By Paul A. Lauto, Esq.
Inflation has taken a heavy toll on American wallets, causing a 4% decrease in real income over the past 2.5 years. Today everything seems to cost far more such as gas, food, new cars, pre-owned cars, entertainment, services and more. In fact consumer debt has now for the first time exceeded One Trillion Dollars.
Unfortunately, auto insurance is no different and as of August has increased year over year almost 20%. The simple fact is that Americans can no longer afford the cost of living. As a result, more and more Americans are not paying their auto insurance premiums and are now illegally driving uninsured. In fact in the first half of 2023, the amount of uninsured vehicles on the road has increased 5.7%. In 12 states the increase in uninsured drivers is 30% or more, with the top 5 offending states being South Dakota, New Hampshire, West Virginia, Oregon and Indiana.
An increase in uninsured drivers equates to less protection for accident victims. In order to protect against illegal uninsured drivers, it is recommended that everyone review increasing their S.U.M (Supplementary Uninsured/Underinsured Motorist) coverage in their automobile insurance policies. S.U.M. coverage will "step into the shoes" of the offending vehicle in an automobile accident and provide you with insurance coverage when the tortfeasor has no insurance or low insurance coverage. It is an essential part of your automobile insurance coverage that is often ignored, intentionally kept low to decrease premiums and frequently results in being a money loser for insurance companies.
Although there are certain criteria to trigger S.U.M. coverage, it remains your best insurance option to protect against those driving illegally with no insurance or driving with very limited insurance coverage. If you have any questions, are not sure what your S.U.M. coverage is or how much coverage you should have to protect yourself, please feel free to contact our office and we will be happy to help you objectively make this very important decision.
Long Island Lawyer
Paul A. Lauto, Esq.
www.liattorney.com
Inflation has taken a heavy toll on American wallets, causing a 4% decrease in real income over the past 2.5 years. Today everything seems to cost far more such as gas, food, new cars, pre-owned cars, entertainment, services and more. In fact consumer debt has now for the first time exceeded One Trillion Dollars.
Unfortunately, auto insurance is no different and as of August has increased year over year almost 20%. The simple fact is that Americans can no longer afford the cost of living. As a result, more and more Americans are not paying their auto insurance premiums and are now illegally driving uninsured. In fact in the first half of 2023, the amount of uninsured vehicles on the road has increased 5.7%. In 12 states the increase in uninsured drivers is 30% or more, with the top 5 offending states being South Dakota, New Hampshire, West Virginia, Oregon and Indiana.
An increase in uninsured drivers equates to less protection for accident victims. In order to protect against illegal uninsured drivers, it is recommended that everyone review increasing their S.U.M (Supplementary Uninsured/Underinsured Motorist) coverage in their automobile insurance policies. S.U.M. coverage will "step into the shoes" of the offending vehicle in an automobile accident and provide you with insurance coverage when the tortfeasor has no insurance or low insurance coverage. It is an essential part of your automobile insurance coverage that is often ignored, intentionally kept low to decrease premiums and frequently results in being a money loser for insurance companies.
Although there are certain criteria to trigger S.U.M. coverage, it remains your best insurance option to protect against those driving illegally with no insurance or driving with very limited insurance coverage. If you have any questions, are not sure what your S.U.M. coverage is or how much coverage you should have to protect yourself, please feel free to contact our office and we will be happy to help you objectively make this very important decision.
Long Island Lawyer
Paul A. Lauto, Esq.
www.liattorney.com
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