’t pay for enough insurance is helpful. When you understand what kind of coverage you have and why underinsured driver coverage is so valuable, it is often easier to make a claim against it if you ever need that protection in the future.