Madison and her two friends Katie and Brittany were traveling on Route 6 heading towards the Casey Highway on their way to go shopping at the mall in Scranton. The weather was fine when they left Honesdale but a freezing drizzle started to fall and it made the road very slippery. As the girls started to go up the mountain Peter was coming in the opposite direction too fast for the conditions and slid into them. All three girls sustained serious injuries and, unfortunately, Peter only had minimum insurance coverage or $15,000.00.
The girls would seek legal representation, the results of which Peter’s insurance company through their attorney simply paid the $15,000.00 into the Court and would let the Court decide how that money would be divided up. Fortunately, Madison had underinsurance motorist coverage on her own policy which allowed an additional $100,000.00 in coverage to be divided up between the three girls. Once that money was divided up, both Katie and Brittany presuming they each had underinsurance protection on their own auto policies as well, could collect the additional monies on their respective policies.
With so many people driving without insurance or with bare minimum insurance, it is absolutely essential to make sure you have underinsurance motorist coverage on your own policy. This provides a pool of money to protect you in case you are in an accident with a grossly underinsured driver. The cost of this extra protection is nominal and is well worth it.
Disclaimer: The above article is for instructive purposes only and each case is fact sensitive. Consultation with an attorney should be obtained instead of reliance upon the legal issues discussed in this column.