Updated March 2026
What Is Uninsured Motorist Coverage Insurance?
Uninsured Motorist Coverage (UM) has two components: bodily injury (UMBI) and property damage (UMPD). UMBI covers your medical bills, lost wages, and pain and suffering when an uninsured or hit-and-run driver causes an accident. UMPD covers damage to your vehicle in the same scenario, though not all states offer or require this component. The coverage also typically extends to underinsured motorists — drivers who carry liability insurance but not enough to cover your full damages.
- You're stopped at a red light when an uninsured driver rear-ends you at 40 mph. You sustain $18,000 in medical bills and $9,000 in vehicle damage. The at-fault driver has no insurance and no assets to sue for. Your UMBI coverage pays the $18,000 in medical expenses up to your policy limit, and if your state allows UMPD, it covers the $9,000 vehicle repair after your deductible. Without UM, you'd pay all $27,000 out of pocket or through your own health insurance and collision coverage (if you have it).
- A driver sideswipes your car on the highway and speeds away before you can get their license plate. You suffer a concussion and whiplash totaling $12,000 in medical treatment, plus $6,500 in vehicle damage. Because the at-fault driver can't be identified, your UM coverage treats this as an uninsured motorist claim. Your UMBI pays up to your selected limit for medical costs, and UMPD (where available) handles the vehicle repair. For drivers with points already on their record, this protection prevents a hit-and-run from becoming a financial catastrophe on top of already-elevated premiums.
- An at-fault driver with only $25,000 in liability coverage causes an accident that leaves you with $50,000 in medical bills and $15,000 in lost wages. Their policy pays its $25,000 maximum, leaving you $40,000 short. Your underinsured motorist coverage (often bundled with UM) covers the remaining $40,000 up to your policy limit. This protection is especially valuable for drivers with prior violations, since a second major expense could push them into non-standard insurance markets where coverage options shrink and costs spike further.
Who Needs Uninsured Motorist Coverage Insurance?
Drivers with points on their record should strongly consider UM coverage because they're already paying elevated premiums and can't afford a second financial hit from an uninsured driver. If you're carrying liability-only coverage to save money after a violation, UM is often the most cost-effective way to protect yourself without adding expensive collision or comprehensive policies. It's also essential if you live in a state with high uninsured motorist rates, commute in heavy traffic, or have significant income you'd lose during injury recovery.
Compare the annual UM premium to your emergency savings and medical coverage gaps — if $150 per year protects you from a $30,000+ uncovered loss, the math favors keeping it. For drivers with points, ask whether your current insurance search revealed high uninsured motorist rates in your state; if so, UM becomes even more justified. If your points are temporary and your rates will drop in 12–36 months, maintaining UM now prevents a gap in protection during your highest-risk period for both violations and financial stress.
How Much Does Uninsured Motorist Coverage Insurance Cost?
Uninsured Motorist Coverage typically adds $5 to $20 per month to your premium, or approximately $60 to $240 per year, depending on your state, coverage limits, and driving record.
- Your existing driving record — drivers with points or prior at-fault accidents often pay 15–30% more for UM coverage than clean-record drivers, though the base cost remains relatively low.
- Coverage limits selected — choosing $100,000/$300,000 UMBI limits costs more than minimum state requirements, but the incremental cost is typically only $3–$8 per month.
- State uninsured motorist rate — states with higher percentages of uninsured drivers (like Florida, New Mexico, or Michigan) typically charge more for UM coverage due to greater claim frequency.
- Whether UMPD is included — adding property damage coverage to bodily injury UM typically increases cost by $2–$5 per month, though some states bundle this automatically.
- Stacking vs. non-stacking coverage — stacked UM policies (which multiply limits across multiple vehicles) can cost 20–40% more but provide significantly higher protection.
- Your ZIP code claim history — areas with high hit-and-run rates or accident frequency see modestly higher UM premiums even within the same state.