Some people think it is smart to save money by taking "Liability-Only" insurance coverage on their vehicle. "It's tempting for some, but don't do it," said Evansville Personal Injury Lawyer Neil Chapman.
"The difference between liability-only policies versus a full coverage policy is not as much as most people think," Chapman said. "Sure, you may save $10 or $15 bucks per month, but it's a rip off if you become seriously injured in a car crash that wasn't your fault."
The reason, according to Chapman, is because drivers with a full coverage policy are protected when the at fault driver doesn't have enough liability to fully compensate.
Chapman said, "I call this special coverage 'U' coverage, because it's intended to protect you against uninsured drivers. With roughly 16% of Hoosiers driving uninsured according to the Insurance Research Council, this is not a trivial risk you take by driving without U coverage."
Automobile policies call it "UM" for Uninsured Motorist and "UIM" for Underinsured Motorist, which can be confusing.
"Basically these coverages allow you to collect additional monies from your own auto policy, after you collect the maximum possible from the at-fault motorist when his maximum isn't enough to fully compensate you for your injuries," Chapman said.