Uninsured and underinsured motorist coverage, or UM/UIM coverage, offers financial protection when you suffer injuries in an accident with a driver who doesn’t carry enough insurance to cover your damages. It will also cover you if you’re involved in a hit-and-run. This coverage acts as a financial safety net, offering you security after you’ve been in a crash.
How Does a Virginia Auto Accident Affect Insurance Premiums?
Insurers are only allowed to increase your car insurance premiums if you were at fault in an accident, according to Virginia Code section 38.2-1905. If you were partially or entirely at fault in an accident, insurers are allowed to raise your rates due to the higher perceived risk of insuring you.
By contrast, car insurance companies are prohibited from increasing premiums due to an uninsured or underinsured motorist claim. Why? This form of insurance covers injuries to you, your family members, and the occupants of your vehicle in the event of an accident that isn’t your fault. Therefore, if you’ve been hurt in an accident caused by someone with insufficient or no insurance, it should not affect your own insurance premiums.
What To Do if Your Car Insurance Rates Increase After a UM Claim
If you’re a Virginia policyholder and believe your car insurance rate was unfairly increased after a UM/UIM claim, you should file a complaint with the Virginia Insurance Commission. The commission will investigate, but it may take some time. Our attorneys can help you gather evidence and file your complaint.
Read more: Dealing with Auto Insurance Companies
Recent Law Change in Virginia
Virginia has long been one of the few states in the country that does not require drivers to carry car insurance. Instead, drivers could choose to pay a yearly uninsured motor vehicle fee. However, that changed on July 1, 2024, after a bill was approved in the 2023 legislative session requiring Virginia drivers to buy insurance meeting the state’s minimum liability coverage requirements.
Additionally, these minimum coverage limits will nearly double on January 1, 2025. This law is meant to ensure that Virginia road users have adequate coverage in the event of an accident. UM/UIM claims will still be available to provide coverage when drivers do not comply with the law.
Importance of UM/UIM Coverage
Uninsured and underinsured motorist insurance provides funds to cover your medical expenses and other damages after an accident with a driver who has insufficient or non-existent auto liability coverage. Again, UM/UIM claims should not affect your insurance rates if you did not cause the accident.
If you aren’t sure how high your UM/UIM coverage limits are, call your insurer to inquire. Alternatively, reach out to our skilled attorneys so they can help you review your policy documents.
If you decide you would like more coverage, you are allowed to increase your limits in the middle of a policy term. In most cases, you don’t have to wait for renewal.
How Much Can I Get from a UM/UIM Claim?
The amount of money you can get from an uninsured or underinsured motorist claim depends on your policy limits and how much you’ll need to cover your damages. If you choose higher UM/UIM limits in your policy, you’ll have more funds available to you in the event of a crash with an at-fault uninsured or underinsured motorist, and your potential compensation for a claim will be higher.
Minimum Coverage Limits in Virginia
Currently, Virginia’s minimum auto liability coverage limits are set at $30,000 for bodily injury and death per person and $60,000 for bodily injury and death per accident. There’s also a $20,000 minimum coverage limit for property damage per accident. By law, insurers must provide UM/UIM coverage equal to these liability limits unless rejected by the policyholder in writing.
However, beginning on January 1, 2025, these lower limits will increase, with the new minimum for one person being $50,000, the minimum for two or more people being $100,000, and the minimum for property damage being $25,000.
Financial Impact of Inadequate Coverage
In a moderate to severe car crash in which you or someone in your car gets hurt, compensable damages can quickly go over the minimum coverage limits. These damages may include the cost of emergency care, physical therapy, scans like MRIs, prescriptions, hospital stays, and follow-up appointments. They can also include things like lost wages, pain, and suffering. Obtaining the highest level of UM/UIM coverage possible gives you the best chance of covering your full damages in case of a serious accident with an underinsured driver.
Contact the Car Crash Experts At Cooper Hurley Injury Lawyers Today
Filing a UM/UIM claim with the help of a personal injury attorney can increase the amount of compensation you get for your medical bills, lost wages, pain, suffering, and more. With more than 120 years of combined experience, the car accident attorneys at Cooper Hurley Injury Lawyers have obtained tens of millions in high-value case results for thousands of car crash clients.
Our legal team is committed to helping injured people navigate the legal system. When it comes to Virginia car accidents and auto insurance law, we are The Car Crash Experts. Contact our knowledgeable and compassionate attorneys today for a free, no-obligation consultation by calling (757) 333-3333 or filling out our online contact form. We are standing by to answer your questions and make sure you know your rights.
