When you're hit by an uninsured driver, you join a substantial group of Arizona accident victims facing the same problem. Your primary recourse: UIM coverage The most reliable recovery source when hit by an uninsured driver is your own Uninsured Motorist (UIM) coverage. What UIM coverage is UIM coverage is insurance you buy that protects you when: - The at-fault driver has no insurance - The at-fault driver has insufficient insurance to cover your damages - The at-fault driver is unidentified (hit- and-run cases) UIM essentially substitutes for the at-fault driver's missing insurance. Your insurance company pays you what the at-fault driver should have paid. Two types: UM and UIM Technically there are two separate coverages, though they're often combined: Uninsured Motorist (UM): Covers you when the at-fault driver has no insurance at all. Underinsured Motorist (UIM): Covers you when the at-fault driver has insurance but it's insufficient for your damages. Most Arizona policies bundle these together. Reference to "UIM" generally includes both. Bodily injury and property damage components UIM coverage has two components: UIM Bodily Injury (UIM-BI): Pays for your injuries and related damages. UIM Property Damage (UIM-PD): Pays for your vehicle damage when the at-fault driver can't. Bodily injury coverage is typically the major financial protection. Property damage coverage may be subject to deductibles. Coverage limits UIM coverage limits typically match (but can be lower than) your liability limits: - $25,000/$50,000 (minimum) - $50,000/$100,000 - $100,000/$300,000 - $250,000/$500,000 - $500,000/$1,000,000
Higher UIM coverage costs more but provides much better protection. For most people, increasing UIM coverage costs only $10-30/month for substantial additional protection. Stacking rules Arizona allows "stacking" of UIM coverage in some circumstances: If you have multiple vehicles on the same policy, you may be able to stack the UIM coverage If you live with relatives with separate policies, stacking may apply Anti-stacking provisions in some policies can be challenged A skilled attorney evaluates stacking opportunities to maximize available coverage. How UIM claims work UIM claims have several stages. Stage 1: Notification Promptly notify your insurance company that you're making a UIM claim. Most policies require notification within 30 days, though the specific requirement varies. Stage 2: Determining the other driver's coverage status Confirm the other driver is actually uninsured or underinsured: Police report should identify insurance status Insurance company can verify If hit-and-run, no other coverage exists by definition Stage 3: Establishing liability Even though your own insurance is now the defendant, you still must prove: - The other driver was at fault - Your injuries resulted from the accident - Damages amounts The standards are the same as if you were suing the at-fault driver, but the dynamics are different (more on this below). Stage 4: Damages valuation Your insurance evaluates your claim: - Medical bills and treatment - Lost wages - Future medical needs - Pain and suffering - Other damages - - - - - - The insurance company typically wants to minimize what they pay — even though it's your own insurance. Stage 5: Negotiation UIM negotiation typically involves: - Demand letter from you (with attorney help) - Counter-offers from your insurance - Continued negotiation - Eventual settlement or impasse Stage 6: Arbitration or lawsuit If negotiations fail, most Arizona UIM policies require arbitration (not court). Some allow you to choose between arbitration and lawsuit. Arbitration: - Faster than court (typically 6-18 months) - Decided by a neutral arbitrator (sometimes three arbitrators) - More private than court - Generally less expensive - Decision is typically final (limited appeals) Why your own insurance becomes adverse Here's the awkward reality: when you make a UIM claim, your insurance company becomes financially adverse to you. They pay you out of their pocket if you have a valid claim. Their financial interest is to: Minimize what they pay Find reasons to dispute liability Question damages claims Pressure you to settle low This creates a strange dynamic where the company that's supposed to "be on your side" is now actively working against your claim. UIM adjusters often: Argue you were partially at fault Dispute the severity of your injuries Push for quick low settlements Demand recorded statements Use surveillance and investigation This is why UIM claims often benefit from attorney representation more than typical liability claims. Without representation, you're negotiating against trained insurance professionals whose job is to minimize your recovery. - - - - - - - - - ## What if you don't have UIM coverage?
