Uninsured & Underinsured Motorist Coverage in Florida
One of the most important coverages Florida drivers should understand is Uninsured/Underinsured Motorist (UM/UIM) coverage.
UM coverage can help protect you and your passengers if you are injured in an accident caused by a driver who does not have Bodily Injury Liability insurance or does not have enough insurance to cover your injuries. Florida's Department of Financial Services explains that UM coverage is designed to provide benefits when the at-fault driver has no BI coverage or insufficient liability limits.
Florida Has a High Number of Uninsured Drivers
This coverage is particularly important in Florida because a significant percentage of drivers are uninsured.
According to the Insurance Research Council's latest available state estimates, approximately 20.6% of Florida motorists were uninsured in 2023—about 1 in 5 drivers. Florida ranked 7th highest among the states in the IRC's 2023 estimates.
The estimated uninsured motorist rate in Florida has also remained relatively high:
2019: 21.1%
2020: 21.7%
2021: 19.0%
2022: 20.4%
2023: 20.6%
The problem doesn't stop with completely uninsured drivers. The IRC estimated that 38.3% of Florida motorists were underinsured in 2023, meaning their liability coverage may not have been sufficient to fully cover injuries in a serious accident.
Why This Matters
Imagine you are seriously injured in an accident and the other driver is at fault. You discover that the driver has:
No Bodily Injury coverage, or
Only $25,000 of BI coverage, while your medical expenses and other damages are substantially higher.
Without adequate UM/UIM coverage, recovering compensation can become much more difficult.
UM/UIM coverage is designed to provide an additional layer of protection for covered injuries when the at-fault driver doesn't have enough BI insurance.
Stacked vs. Non-Stacked UM
Florida drivers should also understand the difference between stacked and non-stacked UM coverage.
Stacked UM can allow coverage limits to be combined across multiple insured vehicles, subject to the policy and Florida law. Florida generally requires UM coverage to be stacked unless it is properly rejected in writing.
For example, an insured with three vehicles carrying $50,000/$100,000 of stacked UM could potentially have $150,000 per person and $300,000 per accident in available UM limits, subject to the policy and applicable law.
Don't Automatically Reject UM Coverage
UM coverage is optional, and some drivers decline it to reduce their premium. However, considering that roughly 1 out of every 5 Florida motorists was estimated to be uninsured in 2023, it's worth discussing the coverage and limits with your insurance agent before deciding to reject it.
When reviewing Florida auto insurance, don't just ask, "How much is my premium?" Also ask:
Do I have UM/UIM coverage?
What are my UM limits?
Is my coverage stacked or non-stacked?
What happens if I'm seriously injured by an uninsured driver?
Are my UM limits high enough for my situation?
UM coverage can be an important part of protecting yourself financially when another driver's insurance isn't enough.