Below is a sample Auto Insurance Policy
used to illustrate how an auto claim might be viewed and settled by the insurance company.
- What Happened?: An uninsured motorist made an illegal left turn and collided with the insured’s vehicle.
- Caused $20,000 damage to his car
- He suffered injuries of $12,000.
- His passenger suffered more serious injuries of $125,000
- What Was Covered?:
- Insured’s car was covered under Collision for the full amount of $15,000 minus the deductible of $1,000.
- His medical expenses were covered under Uninsured Motorist Bodily Injury for the full amount of $12,000.
- Medical expenses for his passenger were covered under Uninsured Motorist Bodily Injury for the full amount of $125,000.
- Explanation: In each case the losses were within the policy limits and as such, claims were paid minus the policy deductible amounts where applicable. Please Note: In most cases, Uninsured Motorist Bodily Injury coverage pays for injuries sustained by the insured, his family and guests in their car or family in someone else’s car and even as a pedestrian.