Uninsured and Underinsured Motorist Coverage in Michigan

Uninsured motorist coverage and underinsured motorist coverage can address different gaps after a crash. UM generally concerns an uninsured at-fault driver; UIM concerns an at-fault driver whose available liability coverage is insufficient. Whether either applies depends on the policy, not simply the seriousness of the injury.

UM and UIM are separate from no-fault benefits

The Michigan Department of Insurance and Financial Services identifies uninsured and underinsured motorist insurance as optional auto coverages. The 2019 reforms did not make them interchangeable with PIP medical coverage.

A PIP claim, liability claim, and UM or UIM claim can arise from the same crash but have different requirements. Do not assume medical coverage means you also bought UM or UIM, or that your policy’s limit is the amount you will recover.

Read the entire policy before settling another claim

Start with the declarations page, then locate the UM and UIM endorsements. Check who qualifies as an insured, which vehicles are covered, the limits, exclusions, notice requirements, and any provisions affecting settlement with the other driver. A policy may require steps that need attention before a release is signed.

Keep written correspondence about coverage and obtain copies of missing endorsements. If more than one household policy might be relevant, have each reviewed rather than assuming the limits can be added together. Whether policies can be combined is a policy-specific question.

Organize the claim file

• Save the crash report, driver and vehicle identification, and evidence of how the collision occurred.
• Collect all potentially relevant policies and proof of the coverage in effect on the accident date.
• Keep written information about the other driver’s liability coverage or lack of insurance.
• Preserve medical records, work restrictions, wage documents, and receipts supporting the injury-related losses.
• Record the dates of notice, document submissions, offers, denials, and proposed settlement releases.

A hit-and-run requires prompt policy review

After a hit-and-run, report the incident and preserve witness contacts, footage, debris photographs, and available identifying details. UM coverage may help in some circumstances, but identification, contact, reporting, and proof requirements can depend on the policy. Do not wait until another driver is located to ask about your own coverage.

See our uninsured and underinsured motorist practice page and the firm’s explanation of how UIM coverage can protect a family. Coverage purchased after a crash generally cannot solve a gap that existed on the accident date.

Discuss your claim with Logeman & Iafrate

For a free consultation, contact Logeman & Iafrate, P.C. or call (734) 994-0200. Bring the records described above so the conversation can focus on your accident, available coverage, and next steps.

This article provides general information, not legal advice. The applicable law, policy terms, and deadlines depend on the facts of your case.

Does every Michigan auto policy include UM and UIM?

No. They are optional coverages. Review the declarations and endorsements in effect when the crash occurred.

Is UIM the same as PIP?

No. PIP benefits and a UIM injury claim address different coverage questions and requirements.

Should I sign the other insurer’s release first?

Have the proposed release and your UM or UIM conditions reviewed before settling. Policy requirements may affect your options.