Uninsured / Underinsured Accidents
Despite the fact that Colorado law requires every automobile owner in Colorado to have insurance on their vehicle, many drivers who cause accidents in Colorado do not have car insurance and are therefore "uninsured motorists" (UM). In other cases, the driver who causes an accident may be insured but may not have enough insurance coverage to pay for all of your injuries caused in the accident and therefore is considered an "underinsured motorist" (UIM).
What is UM/UIM Insurance?
If the at-fault driver does not have insurance, or does not have enough insurance, the attorneys at The Law Firm of William Babich, LLC, will investigate whether your own automobile insurance policy will provide compensation for your accident related injuries and losses. Insurance companies selling automobile insurance in Colorado are required to offer Uninsured/Underinsured Motorist (UM/UIM) insurance as part of every policy sold in Colorado, unless this coverage is specifically refused by you in writing. UM/UIM coverage is a separate coverage under your own insurance policy that protects you, your passengers, or any resident relative, if injured in an accident caused by an uninsured or under-insured driver, even if the car was not involved in the accident. If you have UM/UIM coverage under your car policy, it will even cover you if you are a pedestrian hit by another driver with inadequate or no insurance.
Will my rates go up?
Some people are reluctant to make a claim for uninsured and underinsured benefits against their own insurance policy because they are afraid their insurance rates will go up. It is important to know that under Colorado law, an automobile insurance company cannot raise your insurance rates because you make a claim for uninsured or underinsured motorist benefits.
How do I get UM/UIM coverage?
It is extremely important to carefully examine the language of your insurance policy to make certain that nothing is done that violates the terms of the insurance policy or jeopardize your right to receive coverage. For example, if you are making a claim for underinsured motorist benefits, most insurance policies issued in Colorado require that you obtain permission from your own insurance company before accepting any settlement with the at-fault driver's insurance company. This restriction means that if you settle with the at-fault driver without first obtaining permission to do so from your own insurance company, you will not be allowed to make an underinsured motorist claim with your own insurance company. There are several other steps that you must take in order to be entitled to these benefits. The Law Firm of William Babich, LLC, will make sure that all the necessary steps and procedures are followed so that your claim is not denied.
What if my insurance company won't pay?
If your insurance claim is unreasonably denied, The Law Firm of William Babich, LLC, also represents clients against insurance companies for insurance bad faith and unreasonable delay or denial of UM/UIM benefits.
The Law Firm of William Babich, LLC, is constantly researching, reviewing, and even helping to make new laws concerning auto insurance contracts and uninsured / underinsured motorist insurance policies. The Law Firm of William Babich, LLC, can advise you with regard to the latest developments in the law. Call today for a free consultation.