What is the purpose of Uninsured/Underinsured Motorist Coverage?

• A. Protects insureds from drivers with no liability insurance or insufficient means to compensate
• B. Pays for collision damage to the insured's vehicle
• C. Provides medical payments to the insured regardless of fault
• D. Covers rental car costs after a loss

Answer: (A)

Uninsured/Underinsured Motorist Coverage is there to protect you when the driver at fault has no insurance or not enough insurance to pay your damages. It steps in to cover your bodily injury expenses—medical bills, lost wages, and other related costs—up to your policy limits if the at-fault driver can’t fully compensate you. This coverage is about people, not your own car’s repairs, which are handled by collision. It also isn’t the same as medical payments coverage (which pays regardless of fault) or rental car coverage (which pays for a rental while your car is being repaired). So the purpose described is to provide protection when the other driver lacks adequate insurance.