Motor vehicle accidents can happen unexpectedly, and when they do, the financial toll can be overwhelming, especially if the driver at fault lacks adequate insurance. If you’re involved in a car accident without insurance, you may wonder how you can recover damages, especially in Florida where insurance laws can be complex. Uninsured Motorist (UM) and Underinsured Motorist (UIM) coverage are essential protections that can provide relief. Here’s a deep dive into how settlements work for these cases, including typical payouts and the claims process.

The Basics of Uninsured and Underinsured Motorist Coverage

Uninsured Motorist (UM) and Underinsured Motorist (UIM) coverage are types of auto insurance designed to protect you if you’re involved in an accident with a driver who either doesn’t have insurance or doesn’t have enough coverage to fully compensate for your damages.

  • Uninsured Motorist (UM): This coverage applies when the driver responsible for your injuries doesn’t have any insurance.
  • Underinsured Motorist (UIM): This applies when the at-fault driver’s insurance is insufficient to cover the full extent of your injuries.

Without this coverage, victims of accidents with underinsured or uninsured drivers are left vulnerable. You may also wonder what happens if you have no insurance, but the other driver was at fault in Florida, in such cases, UM coverage can still allow you to recover damages. However, with UM or UIM coverage, you can file a claim with your own insurance to help cover medical bills, lost wages, pain, and suffering.

What to Expect from a Typical UM/UIM Settlement

The amount of compensation from an uninsured or underinsured motorist claim varies depending on several factors, including the severity of the injuries and the amount of coverage you have. Here’s what to expect in general terms:

Uninsured Motorist Coverage Payouts

For a claim under UM, the settlement typically involves your own insurer, and they’ll pay based on the limits of your UM coverage. For instance, if you have a $100,000 UM policy and the at-fault driver has no insurance, your insurance will step in to cover your damages up to that $100,000 limit.

In Florida, for example, if you’re in an accident with someone who has a low or no insurance policy, you can also “stack” your UM coverage. This means if you have multiple cars on your policy, you can potentially add up the UM coverage from each vehicle, increasing your payout limit.

Underinsured Motorist Coverage Settlement

In the case of UIM, your insurance kicks in when the at-fault driver’s insurance isn’t enough to cover the total cost of your damages. For example, if the other driver’s policy limit is $25,000, but your damages exceed that amount, your UIM coverage will cover the gap up to your policy’s limits.

In Florida, UIM coverage is typically stacked above the at-fault driver’s policy. So, if the other driver’s insurance pays the $25,000 and you have $100,000 UIM coverage, your insurance can pay the remaining $75,000.

How Much Can I Get From an Uninsured Motorist Claim Payout?

How much compensation you get for an underinsured motorist claim in Florida varies based on the unique circumstances of each situation and the severity of your injuries. Based on our own settlement data on this page, the average uninsured motorist settlement in Florida is between $200,000 to $310,000.

$310,000 for an Uninsured Auto Accident in Florida, 2023

A mother of five children, deeply involved in community volunteer work in Central Florida, was involved in a “T-bone” collision in Valrico. The defendant, who was stopped at a stop sign, pulled directly in front of her vehicle, violating her right of way. The crash left her with significant neck pain, and after an MRI, a large herniated disc was discovered, which required surgery.

The at-fault driver only had a $10,000 insurance policy, but fortunately, our client had wisely purchased uninsured motorist (UM) coverage for up to $300,000. After filing a lawsuit against both the at-fault driver and her own insurer, the case was settled for $310,000. This case illustrates how vital UM coverage is, especially in Florida, where many drivers lack sufficient bodily injury coverage. Without this coverage, our client would have only received $10,000, a fraction of her actual damages.

$200,000 for an Uninsured Motor Claim in Florida, 2023

Our client was a delightful 62-year-old woman who was employed as a realtor. She was driving north on Church Ave. in Tampa, approaching the intersection with McKay Ave, when the defendant ran through the stop sign and collided with the driver’s side of our client’s vehicle, causing extensive damage.

Our client experienced immediate pain and presented to the emergency room. She sustained a bad cut on her hand, which required several stitches. She also suffered injuries to her neck, back, and shoulder which required further medical care. MRI scans were performed which demonstrated a herniated disc in our client’s neck, bulging discs in her back, and a tendon tear in her shoulder. She underwent conservative care and had injections performed to help with her neck pain. Our client’s surgeon also gave an opinion that she would require surgery to repair the tear in her shoulder.

Once our client reached her maximum medical improvement, we prepared a comprehensive demand package to the defendant’s insurance company. The company made a low-ball offer which our client rejected. We pushed for the policy limits of $100,000.00, and we stood firm after the insurance company made additional offers under the policy limits. Eventually, knowing it was facing imminent legal action, the insurer agreed to tender its full limit of $100,000.00.

