What About Uninsured Motorist Coverage? Should I elect or reject coverage?

If you or a resident relative are involved in an accident with an uninsured driver and you or the relative (and even passengers in your vehicle) are injured, who will pay for the medical expenses, lost wages, emotional distress or pain and suffering sustained due to the accident? The other driver may not have insurance or may have low bodily injury liability limits. Some protection will be available with Personal Injury Protection coverage on your automobile policy for you and your resident relative, but PIP coverage is typically $10,000.

What if the medical bills and expenses are close to $100,000 each? If you elect to carry Uninsured Motorist bodily injury coverage, there would be coverage available up to the selected limit.

Total rejection of uninsured motorist coverage can lead to a worst-case scenario that no one wants to experience: no coverage. You, your resident relative, or a passenger in your vehicle, then has to pay out of pocket for their expenses. Even if all injured parties have health insurance, there could be expenses not covered by health insurance. Examples include lost wages, emotional distress and pain and suffering.

Not long ago, Florida ranked 1st for the highest percentage of uninsured motorists. That’s a startling statistic – and yet another reason to reconsider adding or stacking uninsured motorist coverage to your policy.

We suggest you elect the same limits of uninsured motorist coverage for all insurance policies, you should check for gaps in coverage. If your auto policy has 250/500 and your motorcycle policy has 100/300, you are not getting the same coverage from one policy to the next.

Stacked or Non-Stacked Uninsured Motorist coverage: What’s the difference?

Let’s picture uninsured motorist coverage as buckets filled with insurance protection. Each vehicle on a policy has a bucket of coverage. Each bucket contains uninsured motorist bodily injury coverage of 100/300 ($100,000 per person/$300,000 per accident) and there are three vehicles on the policy.

There would be three buckets, one for each vehicle, filled with 100/300 limits.

If the automobile policy has non-stacked uninsured motorist coverage, each vehicle has 100/300 coverage available for each vehicle individually. If the policy holder or a covered resident relative are injured by an uninsured driver, there is only the one bucket of coverage available for the vehicle involved in the accident.

Now, use this same example but change the coverage to stacked uninsured motorist. All buckets of coverage are stacked together to give three times the amount of coverage to the one car involved in the accident. Therefore, the available coverage would be 300/900.

Please keep in mind that the stacked limit will change if the number of vehicles on the automobile policy changes. Let’s say you delete a vehicle – then the maximum limit would change to 200/600 because there are two vehicles on the policy.

Stacking uninsured motorist coverage, selecting coverage limits, or rejecting coverage completely, is a personal decision. We recommend our clients consider stacked limits.

The sun is shining, the flowers are in bloom, and it’s time to back the RV, dirt bike, golf cart or ATV out of the garage. Spring is prime time to purchase Florida sporting vehicle (also called specialty vehicle) insurance. Before you head out for adventure, opt for the safety net insurance provides.

Not sure where to begin or whether a policy is necessary? Here are some details to consider:

Insurance for Golf Carts

Zipping through neighborhoods on a golf cart is one of the highlights of being a Floridian. However, that Caddyshack-themed cart absolutely needs to be insured if it meets the following criteria: Use of said cart could cause damage to another person or that person’s property. Your homeowners’ policy may extend liability while it’s on your “insured location,” however, unless you expect to keep it in the garage indefinitely, you are likely going to need to add a golf cart policy with your Florida homeowners insurance.

On another note, if the cart is “street legal,” don’t forget a license plate. An auto policy (including personal injury protection) is required by law as well.

Recreational Vehicles

Driving a recreational vehicle (also known as RV or travel tank) is in itself a huge accomplishment: there’s just so much more to keep inside the lane lines than a standard automobile chassis. Why add any additional worry to a travel itinerary? From backing into your favorite camping site to unexpected storm damage, it’s smart to fully insure your Florida motorhome against collision, theft, bodily injury, and fire. A good RV insurance policy won’t give you the ability to drive straighter – but it will offer peace of mind as a buffer against other hazards.

Dirt Bikes and ATVs

For drivers of dirt bikes and ATVs, insurance is more than a securely fitted helmet. We know you understand this, but we’ll say it again: these vehicles can be dangerous. Insuring them just makes sense. The amount of coverage is up for discussion, but some protection is imperative. With offerings of collision, property damage, bodily injury, comprehensive, medical payments and uninsured motorist protection, you can choose the plan that works best for you and your family.

