The Texas Department of Insurance estimates around 14% of Texas drivers carry no auto insurance at all. In some El Paso ZIP codes the rate is higher. Uninsured/Underinsured Motorist (UM/UIM) coverage is what protects you when one of them causes a crash with you.
Uninsured vs underinsured
- Uninsured Motorist (UM): the at-fault driver had no insurance at all, or fled the scene
- Underinsured Motorist (UIM): the at-fault driver had insurance, but their limits weren't enough to cover your injuries or vehicle damage
What UM/UIM pays
UM/UIM bodily injury pays your medical bills, lost wages, and pain-and-suffering up to your limit. UM/UIM property damage pays to repair or replace your vehicle, typically subject to a $250 deductible required by Texas law.
How much should you carry?
Match your UM/UIM limits to your liability limits. If you carry 100/300 liability, carry 100/300 UM/UIM. This is the single cheapest way to dramatically improve your protection.
You can reject UM/UIM, but you shouldn't
Texas requires insurers to offer UM/UIM. You can reject it in writing, but doing so leaves you exposed to the very real risk of being hit by someone who simply can't pay.
This article is for general information only and is not legal or tax advice. For guidance specific to your situation, talk to a licensed Texas insurance agent. Ready to put it into practice? Get a free quote or request a policy review.