Is inadequate car insurance leaving you vulnerable in the event of an accident?
Georgia drivers are required to maintain active car insurance policies. However, failing to carry comprehensive coverage can expose you to potentially devastating circumstances, even if you aren’t at fault for the accident itself.
Schneider Williamson, an Atlanta personal injury law firm, sat down with fellow Atlanta personal injury attorney and Molina Law founder Antonio Molina to get a look at his insights on the dangers of inadequate car insurance. One essential topic was why too many drivers assume that they already have the insurance they need — only to find out too late that they don’t.
The Importance of Understanding Your Policy
Many drivers mistakenly believe that the “full coverage” insurance providers offer includes complete protection in any circumstances. This misconception can have serious financial repercussions in the event of an accident.
“Full coverage just means comprehensive collision coverage. If a tree falls in your car, or a hurricane blows it away, or if you hit something, or if something hits you, you’re covered in those cases,” Molina said. “But that doesn’t necessarily mean that you have enough coverage.”
You can ensure that you don’t have inadequate car insurance in the event of an accident by actively engaging with your insurance provider and asking specific questions about your coverage.
Learn More: What Does Full Insurance Coverage Really Mean in Atlanta?
Uninsured/Underinsured Motorist Coverage
Policyholders often overlook uninsured/underinsured motorist (UM/UIM) coverage, even though it’s one of the most crucial aspects of car insurance.
UM/UIM coverage is essential for protecting against accidents with drivers who lack insurance. It can cover your medical bills and property damage. Without this coverage, you may find yourself responsible for covering your own medical expenses, vehicle repairs, and lost wages, which can be financially devastating.
“Every person driving should have their own uninsured motorist coverage,” Molina said. “If the person that hit you doesn’t have enough insurance, has no insurance, or—God forbid—it’s a hit and run, you’re still covered.”
Med Pay Coverage
Basic car insurance often includes liability coverage. This protects you if you cause an accident. Many drivers find out too late, however, that basic insurance does not cover their medical expenses. That’s often true even if the accident wasn’t their fault.
In these circumstances, medical payment coverage can be a lifesaver. It provides crucial financial assistance regardless of who was at fault in the accident.
“Protecting yourself with ‘med pay’ coverage is critical,” Molina said. “Medical payment coverage in Georgia covers some of the medical costs that you incur because of an accident that isn’t your fault.”
The Dangers of Excluding Drivers from Your Policy
Some policyholders may also choose to exclude members of their household or individuals who may use their vehicles. This is usually an attempt to save on monthly premiums. Unfortunately, those exclusions can give insurance companies the pretext they need to deny or reduce compensation after a car accident.
Mr. Molina recalled one case in particular in which an older couple had an adult child living at home who was excluded from the former’s policy. The adult child got into an accident while driving the couple home from church. Their insurance provider then argued that compensation should be denied because the driver should not have been behind the wheel in the first place.
Scenarios like this are common, Molina says, and highlight the importance of carefully reviewing your insurance policy. Excluding any drivers, even those who may not be the primary drivers of the vehicle, can create serious challenges in the event of an accident.
Don’t Wait for an Accident to Regret Your Coverage Choices
Car accidents can happen at any time, and the consequences can be severe.
“You never get in your car expecting to be hit or hit someone,” Molina said. “That’s why it’s called an accident!”
You can protect yourself and your loved ones from ruinous financial burdens by thoroughly understanding and updating your insurance coverage. You can also ensure that the resources you need are in place if an accident occurs. If you need a second opinion on your insurance needs, a qualified Atlanta attorney can answer your questions and help you identify the coverages you need.
Discuss your car accident or personal injury case with Schneider Williamson’s attorneys — click here for a free and confidential consultation.
