As the number of trucks on the road continues to rise, so does the risk of accidents involving these large vehicles. Unfortunately, not all trucking companies carry the proper semi-truck insurance coverage to protect against accidents caused by their drivers.
According to data from the Federal Motor Carrier Safety Administration, approximately 12% of large trucks involved in fatal crashes in 2022 were operating without valid insurance.
Therefore, if you or a loved one is involved in an accident with an uninsured semi-truck, you may be left to cover the cost of damages and medical expenses out of pocket. That’s why it’s crucial to understand the importance of uninsured motorist coverage when purchasing auto insurance.
We’ll take a closer look at the statistics surrounding semi-truck insurance and uninsured motorist coverage and discuss why it’s essential to protect yourself and your family from the financial burden of an accident with uninsured motor vehicles.
Uninsured Motorist Coverage Explained
Uninsured motorist coverage is just what it sounds like: it protects you if you’re in an accident with another driver who doesn’t have insurance. The coverage kicks in when the at-fault driver doesn’t have any insurance of their own or enough to cover all damages.
This coverage will pay for damages and injuries sustained by the policyholder, as well as any injured party in the policyholder’s car in the event of a hit-and-run or if the at-fault driver is uninsured.
There are two types of uninsured motorist coverage:
- Uninsured Motorist Bodily Injury (UMBI) coverage – This type of coverage addresses medical expenses and lost wages in case of an accident caused by an uninsured driver. The limits for UMBI coverage vary from state to state but typically range from $25,000 to $250,000 per person and $50,000 to $500,000 per accident.
- Uninsured Motorist Property Damage (UMPD) coverage – This type of coverage protects damages to your vehicle in case of an accident caused by an uninsured driver and provides legal liability. The limits for UMPD coverage vary from state to state but typically range from $5,000 to $10,000.
If you choose to purchase uninsured motorist coverage, your insurance company will pay for those expenses up to your policy limit. However, if the other driver has a form of insurance, they could still be held accountable for damages.
In addition, they’ll use their insurance policies first before coming after yours.
How Do I Make an Uninsured Motorist Claim?
Making an uninsured motorist claim can be a bit more complicated than claiming with a traditional insurance policy, but the process is similar. Here are the general steps to follow when making an uninsured motorist claim:
- Report the accident to the police, inform them of the accident as soon as possible, and request a copy of the accident report.
- Notify your insurance company as soon as possible and inform them of the accident. Provide them with the accident report and other relevant documentation, such as photographs of the damage.
- Collect all evidence from the accident scene, including photographs, witness statements, and any other information that may be useful in your claim.
- Fill out and submit a claim form to your insurance company. Be sure to include all relevant information and documentation.
- Your insurance company will investigate the claim and may contact you for additional information.
- If your claim is approved, your insurance company will offer you a settlement. If you disagree with the settlement amount, you may be able to negotiate with the insurance company to reach a higher settlement.
It’s essential to understand that making an uninsured motorist collectible insurance claim can be complex. Therefore, it’s recommended to reach out to your insurance company and ask for guidance.
An insurance agent may be able to walk you through the process and help you navigate the complexities of an uninsured motorist claim.
State Laws for Uninsured Motorist Coverage
State laws for uninsured motorist (UM) insurance coverage applicable vary but generally fall into one of three categories:
- Optional: In these states, insurance companies must offer uninsured motorist coverage as an option to policyholders, but it is not required to be carried out. Policyholders have the choice to purchase the coverage or not.
- Add-on: In these states, insurance companies must offer uninsured motorist coverage as an option to policyholders, and it must be carried in addition to a primary liability coverage insurance policy.
- Mandatory: In these states, insurance companies must offer uninsured motorists coverage as an option to policyholders, and it must be carried as a part of the motor vehicle liability insurance policy.
It is important to note that the specific requirements and coverage limits vary by state, and some states have different laws for Bodily Injury coverage and personal property damage or coverage for the loss.
It’s recommended that you check with your state’s insurance department and your insurance company to determine the laws regarding uninsured motorist coverage in your state and to understand the specific applicable limits of liability and options available to you.
Understanding Uninsured and Underinsured Motorist Coverage Limits
Understanding uninsured and underinsured semi truck coverage limits is similar to understanding the limits of insurance coverage for a personally insured vehicle.
Uninsured Motor Vehicle Coverage
Uninsured motor vehicle coverage for semi-trucks is similar to that for passenger vehicles. It provides financial protection to the owner or operator of the semi-truck in the event of an accident caused by an uninsured driver.
This coverage can include payment with respect to medical bills for the injured person, lost wages, and damage to the truck. The specifics of the coverage will depend on the motor vehicle policy, but it typically provides protection against financial losses in the event of a hit-and-run accident or an accident caused by a driver who does not have an automobile insurance policy.
The limits of uninsured motorist benefits vary by state, but they typically range from minimum insurance coverage for semi truck of $25,000 to full coverage semi truck insurance of $100,000 per person and $50,000 to $300,000 per accident.
Underinsured Motorist Coverage
Underinsured motorist coverage is a type of insurance coverage for a semi-truck that provides financial protection for the owner or operator of the semi-truck in the event of an accident caused by a driver who has insurance, but the basic coverage is not enough to cover the full extent of damages.
