StateCover Guide
Glossary

Uninsured motorist coverage (UM)

By Editorial team, last reviewed

Quick answer

Uninsured motorist (UM) coverage pays for your losses when you are hit by a driver who has no liability insurance. Depending on your state and policy, it can also apply to hit-and-run crashes.

How it works

California's insurance department explains that UM coverage comes in two parts:

  • Uninsured motorist bodily injury (UMBI) pays for injuries to you and anyone in your car when an uninsured driver hits you.
  • Uninsured motorist property damage (UMPD) pays for damage to your car when the uninsured driver is identified.

It matters because many drivers carry no insurance. The Insurance Research Council estimated that 15.4% of US drivers were uninsured in 2023.

Rules differ by state:

  • Offered and declined in writing. California requires insurers to offer UM when you buy liability coverage, and you must sign a waiver to decline it. Texas also requires insurers to offer UM/UIM coverage and lets you reject it only in writing.
  • Hit-and-run. In Texas, UM/UIM coverage pays for hit-and-run crashes, but only if you reported the crash to the police.
  • Deductibles. In Texas, you pay a deductible on uninsured/underinsured motorist claims.

Requirements vary from state to state, so check your state's rules before you decline it.

Sources

Last reviewed by the StateCover Guide editorial team. See our editorial policy. Spotted an error? Tell us.