Uninsured motorist coverage protects you if you are in an automobile accident with a vehicle that has no insurance coverage. This can occur if an owner did not pay insurance premiums, if a car is stolen, or in a “hit and run” accident. In an uninsured motorist situation you can recover monetary damage for your pain and suffering from your own automobile insurance company, even if you are a pedestrian or riding a bicycle. Uninsured motorist coverage will not pay for property damage to your vehicle so if you do not have collision coverage, you may have to repair your car yourself or junk it without compensation. Also, if you are not covered for uninsured motorist coverage by a car insurance policy, you may be eligible to receive uninsured motorist benefits from a New York State agency, known as MVAIC – Motor Vehicle Accident Indemnification Corporation.
Underinsured motorist coverage is optional automobile insurance coverage for which you pay an extra instance premium. This coverage applies if you are injured by a vehicle with insurance policy coverage limits that are less than the limits of your own underinsured motorist coverage. After the other vehicle’s insurance company pays you its policy limits, you can recover additional money from your own automobile insurance policy.