by Dottie Cooper

Created on: December 30, 2008   Last Updated: February 08, 2012

It isn't uncommon to hear of motorcyclists being involved in accidents. Unfortunately, the occurrence of accidents involving motorcyclists is on the rise as more distracted driving on the part of vehicle operators increases. More often than not, it is another vehicle that is responsible for accidents involving bikers. With the economy in dire straits, many people are cutting corners wherever possible to save money, including car insurancewhich means more uninsured and underinsured drivers on the road. All states require insurance companies to offer optional uninsured (UM) and underinsured (UIM) coverage that protects you and/or your passenger from drivers who don't have insurance or who are inadequately covered to pay your expenses should an accident occur. It is absolutely critical that motorcyclists give serious consideration to the insurance coverage they carry to be certain that they (and their families) are completely covered should the unthinkable happen. For as little as $3 a month, you can add UM/UIM coverage to your insurance policy. What do these coverages mean?

Uninsured motorist coverage (UM) will pay for your medical costs and property damage that should have been covered by the at-fault vehicle driver. The maximum payment is set at whatever your individual limits are on your own policy. Many motorcyclists carry the minimum of coverage, forgetting that motorcycle drivers are more likely to be seriously injured in an accident when riding their bike than those traveling in a car.

Underinsured motorist coverage (UIM) will cover medical costs only and any collision rider you have on your policy would cover the property damage. Check with your insurance carrier to determine how the property damage with an
underinsured motorist appliesstates have different rules. UIM
coverage pays a maximum of the difference between the at-fault driver's policy and your maximum UIM limits.

Some states allow insurance carriers to have Uninsured/Underinsured Motorist Property Damage (UMPD) in place of collision coveragecheck with your insurance agent.

The important thing to remember is that UM/UIM coverage will only go up to the limits that you have for bodily injury and liability. In North Carolina, the minimum coverage for any motorist is $30,000 for bodily injury per person up to $60,000 per incident, and minimum property damage coverage of $25,000.

So if you happen to be at a red light and another vehicle with an uninsured driver bumps you, causes your bike to fall over on on you, breaks both an arm and a leg requiring surgery and costing $22,000 in medical bills, incurs a few thousand in damage to your bike, makes you unable to work for several weeks, are you covered? Under the North Carolina minimums, you would likely be covered for medical bills and property damage, but lost wages may be unrecoverable because the bodily injury limit will have been exhausted by the medical bills.

A split second can change your life and financial outlook forever. A serious injury could easily exceed the minimum coverage in a matter of hours. What about lost wages? How will the mortgage get paid? Other bills? If an injury puts you out of work, you may quickly end up without a paycheck. Increasing UM/UIM coverage will ensure that you are able to continue providing for your family while you are recovering.

The bottom line is this: purchase as much UM/UIM insurance coverage as you can afford. While seeing, say a $60 increase over the course of a six-month premium can seem financially burdensome, is it worth $10 (or less) a month to ensure that you are protected? Yes, people are cutting financial corners everywhere to make ends meet. Don't let uninsured/underinsured
coverage be one of those cuts.

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