Uninsured Motorist (UM) is a coverage that you are able to waive in the state of Colorado. The coverage is so important, however, you legally must sign a document if you reject the coverage. Much like auto policies, umbrella policies can either cover UM or they may not cover UM. Consumers can be confused by this, because their auto insurance also has uninsured motorist coverage. The UM on an umbrella policy is above and beyond the UM on your auto policy.
I strongly believe you should carry uninsured motorist on your umbrella. The coverage is inexpensive and is one of the benefits of carrying high liability limits. I believe in it so much, I personally carry the maximum amount offered, which is over $1,000,000. My family would suffer a significant hardship if I were killed or permanently disable by another driver, because of this, I carry the maximum limits.
Uninsured Motorist coverage can cover expenses such as medical costs, pain and suffering and lost wages. Statistics show that as many as 25% of Colorado drivers are uninsured or are carrying the state minimum amount of insurance ($25,000)! You don’t have to be a genius to know $25,000 can be as little as a days stay in a hospital.
The difference for me to carry $1,000,000 or $2,000,000 in uninsured motorist is less than $100 a year. In my opinion, every wage earner should carry $2,000,000 in uninsured motorist. Contact me today to see how inexpensive this can be!