The Problem of Uninsured Motorists

One in seven, or 13.8%. According to the Insurance Research Council (IRC), these are the chances, based on national averages, that if you are in a car collision, the at-fault driver will be uninsured. If you are a driver on America’s roads, this number should be highly alarming. While in the majority of states, carrying auto insurance is a requirement, (the exceptions being New Hampshire and Wisconsin), it is clear that not all drivers abide by these laws when driving on the roads.

The IRC reports the highest percentage of states with uninsured drivers are located in the South, the lowest shared between the Northeast and the Midwest, despite the presence of New Hampshire and Wisconsin. The single state with the highest number of uninsured drivers is New Mexico (29%), followed closely by Mississippi (28%). What this translates to for drivers in these states is that nearly 1/3 of all accidents will involve an uninsured driver. And these uninsured accidents come with a very real cost.

When an insured driver is in an accident with an uninsured driver, rather than the costs of the accident being born by the at-fault driver, the insured driver’s policy is forced to take on the cost of the accident for their client. The insured driver will often be forced to pay their deductible, medical expenses and rental car costs for an accident in which they were not even at fault. And for those drivers whose coverage does not include uninsured motorists, they may find themselves forced to cover the entire cost of the accident despite having insurance.

What is perhaps more frightening about the number of uninsured drivers is that, with the recent economic troubles many familes are now facing, it is poised to go up. There appears to be a direct correlation between the number of uninsured drivers and the unemployment figure. As unemployment has grown in recent years, so presumably has the number of uninsured drivers. And uninsured drivers are not only costing those they hit money, they are causing the overall cost of insurance to go up, impacting drivers throughout the country.

As more and more uninsured drivers take the roads, there seems to be nothing that responsible drivers everywhere can do but grin and bear it. Until the law finds an effective way to deter people from getting on the road without proper insurance, we all remain in danger of being victims ourselves. But with the percentage of uninsured drivers out there, the savvy driver should be upping their uninsured motorist coverage. Except maybe in Massachusetts (1%). The odds don’t seem too bad there.

Table of States Requiring Uninsured Motorist Coverage & Limits

State	Uninsured Motorists Coverage Required?	Minimum Coverage Amount Required (per person / per accident)
Alabama	No (1)	$20,000 / $40,000 (5)
Alaska	No (1)	$50,000 / $100,000 (5)
Arizona	No	$15,000 / $30,000 (5)
Arkansas	No (1)	$25,000 / $50,000 (5)
California	No (1)	$15,000 / $30,000 (5)
Colorado	No (a)	$25,000 / $50,000 (5)
Connecticut	Yes	$20,000 / $40,000
Delaware	No (1,3)	$15,000 / $30,000 (5)
D.C.	Yes (3)	$25,000 / $50,000
Florida	No (1)	N/A
Georgia	No (1)	$25,000 / $50,000 (5)
Hawaii	No (1)	$20,000 / $40,000 (5)
Idaho	No (1)	$25,000 / $50,000 (5)
Illinois	Yes	$20,000 / $40,000
Indiana	No (1)	$25,000 / $50,000 (5)
Iowa	No (1)	$20,000 / $40,000 (5)
Kansas	Yes	$25,000 / $50,000
Kentucky	No (1)	$25,000 / $50,000 (5)
Louisiana	No (1)	$10,000 / $20,000 (5)
Maine	Yes	$50,000 / $100,000
Maryland	Yes (3)	$20,000 / $40,000
Massachusetts	Yes	N/A
Michigan	No	N/A
Minnesota	Yes	$25,000 / $50,000
Mississippi	No (1)	$10,000 / $20,000 (5)
Missouri	Yes	$25,000 / $50,000
Montana	No (1)	$25,000 / $50,000 (5)
Nebraska	Yes (2)	$25,000 / $50,000
Nevada	No (1)	$15,000 / $30,000 (5)
New Hampshire	No (4)	N/A
New Jersey	Yes	N/A
New Mexico	No (1)	$25,000 / $50,000 (5)
New York	Yes	$25,000 / $50,000
North Carolina	Yes (1,2)	$50,000 / $100,000 (5)
North Dakota	Yes	$25,000 / $50,000
Ohio	No (1)	$12,500 / $25,000 (5)
Oklahoma	No (1)	$10,000 / $20,000 (5)
Oregon	Yes	$25,000 / $50,000
Pennsylvania	No (1)	$15,000 / $30,000 (5)
Rhode Island	No (1)	$25,000 / $50,000 (5)
South Carolina	Yes (3)	$15,000 / $30,000
South Dakota	Yes (2)	$25,000 / $50,000
Tennessee	No	$25,000 / $50,000 (5)
Texas	No (1)	$20,000 / $40,000 (5)
Utah	No (1)	$25,000 / $50,000 (5)
Vermont	Yes (3)	$50,000 / $100,000
Virginia	Yes	$25,000 / $50,000
Washington	No (1)	$25,000 / $50,000 (5)
West Virginia	Yes (3)	$20,000 / $40,000
Wisconsin	Yes	$25,000 / $50,000
Wyoming	No (1)	$25,000 / $50,000 (5)

Key

1. Uninsured Motorist Coverage is not required by law, but must be rejected in writing if not purchased.
2. Uninsured/Underinsured Motorist Coverage is required by state law. Refer to state-specific page for more detailed coverage requirements.
3. State law also mandates Uninsured Motorist Property Damage be purchased as part of this coverage. Refer to state-specific page for more detailed coverage requirements.
4. Uninsured Bodily Injury Coverage is optional, but if purchased, must equal Bodily Injury Liability limits.
5. If purchased

List of Percentage of Uninsured Motorists by State

State	%
Alabama	26%
Alaska	13%
Arizona	18%
Arkansas	15%
California	18%
Colorado	15%
Connecticut	9%
D.C.	15%
Delaware	10%
Florida	23%
Georgia	12%
Hawaii	12%
Idaho	9%
Illinois	15%
Indiana	14%
Iowa	12%
Kansas	10%
Kentucky	16%
Louisiana	12%
Maine	4%
Maryland	12%
Massachusetts	1%
Michigan	17%
Minnesota	12%
Mississippi	28%
Missouri	14%
Montana	15%
Nebraska	8%
Nevada	15%
New Hampshire	11%
New Jersey	8%
New Mexico	29%
New York	5%
North Carolina	12%
North Dakota	5%
Ohio	16%
Oklahoma	24%
Oregon	11%
Pennsylvania	7%
Rhode Island	14%
South Carolina	9%
South Dakota	7%
Tennessee	20%
Texas	15%
Utah	8%
Vermont	6%
Virginia	9%
Washington	16%
West Virginia	8%
Wisconsin	15%
Wyoming	9%

February 01, 2010, Posted by Rainy Day Mitch