In Ohio, carrying auto insurance is a legal requirement, but for many, the minimum coverage is viewed as nothing more than a box to check. However, relying solely on Ohio’s minimum liability limits leaves you dangerously exposed to financial disaster in the event of an accident. Uninsured and underinsured motorist (UM/UIM) coverage is your critical line of defense, and having high enough limits can mean the difference between financial stability and ruin.
Ohio’s minimum insurance requirements offer minimal protection. Ohio law mandates that drivers carry liability coverage of $25,000 for bodily injury per person, $50,000 per accident, and $25,000 for property damage. These amounts, often summarized as “25/50/25,” are shockingly low and can be exhausted by even a moderately severe accident.
Consider a serious crash where medical expenses, lost wages, and other damages skyrocket far beyond $25,000. If the at-fault driver has only the state minimums, their insurance would cover just a fraction of your costs. You would be left to foot the rest of the bill out-of-pocket, unless you have sufficient UIM coverage.
The Insurance Research Council estimates that in 2023, nearly 18.5% of motorists in Ohio were uninsured. This means you have a significant chance of being hit by a driver with no coverage at all. In this scenario, your UM coverage steps in to pay for your medical bills and other damages.
But the threat isn’t just uninsured drivers; it’s also those who are “underinsured”—meaning they have insurance, but their policy limits are too low to cover the full extent of your injuries. If you are seriously hurt, your damages will likely exceed the at-fault driver’s minimal policy. Your UIM coverage will then make up the difference, but only up to the limits of your own policy.
Why Your UM/UIM Limits Should Match Your Liability Coverage Under Ohio law, you can choose to purchase UM/UIM coverage up to the same limit as your liability coverage. You also have the option to buy an umbrella policy. These provide a powerful layer of protection. Think of it this way: the liability limits you carry are based on the potential damage you could cause to others. Why wouldn’t you want to protect yourself from others to the same degree?
For example, if you have liability limits of $250,000/$500,000, your UM/UIM coverage can also be set at that amount. If you are seriously injured by an underinsured driver with only $25,000 in coverage, your own policy could provide you, individually, with an additional $225,000 in protection after the other driver’s insurance is exhausted. If more than one of you were hurt in the same accident, under this scenario, your own policy could provide up to an additional $475,000 in protection to those injured.
It is vitally important to review your policy and protect yourself. Do not wait for an accident to find out that you are underinsured. The Personal Injury team at Pickrel, Schaeffer and Ebeling can assist you with questions concerning insurance coverage and what makes sense for your situation. Review your auto insurance policy today!
In Ohio, a small investment in higher UM/UIM limits is a powerful financial safeguard against the risks on the road.
Mike Bly can help put your mind at ease! To confirm you have the right coverage, contact Mike at mbly@pselaw.com or 937-223-1130 to verify that you have both uninsured and underinsured motorist coverage, and that the limits are set high enough to truly protect you and your family.
