What UM and UIM actually are
Uninsured motorist coverage (UM) pays when the driver who hit you had no insurance at all, or fled the scene and was never identified. Yes, hit and run counts.
Underinsured motorist coverage (UIM) pays when the driver had insurance, but not enough. This is far more common than people realize. New Jersey’s minimum liability limit is low. A serious injury blows past it easily. When it does, the at-fault driver’s policy pays out its maximum and stops, and everything above that is simply unpaid.
Unless you have UIM. Then your own policy picks up where theirs ran out.
What this looks like in practice
A client was rear-ended and his car was totaled. He thought he was a little sore. Weeks later an MRI showed herniated discs.
The driver who hit him carried minimum coverage. We recovered every dollar of it, and it came nowhere near what the case was actually worth.
So we opened a second claim, this time against his own insurance company, for underinsured motorist benefits. That fight took years. We did not drop it. He was awarded the maximum available under his policy.
Most firms take the first check and close the file. That first check was a fraction of what he ended up with.
Prior results do not guarantee a similar outcome. Every case is different and depends on its own facts.
Your own insurance company is now on the other side
This is the part people are not ready for. The moment you file a UIM claim, the company you have paid premiums to for fifteen years starts behaving exactly like an opposing party. They will send you to their doctor. They will dig through your medical history looking for a prior injury to blame. They will make a low offer and wait.
That is not a scandal. It is how the arrangement works, and it is why you need somebody on your side of the table.
These claims take time. We will tell you that up front rather than after you have signed.
Go look at your policy right now
Pull out your declarations page, the one-page summary your insurer sends every renewal. Look for a line reading “Uninsured/Underinsured Motorist” with two numbers next to it.
Those numbers are the ceiling on what you can recover when the other driver cannot pay. Most people have never read this line. Some find out they have far more coverage than they thought. Some find out they have almost none, and that is worth knowing before the next crash rather than after.
Cannot make sense of it? Send me a photo of the page.
I will read it and tell you what it means. No charge, no obligation.
Text me your declarations pageCommon questions
Will my rates go up if I make a UM/UIM claim?
This is the single most common reason people never file, and it is why insurers are content to let the fear sit there. New Jersey law restricts surcharging for a not-at-fault accident. Ask us before you let this stop you.
The driver who hit me fled and was never found. Is that covered?
Often, yes, under uninsured motorist coverage. There are notice requirements and they are strict, so call quickly.
How do I know if I have this coverage?
It is on your declarations page. If you cannot find it, we will pull the policy.
Can I bring a UIM claim after I already settled with the other driver?
Sometimes, but the sequence matters enormously and a misstep can wipe out the claim entirely. Do not settle with the at-fault carrier before talking to a lawyer about UIM. This is one of the most common and most expensive mistakes people make on their own.