When you shopped for automobile insurance, you probably didn’t hear anyone recommend that you should buy additional Supplemental Uninsured/Underinsured Motorist coverage. You probably didn’t hear anyone make this recommendation because insurance agents want you to buy an insurance policy from them, not their competition. Consequently, insurance agents have an interest in providing you with the lowest automobile insurance quotes possible. These dynamics often result in a situation where you, as a driver in New York State, have insurance that fails to match your need for insurance.
Supplemental Uninsured/Underinsured Motorist, also known as SUM coverage, is coverage your insurance carrier provides to you in the event you are in a motor vehicle accident caused by another driver who either has no insurance or who has very little insurance. In New York, drivers can carry as little as $25,000 in insurance coverage. If you were to be injured by a driver with no or little insurance, your insurance carrier will provide coverage based on the level of your SUM coverage. The SUM coverage may cover up to the difference in damages between the at fault driver’s insurance coverage and the value of your SUM policy limits.
For example, if you have $100,000 in SUM coverage and are injured by a driver with $25,000 in coverage, you are eligible to receive up to $75,000 from your SUM coverage ($100,000 – $25,000 = $75,000).
Not only could this coverage provide necessary funding for you at a difficult time in your life, it can be very inexpensive. Please, see your insurance agent and find out whether you can afford additional SUM coverage.