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What Happens If You Are in a Car Accident with an Underinsured Driver?

After a car accident, you may assume the at-fault driver’s insurance will cover your damages. However, many drivers in South Carolina carry only the minimum required coverage, which is often not enough to fully compensate injury victims. If you are hit by an underinsured driver, you still have options for financial recovery

You May Not Know the Other Driver’s Coverage Right Away

At the scene of a crash, you typically will not know how much insurance coverage the other driver has. In the days or weeks that follow, you may discover their policy limits are too low to cover your medical bills, lost wages, and other damages.

In these situations, your own underinsured motorist (UIM) coverage can help bridge the gap—if you elected to carry it on your policy.

South Carolina Minimum Car Insurance Requirements

South Carolina law requires drivers to carry minimum liability insurance coverage, but these limits are relatively low:

  • $25,000 for bodily injury per person
  • $50,000 for bodily injury per accident
  • $25,000 for property damage per accident

While these limits satisfy legal requirements, they are often insufficient in serious car accident cases. Even moderate injuries can quickly exceed these amounts due to rising medical costs and lost income.

Is Underinsured Motorist Coverage Required in South Carolina?

South Carolina law requires insurance companies to offer underinsured motorist (UIM) coverage, but drivers are not required to purchase it.

Uninsured motorist (UM) coverage is mandatory, but UIM coverage is optional. However, opting out of UIM coverage can leave you financially vulnerable if you are injured by a driver with insufficient insurance.

Having adequate UIM coverage provides critical protection because:

  • Many drivers carry only minimum coverage
  • Serious injuries often exceed policy limits
  • At-fault drivers rarely have enough personal assets to cover damages

How Underinsured Motorist Claims Work

If you are injured in an accident with an underinsured driver, the claims process typically works in two stages:

1. File a Claim Against the At-Fault Driver

You must first pursue compensation through the other driver’s liability insurance. If you can prove they were at fault, their insurer will pay up to the policy limits.

2. File a Claim with Your Own Insurance Company

If your damages exceed the at-fault driver’s coverage, you can then file a claim under your own UIM policy.

Your insurer essentially steps in to cover the remaining damages—up to your UIM policy limits.

Challenges with Underinsured Motorist Claims

Even though you are dealing with your own insurance company, the process is not always straightforward. Insurers may still attempt to:

  • Minimize the severity of your injuries
  • Dispute liability or damages
  • Offer a lower settlement than your claim is worth

For this reason, many accident victims choose to work with an experienced car accident attorney to negotiate with insurers and pursue full compensation.

FAQs About Car Accidents with Underinsured Drivers in South Carolina

If you are involved in a car accident with an underinsured driver, these are some of the most important things to know:

What is underinsured motorist (UIM) coverage?

It is optional insurance that helps pay for your damages when the at-fault driver’s policy limits are not enough.

When can I file a UIM claim?

You can file a claim after the at-fault driver’s insurance has been exhausted and your damages exceed their coverage.

What does UIM coverage pay for?

It may cover medical expenses, lost wages, pain and suffering, and other accident-related losses.

Do I have to deal with my own insurance company?

Yes, and your insurer may still try to reduce the value of your claim, so legal guidance can be helpful.

Speak With a Mt. Pleasant Car Accident Lawyer at Rogers, Patrick, Westbrook & Brickman LLC

If you were injured in a crash involving an underinsured driver, legal guidance can make a significant difference in your recovery. An experienced attorney can evaluate your coverage, handle negotiations, and fight for the compensation you deserve. Our Mt. Pleasant car accident lawyers at Rogers, Patrick, Westbrook & Brickman LLC offer free consultations and represent clients throughout South Carolina. Call 843-727-6500 or contact us online to get started. We have offices in Charleston, Mt. Pleasant, Aiken, and Columbia, South Carolina.

How can we help? Fill out the form for a free case review.

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