Friday, December 26, 2014

Dangers on the road: Uninsured motorists

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One out of seven drivers navigating the road is uninsured. According to the Insurance Information Institute, an estimated 86 percent of drivers have basic liability coverage, at least, while 14 percent don’t have any form of insurance.

Despite laws that require the purchase of auto insurance, many drivers choose to or are forced to go without it. Their explanations include simply being unable to afford the extra cost, and the Insurance Research Council (IRC) has noted that the economic downturn is the reason why there are many uninsured motorists today.

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This presents an additional problem for drivers who have at least basic liability coverage. If ever they get into an accident with an uninsured driver, they won’t have anybody to send a claim to for the damages except for the other motorist. This would likely amount to many frustrating phone calls and difficulties in obtaining compensation for the damages, which may escalate the requiring legal action.

As with accidents, preventive measures are clearly required. Like how law-abiding motorists avoid accidents by ensuring that their cars are in good condition before taking the wheel, they can also avoid the hassles of dealing with uninsured drivers by also purchasing Uninsured Motorist Liability Coverage, which includes coverage for bodily injuries and for property damage. Uninsured auto insurance is actually required in 22 states and in Washington D.C. In other states, the coverage is just an extra option for mandatory liability insurance.

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Louis Campisano is an insurance professional from New Jersey. For more articles on auto insurance issues, visit this Facebook page.