You think your car insurance will protect you when someone hits you. You're probably wrong.
Most drivers in South Carolina carry only the minimum required coverage: $25,000. That's it. When you're lying in a hospital bed with mounting medical bills, that's all the protection the person who hit you has to offer.
Here's what $25,000 actually covers in today's medical landscape: not much.
The Brutal Math of Medical Bills
A single emergency room visit can easily cost $10,000 to $15,000. Add some tests, maybe an overnight stay, and you've blown through that entire $25,000 before you even get to surgery.
Surgery? That runs upwards of $100,000.
In South Carolina, you're responsible for paying your own medical expenses upfront. Then you can seek reimbursement from the at-fault driver's insurance. But if your bills exceed their coverage limits, you're stuck holding the bag.
Unless you have underinsured motorist coverage.
The Coverage Gap Nobody Talks About
Here's the reality: it's more likely than not that the person who hits you will only have minimum limits. Less than half of drivers carry more than the required $25,000.
Meanwhile, you can purchase liability coverage in increments of $100,000, $300,000, $500,000, even up to $1 million. The insurance industry knows $25,000 isn't realistic protection. They just don't advertise that fact.
This creates a massive vulnerability gap. You're a responsible driver, but you're surrounded by people carrying dangerously inadequate coverage.
Your Financial Safety Net
Underinsured motorist coverage fills this gap. When the at-fault driver doesn't carry enough liability insurance to make you whole, your own UIM coverage compensates you for the difference.
But there's a catch. The at-fault driver's liability insurance must pay their full amount first before your UIM kicks in.
This can create complications. What happens when that liability carrier tries to lowball the settlement or drags their feet? You might need legal pressure to get that first payout before UIM even becomes available.
If the at-fault driver's insurance carrier won't settle for a fair and reasonable amount, you need to speak with a knowledgeable attorney to hold them responsible.
How Much Protection Do You Need
The more UIM coverage, the better. The cost difference between $100,000 and $300,000 in UIM coverage typically isn't substantial, but it triples your protection.
Ask your car insurance carrier about the premium difference versus the amount of additional coverage. You'll likely be surprised at how affordable that extra protection becomes.
Many clients underestimate medical costs. They also fail to consider multiple passengers in their car or multiple vehicles in the collision. The more injured parties, the less each person receives from that limited $25,000 pot.
The Difficult Conversation
When clients discover their UIM limits are inadequate after they need them, it becomes a difficult conversation. Often, insurance represents the only feasible recourse for recovery.
You don't want to have that conversation. You want to have the coverage you need before you need it.
Since so many drivers carry only $25,000 of liability coverage and medical expenses run so high, it's incumbent upon any responsible driver to purchase UIM coverage to protect themselves and their vehicle's occupants.
Your Move
You can't control how much insurance the other driver carries. You can control how much protection you have when their coverage falls short.
Call your insurance carrier today. Ask about UIM coverage limits. Ask about the premium difference between your current coverage and higher limits.
The conversation takes five minutes. The protection lasts as long as you keep paying your premiums.
Your future self will thank you for making that call.
