Why Uninsured Motorist Coverage Is One of the Most Important Parts of Your Auto Insurance Policy

05/30/2025 | The Law Offices of Timothy Combs |

You Can Do Everything Right—And Still Be Left Holding the Bag

At The Law Offices of Timothy Combs, we’ve seen it too many times: clients are hit by a careless driver, only to discover that the person who caused the crash has no insurance or just the bare minimum limits—nowhere near enough to cover the damages. The injured party did nothing wrong, yet they’re left scrambling to pay medical bills, make up for lost wages, and deal with long-term pain and suffering.

That’s why we urge every California driver to carry robust Uninsured and Underinsured Motorist (UM/UIM) coverage on their auto policy.

What Is UM/UIM Coverage in California?

Under California Insurance Code §11580.2, insurance companies must offer UM and UIM coverage with every auto liability policy. While you can reject it in writing, we strongly recommend against doing so.

Here’s what these coverages protect you from:

  • Uninsured Motorist (UM) Coverage: When the at-fault driver has no insurance at all.
  • Underinsured Motorist (UIM) Coverage: When the at-fault driver’s insurance limits are too low to fully compensate you.

These coverages serve as a financial backup plan—one you provide for yourself through your own policy.

California’s New 2025 Minimum Liability Limits

Effective January 1, 2025, California raised its minimum required auto liability limits to:

  • $30,000 for injury or death to one person
  • $60,000 for injury or death to two or more people
  • $15,000 for property damage

These are better than the outdated $15,000/$30,000 limits of the past—but still fall far short in any serious accident. One ambulance ride and a few hours in the ER can easily exceed the new minimums.

Our Strong Recommendation: Buy as Much Coverage as You Can Afford

At The Law Offices of Timothy Combs, we highly recommend carrying at least $100,000 per person / $300,000 per accident in liability coverage with matching UM/UIM coverage. In fact, if your insurer allows higher limits, go as high as you reasonably can. In a serious accident, these limits can mean the difference between financial devastation and a full recovery.

How UIM Coverage Works in California

California uses a “difference in limits” formula for underinsured motorist claims. This means your UIM coverage only kicks in if your coverage limit is higher than the other driver’s liability limit, and it will only pay up to the difference between the two.

Example 1:
You have $100,000 in UIM coverage.
The other driver carries the new $30,000 state minimum.
You incur $150,000 in losses.

  • Their insurance pays $30,000.
  • Your policy covers up to $70,000 more, closing part of the gap—but not all.

Example 2:
You have $30,000 in UM/UIM, and the at-fault driver has no insurance.
Your injuries cost $100,000 to treat.

  • Your own insurance covers only $30,000.
  • You’re left to deal with $70,000 in unpaid costs.

A Small Price for a Huge Safety Net

The cost of raising your UM/UIM limits is surprisingly modest, especially compared to the six-figure medical bills that can result from a serious crash. Think of it as affordable peace of mind—protection you buy in advance for yourself and your family in case someone else chooses to drive irresponsibly.

Don’t Wait Until It’s Too Late

You can’t choose who hits you—but you can choose to be ready. If you’ve already been injured by an uninsured or underinsured driver, don’t face your insurance company alone. At The Law Offices of Timothy Combs, we fight to ensure our clients get every dollar they’re entitled to under their policies.

Call us today for a free consultation. Let’s make sure you’re protected.

Disclaimer: This blog post is for informational purposes only and does not constitute legal advice. For personalized guidance based on your circumstances, contact our office directly.

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