In Maine, the mandatory minimum amount of automobile insurance is $50,000 for liability. This means there will be $50,000 available to cover any injuries the driver may have caused. What many people do not realize is that the same $50,000 policy covers uninsured motorist claims. If you are struck by a person without an insurance policy and you carry a $50,000 policy on your own vehicle, your own insurance company may be obligated to cover your losses. This is a very important protection.
People who understand and deal with uninsured motorist coverage issues often carry a half-million to $1 million insurance policy on their own automobiles. At Lipman & Katz, we frequently handle matters for people with catastrophic injuries. It can be devastating when a person has severe injuries with huge amounts of medical bills when the other driver and the injured party both have a minimum $50,000 policy. Usually, the most that can be recovered from the insurance is $50,000. This could, in some cases, not even be enough to cover the medical bills.
On the other hand, if the driver has a policy with $500,000 limits and he is hit by another driver who only carries the minimum $50,000, the driver will have some additional protection. For example, if a driver with a $500,000 policy is injured when a driver with a $50,000 policy hits him, the driver will likely have up to $450,000 worth of coverage for his injuries against his own policy.
Motorcycle accidents tend to produce more catastrophic injuries than automobile accidents. Motorcycles do not provide the same degree of protection as cars, and drivers in cars often cannot see motorcycles as easily as other types of vehicles. When deciding how much insurance to purchase, whether for a motor vehicle or motorcycle, it is important to consider that significant injuries can occur on the road and to put much thought into how much coverage you should purchase.