You may have heard the term uninsured motorist or underinsured motorist coverage (UM/UIM). This coverage is offered by insurance companies if an individual hits you without insurance or has insufficient insurance to cover your injuries.
What you may not know is that New Mexico case law in 2010, namely Jordon v. Allstate, handed down mandatory requirements for insurance companies to follow if you decide not to accept UM/UIM coverage. If the insurance company fails to follow these mandated requirements then they must extend UM/UIM coverage to you in an amount equal to the liability coverage on your policy.
The Steps that Insurance Companies Must Follow to Not Extend UM/UIM Coverage Are:
- Insurance company must inform the insured the he or she is entitled to purchase UM/UIM coverage in an amount equal to the policy's liability limits
- Insurers must provide the insured with the premium charges corresponding to each available option.
- If the insured choose to reject UM/UIM coverage, the rejection must be in writing.
- The written rejection must be meaningfully incorporated into the insurance policy that is delivered to the insured.
Personal injury attorneys at Keller & Keller have recently litigated numerous cases involving Uninsured/Underinsured Motorist claims. Have you been in an auto accident with an uninsured driver OR are your medical bills surpassing the amount of available coverage from the person liable for your injuries?If you are unsure if your insurance company properly followed these steps or have questions and would like to discuss your policy with New Mexico personal injury attorneys, contact Keller & Keller at 1-800-2-KELLER.