And yes, you should still wear a helmet.

Sporting Vehicle Insurance Coverage Types

You’ve heard most of these terms before during your quest for automobile coverage, but here’s a quick reminder of what insurance covers for sporting vehicles. These are all aspects of sporting vehicle insurance that can be personalized and bundled to fit your needs.

Collision. Reimburses you for damage sustained to your personal automobile, if you cause an accident.

Property Damage Liability. Covers you for any financial liability that occurs should you be involved in an accident and cause damage to someone else’s property.

Comprehensive Physical Damage. This general term includes collision insurance as well as your choice of full comprehensive insurance or the more limited fire and theft with combined additional coverage (CAC) insurance.

Liability. Protects you from the risks of liabilities imposed by lawsuits and similar claims.

Personal Injury Protection (PIP). An extension of car insurance that covers medical expenses and, in many cases, lost wages.

Uninsured/Underinsured Motorist. Protects you if you’re in an accident with an at-fault driver who doesn’t carry liability insurance or whose liability limits are too low to cover the damage or medical expenses

Medical Payments Coverage. Pays medical expenses for you and/or your passengers if you’re injured in a car accident, regardless of who caused the accident.

Towing. Pays the cost of towing your vehicle to a repair shop when it is unable to be driven and covers a specified amount of necessary labor charges at the place of the breakdown.

Gap. Protects against losses that can arise when the amount of compensation received from a total loss does not fully cover the amount you owe on the vehicle’s financing or lease agreement.

Go forth this spring and enjoy those specialty vehicles. With the right insurance coverage in place, you’ll feel the freedom to let loose. To discuss the best plan for your favorite toys, contact one of our W3 agents today.

The news media would have you believe that gas guzzlers are ‘out’ and tiny hybrids are ‘in,’ and it would stand to reason that Florida auto insurance premiums should plummet as a result. At least, that’s what plenty of eco-conscious consumers would have you believe. However, before you head to the car lot to pick the tiniest, most fuel efficient vehicle available, read this article. The size and efficiency of a car does not necessarily indicate cost savings – nor does it automatically lead to life saving.

 This holds true because:

• There’s a reason the saying That car is built like a tank applies to mammoth vehicles. A smaller, lighter car is likely to offer less protection to those within – and that means more potential damage in a crash situation. It’s simply an issue of weight and inertia. The more steel surrounding passengers, the heavier the vehicle will be.
• Sure, it takes less gas to power that hybrid vehicle. That’s a win for the environment, no question. Just don’t expect your bank account to necessarily reflect your altruism. Smaller cars are more likely to require higher premiums, and that can outweigh any savings you may enjoy in gasoline costs. Why the higher premium? Reference the first bullet point. Small cars are not often built like tanks. They crumble more readily in many crash situations. Anyone who has witnessed a fender-bender involving a small car versus a large one can attest to this.
• Money-wise, that tiny car may not help on the insurance savings side. Your driving record and insurance score have a significant effect on your premium. Safe driver? Holder of good credit? There’s a great likelihood your premium will reflect these above and beyond the actual type of car you choose, though one widely known to be safe won’t hurt the cause.
• The meaning of ‘saving’ is twofold. Save money – and save yourself and your passengers from injury. Regardless of the type of vehicle you choose to drive, check the safety rating of the vehicle before you sign on the dotted line. It’s wonderful to save the Earth and the money you’ve worked hard to collect. It’s even more important to save those whom you transport on four wheels.

It’s common for consumers to just visit a dealership and choose an automobile at the right price that looks safe and snazzy. Resist the temptation. Go ahead and take a step back in the car purchasing process and inquire about auto insurance. An experienced advisor at W3 Insurance will help you factor the cost of Florida auto insurance into your overall budget, giving you a clearer picture whether that vehicle is right for you.

