What is “uninsured motorist coverage”?

Uninsured motorist coverage is designed to provide financial protection to policyholders who are involved in accidents where the at-fault driver does not have insurance. This type of coverage allows the insured to claim benefits for medical expenses, lost wages, and other damages resulting from the accident, effectively filling the gap when the responsible party lacks coverage.

This coverage is particularly important as it ensures that individuals are not left without recourse for recovery when another driver’s lack of insurance creates a financial burden and potentially significant medical costs. By having uninsured motorist coverage, drivers can have peace of mind knowing that they are protected against the financial consequences of being in an accident with an uninsured driver.

The other options represent different types of coverage or contexts that do not accurately define uninsured motorist coverage. For instance, while hit-and-run accidents may sometimes be covered under uninsured motorist coverage, this doesn't encompass its broader function. Liability coverage pertains to the insured's responsibility for damages to others and does not include coverage for injuries sustained by the policyholder. Finally, insurance applying only in designated areas would not describe the nature of uninsured motorist coverage, which typically applies broadly under the terms of the policy regardless of geographical location.