Underinsured Motorist Coverage Limits Trigger

The underinsured motorist coverage limits trigger is the amount of insurance coverage that the other driver must have in order for your underinsured motorist coverage to kick in. If the other driver has less than this amount of coverage, then your underinsured motorist coverage will pay for the difference.

For example, let's say that you are in an accident and the other driver is at fault. The other driver has $100,000 in liability insurance. Your injuries total $150,000. Your own insurance company will pay for the first $100,000 of your medical bills, and then your underinsured motorist coverage will pay for the remaining $50,000.

It is important to note that the underinsured motorist coverage limits trigger is not the same as the underinsured motorist coverage limit. The underinsured motorist coverage limit is the maximum amount of money that your underinsured motorist coverage will pay. In the example above, the underinsured motorist coverage limit is $50,000.

The underinsured motorist coverage limits trigger is important because it determines when your underinsured motorist coverage will kick in. If the other driver has more than the required amount of insurance coverage, then your underinsured motorist coverage will not be used.

It is a good idea to have as much underinsured motorist coverage as you can afford. This will help to protect you in the event of an accident with an underinsured driver.