The underinsured motor vehicle coverage helps cover additional costs that the other driver’s policy insurance issued does not cover.
The limit of semi-truck insurance coverage for an underinsured motorist claim can vary depending on the state in which you live, but they typically range from a min insurance coverage per person for a semi-truck of $25,000 to $100,000 per person and $50,000 to $300,000 per accident.
Like personal vehicles, some states have mandatory minimum limits for uninsured and underinsured motorist coverage for semi trucks, while others do not.
In addition to uninsured and underinsured motorist coverage, semi-truck owners may also need to consider additional coverages such as comprehensive coverage, bodily injury liability insurance coverage, cargo, and physical damage coverage, depending on their specific business needs.
It’s important to consult with a specialist in commercial truck insurance to ensure that you have insurance coverage that meets your needs.
Estimated Coverage Statistics of Uninsured Drivers by State
The percentage of uninsured drivers on the road varies by state, with some states having higher rates than others. According to a recent study by the Insurance Research Council (IRC), an estimated 12.6% of drivers were uninsured in the United States in 2019. However, this percentage can vary greatly by state.
In states with the highest percentage of uninsured drivers, such as:
- Florida at 26%)
- Mississippi at 29.4%), and
- In Oklahoma, at 22%, more than one in five drivers are estimated to be uninsured.
In states with the lowest percentage of uninsured drivers, such as:
- Massachusetts at 3.5%
- Maine at 4.9%, and
- In New York, at 4.1%, less than 5% of drivers are estimated to be uninsured.
Other states with high estimated percentages of uninsured drivers include Louisiana, New Mexico, and Tennessee, all around 20%.
Other states with low estimated percentages of uninsured drivers include Hawaii, Iowa, and North Dakota, all around 8%.
It’s worth noting that these estimates may change over time as states change their laws and regulations regarding uninsured motorist coverage.
Frequently Asked Questions:
What is uninsured motorist coverage for semi-truck insurance?
Uninsured motorist coverage is an optional insurance protection that covers damages and injuries sustained in an accident caused by a driver without insurance or with insufficient coverage. This type of coverage can help truck drivers or companies recover financially if they are involved in an accident with an at-fault uninsured or underinsured driver.
Is uninsured motorist coverage required for semi-truck insurance?
Uninsured motorist coverage requirements vary by state. Some states mandate uninsured motorist coverage for commercial vehicles, while others leave it optional. It’s important to check your state’s specific requirements and consult with an insurance agent to ensure you have the appropriate coverage.
How does uninsured motorist coverage differ from underinsured motorist coverage?
Uninsured motorist coverage protects you in the event of an accident caused by a driver with no insurance, while underinsured motorist coverage provides protection when the at-fault driver’s insurance is insufficient to cover the damages or injuries sustained in the accident. Both coverages can help you recover financially when the at-fault driver’s insurance is inadequate.
What factors affect the cost of uninsured motorist coverage for semi-truck insurance?
Factors that affect the cost of uninsured motorist coverage include the limits of the coverage, the number of vehicles insured, the location and operating radius of the trucking business, the type of cargo being hauled, and the driving history of the insured drivers. An insurance agent can help you understand how these factors influence your premium and recommend appropriate coverage levels.
Can uninsured motorist coverage for semi-truck insurance cover damage to the truck itself?
Uninsured motorist coverage primarily covers bodily injury sustained by the truck driver or passengers in the event of an accident with an uninsured or underinsured driver. However, some policies may include uninsured motorist property damage (UMPD) coverage, which can cover damage to the truck itself. It’s important to carefully review your policy and consult with your insurance agent to understand the extent of your coverage.
Looking to navigate the complexities of semi-truck insurance? Get started with our comprehensive guide on ‘How Does Semi Truck Insurance Work?’ and build on this knowledge with in-depth insights from ‘Semi-Truck Insurance and Uninsured Motorist Coverage Stats’.
Request the Right Coverage Quote from SoCal Truck Insurance
In conclusion, the statistics surrounding semi-truck insurance and uninsured motorist coverage are a stark reminder of the importance of protecting yourself and your trucking business from the financial burden of an accident with an uninsured semi-truck.
Having explored semi-truck insurance and uninsured motorist coverage stats, it’s time to broaden your perspective. Extend your understanding of how these aspects fit into the larger framework of motor carrier operations by visiting our detailed blog post on motor carrier insurance. With this expanded knowledge, you’ll be better equipped to navigate the complexities of the trucking insurance landscape.
At SoCal Truck Insurance, we understand the unique needs of truck drivers and the trucking industry. We offer a wide range of insurance options, including uninsured motorist coverage, to ensure that you and your family are protected in the event of an accident with an uninsured semi-truck.
Our team of experienced insurance agents will work with you to customize motor vehicle insurance policies that meet your specific needs and budget.
If you need help about semi-truck insurance, give our article about semi-truck insurance preventative maintenance plan a read.
Don’t leave your financial future to chance. Choose us for your semi-truck insurance needs and feel secure knowing that you and your family are protected. To get started, contact us at 888-891-4304 at SoCal Truck Insurance today!