Underinsured motorist
Coverage that fills the gap when the other driver had insurance, but not enough.
It is the answer to the most common coverage problem there is — a serious injury and a minimum-limits policy. This is general information, not legal advice.
What it means
Underinsured motorist coverage sits on your own policy and responds when the at-fault driver's limits are exhausted and your losses exceed them.
In California the coverage is not additive in the way people expect. The amount available is generally the difference between your own underinsured limit and what was recovered from the at-fault driver — not the two added together.
Settling with the at-fault driver without telling your own insurer first can prejudice the claim. That sequence is a trap and it is easy to walk into.
Where this is dealt with properly
This entry is the short answer. These pages own the subject.
Common questions
- Can I settle with the other driver and then claim on my own policy?
- Only carefully, and with your own insurer notified first. Settling and releasing the at-fault driver without consent can compromise the underinsured claim entirely.
Start a case review call
On a case review call, I go through the facts with you: what happened, when, whether you were hurt, whether anyone represents you, and how to reach you. It is not legal advice, and I will not put a value on your claim.
Sources: Ins. Code, § 11580.2 (uninsured and underinsured motorist coverage).