Does $100K UM/UIM coverage mean that if the at-fault driver has $50K, victim's insurance is liable for up to another$50K

Question

Mom & I were in an accident. She was the driver and her insurance policy (North Carolina) reads that she has $100,000 uninsured/underinsured motorist bodily injury coverage. The other driver, who was at-fault, had $50,000 liability. Mom's medical bills are over $60K. The at-fault's driver's insurance is willing to pay $50,000, but mom's insurance is now saying that she cannot collect anything from them. They also say she would only have been covered if the other driver was uninsured. Her policy clearly states "underinsured."

Peter N. Munsing · Answer

Depends on your state law and how it's written. First, back up--she needs a consultation from a member of the NCAssn For Justice.They give free consults. Why? Because a)someone else may be responsible--if the other driver was employed, if they have an umbrella policy etc.Second your insurance needs to agree to the settlement even if they are saying no--it's a legal dance but it is in the contract. As to what they say, if she has underinsured then that's what it means. However another question is a)is it a 50/100--in which case all they would have to give her is 50 or b) does it have "stacking"--not every policy and not every state have that. In many states the 50 underinsured is , weirdly, only in effect if the driver's policy is less than the underinsured. If you are in the Raleigh area call Doug Abrams. You can tell him I suggested you call.

Q: Does $100K UM/UIM coverage mean that if the at-fault driver has $50K, victim's insurance is liable for up to another$50K