Uninsured Driver Accidents: What Every Colorado Resident Needs to Know
The sound of the crash is just the beginning. In the chaotic moments that follow, you learn the at-fault driver doesn’t have insurance, and a wave of panic sets in. Who will pay for your medical bills? Who will fix your car? It feels like you’ve been left with no options, but that is not the case.
In Colorado, there is a specific safety net for this exact situation, but it’s one you must have in place before an accident happens. Understanding your own insurance policy is the key to protecting yourself from the reckless choices of an uninsured or underinsured driver.
The Shocking Statistics on Uninsured Drivers
First, it’s important to understand the scale of the problem. The Insurance Research Council estimates that about one in eight drivers in the United States is uninsured. In Colorado, that number is even higher, with some studies suggesting that nearly 17% of drivers on our roads have no insurance. This means that in any given traffic jam, there’s a significant chance the driver next to you cannot cover the damages they might cause. When they cause a serious car accident, the financial burden falls directly on the shoulders of the responsible, insured victim.
Your Financial Shield: Uninsured/Underinsured Motorist (UM/UIM) Coverage
This is the single most important part of your auto insurance policy for this scenario. Uninsured/Underinsured Motorist (UM/UIM) coverage is an optional but essential protection you purchase from your own insurance company.
- Uninsured Motorist (UM) Coverage: This applies when the at-fault driver has no liability insurance at all.
- Underinsured Motorist (UIM) Coverage: This applies when the at-fault driver has insurance, but their policy limits are too low to cover the full extent of your medical bills and other damages.
Essentially, with UM/UIM coverage, your own insurance company steps into the shoes of the at-fault driver’s absent insurance and pays for your damages, including medical expenses, lost wages, and pain and suffering, up to the limits of your policy.
Navigating the UM/UIM Claim Process
While it may seem straightforward, making a UM/UIM claim with your own insurance company can be surprisingly difficult. You might assume that since you are their loyal customer, they will make the process easy. Unfortunately, this is often not the case.
Your insurer’s goal is still to minimize their payout. They may dispute the severity of your injuries, question the necessity of your medical treatment, or argue about the value of your claim. You are now in an adversarial relationship with your own insurance company, and they will require you to prove every aspect of your case just as you would with an at-fault driver’s insurer. This is why having an experienced attorney on your side is so critical.
What to Do After an Accident with an Uninsured Driver
- Call the Police: A police report is crucial for documenting that the other driver was uninsured and officially establishing the facts of the accident.
- Gather Information: Get the driver’s name, contact information, and license plate number. Use your phone to take pictures of their driver’s license and the scene of the accident.
- Seek Medical Attention: Your health is the priority. Get checked out by a doctor, even if you feel fine. Some serious injuries may not be immediately apparent.
- Notify Your Insurance Company: Inform them about the accident and that the other driver was uninsured, but do not give a recorded statement or accept a quick settlement offer without legal advice.
- Consult with an Attorney: An attorney can handle all communication with your insurance company, build a comprehensive claim on your behalf, and fight to ensure you receive the full compensation you are entitled to under your policy. [Link the phrase “Consult with an Attorney” to your main contact or homepage]
Protecting your rights after being hit by an uninsured driver is a complex legal challenge. You don’t have to navigate it alone.
Frequently Asked Questions
What if the uninsured driver gives me false information?
This is unfortunately common. A driver might provide a fake name or an old insurance card. This is another reason a police report is so vital. The police can verify the driver’s identity and insurance status. If the driver leaves the scene, it becomes a hit-and-run, which is also typically covered under UM/UIM policies.
Will my insurance rates go up if I file a UM/UIM claim?
Under Colorado law, an insurance company is prohibited from raising your premiums for a not-at-fault accident, which includes a UM/UIM claim. You have been paying for this specific coverage, and you are entitled to use it without being penalized when another driver is the one who caused the accident.
What is the minimum amount of UM/UIM coverage I should have?
While Colorado law requires insurance companies to offer you UM/UIM coverage, you can technically reject it in writing. This is a significant risk. We strongly recommend carrying UM/UIM limits that are at least equal to your own liability coverage. Your liability coverage protects others from your negligence; your UM/UIM coverage protects you from others’ negligence.
Does UM/UIM coverage pay for damage to my car?
This depends on your specific policy. Standard UM/UIM coverage is for bodily injuries. To cover vehicle damage from an uninsured driver, you would need either Collision coverage or a specific Uninsured Motorist Property Damage (UMPD) policy. Collision is more common and covers damage to your car regardless of who is at fault.
What happens if my UM/UIM claim is denied?
If your own insurer denies your valid UM/UIM claim or refuses to pay a fair settlement, they may be acting in “bad faith.” Colorado has strong insurance bad faith laws that allow you to sue the insurance company for not only the benefits you were owed but also for additional damages and attorney’s fees.