We then made a demand on our client’s own insurance company for her $100,000.00 uninsured motorist limit. Like the defendant’s insurance company, our client’s carrier also started off with a low-ball offer. We filed a civil remedy notice against them, essentially arguing that the company was acting in bad faith in failing to settle the claim for the limits. Before the notice was set to expire, the company acceded to our demand and agreed to pay our client $100,000.00 for a total settlement of $200,000.00.

$200,000 for an Underinsured Motorist Claim in Florida, 2023

On the date of her accident, our client was heading east on Gulf to Bay Boulevard, when the defendant unexpectedly shot out in front of our client from the median in an attempt to cross the three lanes of traffic in front of her. Our client, who was traveling at approximately 40 miles per hour, was unable to avoid the defendant and T-boned the defendant on the passenger side of their vehicle. The defendant was driving a rental car from Enterprise.

Following the accident, our client was transported to the emergency room with complaints of severe neck and back and abdominal pain. She was subjected to a series of CT scans and diagnostic studies to rule out any traumatic injuries. Thankfully, she did not sustain any broken bones and fractures and she was discharged from the hospital. Upon her discharge, she retained Abrahamson and Uiterwyk to represent her and we immediately referred her to a doctor for physical therapy and chiropractic care.

When the physical therapy failed to resolve her pain complaints, our client was prescribed MRIs of her cervical and lumbar spine. The cervical spine revealed several bulging discs, while the lumbar spine was significant for an L5-S1 herniation. As a result of the significant findings in her cervical spine, our client underwent a series of epidural steroid injections in the neck, which were followed up by radiofrequency ablations.

Once the medical treatment plateaued, our firm sent a comprehensive demand package, containing all the medical records and bills, to the defendant’s insurance company along with a demand that they tender their $100,000 policy limits. The defendant’s insurance company made several offers to our firm that were below the policy limits, but we stood fast and the insurance company conceded to our position and tendered the limits.

The next step was to send a demand to the client’s underinsured insurance carrier requiring that they tender their $100,000 policy limits as well. The client’s insurance carrier did not readily tender their limits, so we filed a lawsuit against them. With the case now in litigation, our firm was able to maintain constant pressure on them to settle, and the client’s insurance carrier ultimately tendered their limits shortly before we were to start taking depositions. Our client was pleased with the result and was very happy to avoid further litigation.

Handling Bad Faith Claims

While most insurance companies aim to settle claims fairly, there are times when insurers act in bad faith by refusing to settle claims, offering lowball settlements, or delaying payouts. When an insurer refuses to offer a fair settlement, it’s possible to sue them for bad faith.

For UM/UIM claims, you may even be able to collect more than the policy limits if your insurance company refuses to settle. This process involves filing a Civil Remedies Notice (CRN) with the insurance company, which gives them a 60-day period to settle the case fairly. If the insurer doesn’t act, you could file a separate lawsuit for bad faith.

Common Misconceptions About Uninsured and Underinsured Motorist Coverage

Many drivers are unaware of the significance of UM and UIM coverage, and often misconceptions can lead to dangerous gaps in protection:

  1. “I don’t need UM/UIM coverage because my state requires bodily injury insurance”
    Even if bodily injury insurance is required, it doesn’t guarantee that the other driver will have enough coverage to pay for your medical bills and other damages.
  2. “I already have full coverage”
    Often, when people say they have full coverage, they mean they have the legally required insurance but may not have UM or UIM coverage at all. This is why it’s essential to confirm that these coverages are in place.
  3. “If the other driver has insurance, I don’t need UM/UIM”
    This overlooks the fact that many drivers only carry the minimum coverage required by law, which may be insufficient to cover major accidents. UM/UIM coverage will make up for the difference if their insurance isn’t enough.

What to Expect When Filing a Claim

The claim process for UM/UIM is generally similar to a regular insurance claim, but there are a few differences. Most notably, you are filing a claim with your own insurance company rather than the at-fault driver’s insurer.

When filing for a UM or UIM settlement, you’ll need to prove the extent of your injuries, which may include medical reports, treatment history, and expert testimony. The insurer will evaluate the claim based on the medical evidence provided, and settlements often reflect the severity of the injury, the cost of future medical care, and the overall impact on the claimant’s life.

It’s important to consult with an experienced uninsured motorist claims lawyer when handling these claims. They can guide you through the process and ensure that all evidence is presented properly to maximize your settlement.

Protect Yourself with UM/UIM Coverage – Contact Us Today!

Accidents can happen anytime, whether you’re driving through busy city streets or peaceful rural highways. To ensure you’re fully protected, make sure you have the right uninsured and underinsured motorist coverage. This coverage provides peace of mind, knowing your insurance will help cover damages when you’re involved in an accident with a driver who lacks sufficient insurance.

At Abrahamson & Uiterwyk, we understand how crucial it is to have adequate coverage. If you’ve been involved in an accident or need help reviewing your policy, don’t hesitate to contact us. Our experienced team is here to guide you through the process and ensure you’re financially protected. Reach out to a Tampa uninsured motorist lawyer today for a consultation and secure your future with the right UM/UIM coverage.