Updated March 2026
What Is Uninsured Motorist Coverage Insurance?
Uninsured Motorist Coverage (UM) pays for your injuries and, in most states, your vehicle damage when an at-fault driver has no insurance, carries less than your policy limits (underinsured motorist coverage), or flees the scene in a hit-and-run. It comes in two parts: Uninsured Motorist Bodily Injury (UMBI) covers medical bills, lost wages, and pain and suffering for you and your passengers, while Uninsured Motorist Property Damage (UMPD) covers repairs to your vehicle. Critically, this coverage works even if you only carry liability insurance — you don't need collision or comprehensive coverage for UM to apply.
- You're stopped at a light when a driver runs a red light and T-bones your 2012 sedan. The at-fault driver has no insurance. You have $3,000 in medical bills and your car suffers $6,500 in damage. Your liability-only policy won't cover your injuries or repairs. If you have $25,000 UMBI and $25,000 UMPD (or collision coverage as a substitute), your UM coverage pays the full $3,000 medical bill and $6,500 in vehicle repairs, minus any deductible if your state requires one for UMPD.
- Your parked car is sideswiped overnight and the driver flees. Repairs are estimated at $4,200. You carry liability and Uninsured Motorist Coverage but no collision coverage. In states that allow UMPD for hit-and-runs with unidentified drivers, your UMPD would cover the $4,200 minus your deductible. In states like California that exclude hit-and-runs from UMPD unless the driver is identified, you'd pay out of pocket unless you also carried collision coverage.
- You're rear-ended on the highway and sustain $45,000 in medical bills and lost wages. The at-fault driver carries only the state minimum of $25,000 in bodily injury liability. Their insurer pays the $25,000 limit, leaving you with $20,000 in uncovered expenses. If you carry $50,000 in Underinsured Motorist Bodily Injury coverage (UIM, often bundled with UM), your policy pays the remaining $20,000. Without UIM, you'd be responsible for that gap — a common scenario in states with low minimum liability requirements.
Who Needs Uninsured Motorist Coverage Insurance?
Uninsured Motorist Coverage is one of the highest-value add-ons for cost-conscious drivers carrying liability-only policies, especially in states where 15% or more drivers are uninsured (Florida, Mississippi, Michigan, Tennessee, Alabama, New Mexico). If you can't afford to pay $5,000–$20,000 out of pocket for medical bills or vehicle repairs after being hit by an uninsured driver, this coverage delivers significant protection for a relatively small premium — often one-third the cost of adding collision coverage. It's especially critical if you live in a state with low minimum liability limits, where even insured drivers may not carry enough coverage to pay for serious injuries.
Calculate your financial exposure: if an uninsured driver hit you tomorrow, could you cover $10,000–$30,000 in medical bills and vehicle repairs without financial hardship? If not, Uninsured Motorist Coverage is worth the $5–$25/month cost, particularly if you're skipping collision and comprehensive to save money. Compare the annual UM premium to your state's uninsured driver rate and your vehicle's value — in high-uninsured-rate states (above 12%), the risk-to-cost ratio strongly favors carrying this coverage even on older vehicles.
How Much Does Uninsured Motorist Coverage Insurance Cost?
Uninsured Motorist Coverage typically adds between $5 and $25 per month ($60 to $300 annually) to a liability-only policy, depending on your state and coverage limits.
- Coverage limits — choosing $25,000/$50,000 UMBI costs significantly less than $100,000/$300,000 limits, but leaves larger gaps if you're hit by an uninsured driver with serious injuries.
- State uninsured driver rate — states like Florida, New Mexico, and Mississippi with uninsured rates above 20% typically charge higher UM premiums due to increased claim frequency.
- UMPD deductible — some states allow you to choose a deductible on Uninsured Motorist Property Damage (typically $250 to $500), which lowers your premium but increases out-of-pocket costs after an accident.
- Whether you bundle UMBI and UIM — Underinsured Motorist Coverage is usually sold alongside UM as a combined endorsement, adding approximately $3 to $8 more per month depending on limits.
- Urban vs. rural location — drivers in densely populated metro areas typically pay 15–30% more for UM coverage due to higher accident rates and greater likelihood of encountering uninsured motorists.