When you’re dealing with a personal injury accident, the two terms you will most likely hear the most are BI and UM. They answer the question, “Where is the money coming from?” It is the insurance policies that your attorney goes after to cover your medical expenses, lost wages, legal fees, pain and suffering, and funeral costs. It’s important to know the differences between BI and UM to understand your own insurance policies, to make sure you’re going to be covered properly in case of an accident, and to better understand your settlement offers.
BI- Bodily Injury
In an accident where there is an at-fault party, their insurance coverage has a plan called BI, which stands for bodily injury. Because it is apart of the insurance of the party who caused the accident, your attorney will go after them first for compensation. Every BI has a certain limit that cannot be surpassed and, depending on your total expenses regarding your case, you may be able to receive up to that limit in settlement.
For example, your car gets rear-ended and you have to seek serious medical attention due to a spinal injury and severe neck pain. Of course, hospital visits, chiropractors, and physical therapy bills will add up, and you deserve to be compensated for those expenses because the accident was not your fault. The BI protection of the driver who’s to blame will pay for the losses.
UM/UIM- Uninsured Motorist/Under-insured Motorist
UM coverage comes from your own insurance policy if you are the party who was the victim of an accident. There are a couple instances that arise when your attorney will pursue your UM protection to cover your losses:
- If the at-fault driver does not have liability insurance, hence “uninsured motorist”, your attorney will go after your UM coverage for compensation. ‘Hit and run’ cases are considered uninsured motorist instances because the at-fault driver and their insurance is unable to be tracked down.
- If the BI limits are not enough to cover your total medical bills and other bodily injury damages (under-insured motorist) and the limits are exhausted, your UM coverage can cover the remaining amount.
It is estimated that in Florida, more that 25% of drivers are uninsured, and in most states, it is not a requirement to possess UM protection, or even BI protection. So, it is extremely important to make sure your insurance policy includes UM coverage to ensure that you will always be financially protected in the event of any accident.
At the Law Office of Andrew G. Rosenberg, P.A, Andrew is dedicated to making sure you can get the settlement amount you deserve from the at-fault’s BI and, if needed, your policy’s UM.