Stacked UM Auto Insurance is an Important Benefit for Florida Drivers
Politically, socially, and economically, the United States is in a state of constant flux. Health care is evolving; politicians come and go; and technology progresses almost in the blink of an eye. What have remained constant, however, are car accidents, particularly in Florida, which has the third-highest traffic fatality rate in the country. Drivers in the Tampa Bay, Florida area must be ever vigilant for potential perils on the open road, but if an accident does happen, auto insurance is a welcome respite for both parties involved.
Unfortunately, many Floridians are likely to be involved in an auto accident where the wrongful driver is either underinsured or totally uninsured. It is therefore critical for each driver in the State of Florida to purchase uninsured/underinsured insurance (UM) coverage. UM coverage is designed to bridge the gap created by bodily injury and property damage costs not covered by personal injury protection (PIP) and the wrongful driver’s insurance, if any.
Due in large part to the recent economic recession, the rate of uninsured drivers in the entire United States has spiked to 13.8%, meaning that 1 in 7 drivers currently has no auto insurance, according to USA Today. In Florida, the rate is a shocking 24%–nearly 1 in 4 drivers. Additionally, Progressive Insurance estimates that many drivers only carry the minimum legal limit for auto insurance, which is unlikely to cover the full cost of damages to you or your car.
UM coverage may also be limited and distributed in several different ways according to your own preference. For example, the limit may be divided such that the first number is the maximum payout per person and the second number is the maximum payout per accident. Alternatively, there may be a single limit where the insurance company would only pay the amount selected by the policyholder, regardless of the situation.
Also, it is imperative for drivers to opt for “stacking” uninsured driver coverage. The concept of stacking allows policyholders to multiply the coverage they receive by the number of vehicles listed in their individual policy. In short, stacked UM policies offer better coverage than single UM ones. The stacked form of UM also responds at all times, while the single form may not always respond in certain situations. Additionally, non-stacked UM may contain provisions that restrict certain forms of coverage such as bodily injury, whereas stacked coverage responds to those needs. Section 626.727, Fla. Stat. (2012) requires all auto insurers to provide stacked UM insurance unless the insured signs a form waiving this important coverage.
If you are uncertain about the various forms of stacked UM coverage available and the implications of waiving stacked UM coverage, it is critical to consult an experienced injury attorney. In the midst of the various uncertainties and hazards on our roads, there are factors within your control to protect you to the fullest extent, such as purchasing stacked UM auto insurance.