For those small car aficionados out there: Do your research and find peace of mind before the purchase. Select a vehicle with high-rated safety capabilities.  A recent article featured in the U.S. News and World Report highlights some of the best small cars in terms of safety. Read it here: https://cars.usnews.com/cars-trucks/safest-small-cars

More than 40,000 people were killed in motor vehicle accidents in 2017, and distracted driving was a major cause. According to the National Safety Council, distracted drivers cause a death every 15 minutes. The repercussions of these tragedies are real for the workplace. A death of an employee can spur productivity loss, increase claims (whether workman’s comp or group health insurance), incur possible litigation for the employer, heighten stress and cause morale issues.

Safety shouldn’t end at the office – the most dangerous environment is out on the road. Participate in Distracted Driver Awareness Month. Create an employee awareness campaign and institute clear workplace policies regarding cell phone usage. If no policy exists, such use may be viewed as an acceptable practice. Remember: a distracted driver is four times more likely to crash.* Make it company policy that employees put down the phone while driving.

NSC offers infographics, posters, fact sheets and a number of social media-friendly initiatives:

• https://injuryfacts.nsc.org/motor-vehicle/overview/introduction/

Stacking uninsured motorist coverage, selecting coverage limits or rejecting coverage completely is a personal decision, but we recommend our clients consider stacked limits. Read the information below for more details on Uninsured Motorist insurance coverage.

What about uninsured motorist coverage? Should I elect or reject coverage?

If you or a resident relative are involved in an accident with an uninsured driver and you or the relative (and even passengers in your vehicle) are injured, who will pay for the medical expenses, lost wages, emotional distress or pain and suffering sustained due to the accident? The other driver may not have insurance or may have low bodily injury liability limits. Some protection will be available with Personal Injury Protection coverage on your automobile policy for you and your resident relative, but PIP coverage is typically $10,000.

What if the medical bills and expenses are close to $100,000 each? If you elect to carry Uninsured Motorist bodily injury coverage, there would be coverage available up to the selected limit.

Total rejection of uninsured motorist coverage can lead to a worst-case scenario that no one wants to experience: no coverage. You, your resident relative or a passenger in your vehicle then has to pay out of pocket for their expenses. Even if all injured parties have health insurance, there could be expenses not covered by health insurance. Examples include lost wages, emotional distress and pain and suffering.

Not long ago, Florida ranked 1^st for the highest percentage of uninsured motorists.  That’s a startling statistic – and yet another reason to reconsider adding or stacking uninsured motorist coverage to your policy.

Keep in mind that to elect the same limits of uninsured motorist coverage for all insurance policies, you should check for gaps in coverage. If your auto policy has 250/500 and your motorcycle policy has 100/300, you are not getting the same coverage from one policy to the next.

Stacked or Non-Stacked Uninsured Motorist coverage: What’s the difference?

Let’s picture uninsured motorist coverage as buckets filled with insurance protection. Each vehicle on a policy has a bucket of coverage. Each bucket contains uninsured motorist bodily injury coverage of 100/300 ($100,000 per person/$300,000 per accident) and there are three vehicles on the policy.

There would be three buckets, one for each vehicle, filled with 100/300 limits.

If the automobile policy has non-stacked uninsured motorist coverage, each vehicle has 100/300 coverage available for each vehicle individually. If the policy holder or a covered resident relative are injured by an uninsured driver, there is only the one bucket of coverage available for the vehicle involved in the accident.

Now, use this same example but change the coverage to stacked uninsured motorist. All buckets of coverage are stacked together to give three times the amount of coverage to the one car involved in the accident. Therefore, the available coverage would be 300/900.

Please keep in mind that the stacked limit will change if the number of vehicles on the automobile policy changes. Let’s say you delete a vehicle – then the maximum limit would change to 200/600 because there are two vehicles on the policy.

The bottom line is this: don’t depend on other drivers to ‘do the right thing’ and opt for coverage. It’s up to you to protect yourself and those you love in a sufficient manner.

A quote for this important coverage is simply a quick phone call to us.  Call today to speak with an experienced member of our team.

 

Postscript: This blog post was inspired by a client query regarding stacked versus non-stacked coverage. We hope you find our description as helpful as she did. Her response is below:

Thank you so much for this detailed email….Thanks for putting it into laymen’s terms so I can understand.  Your help is very much appreciated. 

-Carol Dettman-Smith

 

For more information detailing the benefits of stacked versus non-stacked insurance and to inquire about policy options, contact a W3 agent today at 727-522-7777.