If you don't have UIM coverage and the at-fault driver is uninsured, your options are limited. Personal injury lawsuit against the uninsured driver You can sue the uninsured driver personally. Practical challenges: Most uninsured drivers have limited personal assets They often lack reachable income Bankruptcy may discharge the judgment Collection requires substantial effort with uncertain results A judgment against an asset-poor defendant is essentially a piece of paper. Some uninsured drivers do have collectable assets — businesses, real estate, investments — but most don't. MedPay coverage (if available) If you have Medical Payments coverage on your auto policy, it pays: - Your medical bills up to the policy limit ($5,000-$25,000 typical) - Regardless of fault - Without subrogation in most cases This is limited to medical expenses and doesn't cover other damages, but it provides immediate medical bill payment. PIP coverage (rare in Arizona) Arizona doesn't have mandatory PIP (Personal Injury Protection), but optional PIP coverage is available. If you have it: - Pays medical, wage loss, and other expenses - Up to policy limits - Regardless of fault PIP is less common in Arizona than in no-fault states but provides similar benefits when available. Health insurance Your health insurance pays your medical bills regardless of who's at fault. The insurance may have: - Subrogation rights (claim against any future settlement) - Right of reimbursement - Coordination of benefits with other coverage Workers' compensation (if accident was work-related) If you were working when the accident happened, workers' compensation covers your medical bills and partial wages. This is true even if a third party (the uninsured driver) caused the accident. - - - - ## Crime Victim Compensation Fund (for criminal acts)
If the uninsured driver was committing a crime (DUI, fleeing scene, hit-and-run), Arizona's Crime Victim Compensation Program may provide some assistance for: - Medical expenses - Mental health counseling - Lost wages - Up to a maximum amount This is limited but worth pursuing. Special situation: Hit-and-run Hit-and-run accidents are treated as uninsured motorist claims because the at-fault driver is unknown. Reporting requirements To pursue UIM coverage for hit-and-run: - Report the accident to police immediately - Obtain police report number - Get witnesses if possible - Photograph any debris from the other vehicle - Notify your insurance promptly Special UIM requirements For hit-and-run UIM claims, most policies require: - Physical contact with the other vehicle (in some cases) - Reporting to police within a specific timeframe (typically 24-72 hours) - Cooperation with investigation - Reasonable efforts to identify the other driver Some policies have stricter requirements for hit-and-run claims than for identified uninsured driver claims. Investigation efforts Pursuing a hit-and-run case may include: - Reviewing surveillance footage from nearby businesses - Canvassing the area for witnesses - Checking auto body shops for matching damage - Using physical evidence (paint transfer, debris) for identification - Public appeals through media Even if the driver is never identified, your UIM claim can proceed. Practical tips for UIM claims Maximize your coverage before accidents The best UIM strategy starts before any accident: - Increase your UIM limits beyond minimum - Match your UIM to your liability limits - Consider an umbrella policy for additional UIM - Cost is typically modest for substantial coverage increases
Get an attorney for serious UIM claims
UIM claims with substantial injuries almost always benefit from attorney representation because: - The insurance company has experienced adjusters working against you - Policy interpretation matters significantly - Stacking and coverage issues often arise - Arbitration is a specialized process - Bad faith claims may be available Don't sign anything from your own insurance Insurance companies sometimes ask for "general releases" that may waive UIM rights or limit your claim. Have an attorney review any documents before signing. Document everything UIM claims face the same evidentiary challenges as liability claims, plus the added complication of dealing with your own insurance: - Medical records and bills - Photos of injuries - Property damage documentation - Lost wage verification - Pain journal - Communication records with insurance Be patient UIM claims often take longer than typical liability claims because: - Less external pressure to settle quickly - Arbitration scheduling - Your insurance has no incentive to settle fast - Damages projection often takes time Frequently asked questions Will making a UIM claim raise my insurance rates? Arizona law generally prohibits insurance companies from raising rates after UIM claims through no fault of the insured. Some companies push the boundaries; if you experience a rate increase after a UIM claim, you may have additional legal recourse. Can I sue my own insurance company if they handle my UIM claim in bad faith? Yes. Insurance companies have a duty of good faith in handling claims. Bad faith conduct can support additional damages beyond the policy limits, potentially including punitive damages. Does UIM cover passengers in my car? Generally yes, if they were occupying your vehicle at the time of the accident. The specific coverage depends on your policy terms. What if the at-fault driver had a fake or expired insurance card? This is functionally the same as no insurance. The claim proceeds as a UIM claim. Can I make a UIM claim if I'm partially at fault? Yes. Arizona's pure comparative fault rule applies — your recovery is reduced by your percentage of fault, but UIM coverage still applies.
What if I was hit while a pedestrian or bicyclist? Your UIM coverage may still apply even if you weren't in a vehicle, depending on your policy. Many policies extend UIM coverage to insureds even when not occupying the insured vehicle. How much UIM coverage should I have? At minimum, match your liability limits. For better protection, consider $100,000/$300,000 or higher. The cost increase is usually small relative to the protection gained. This article is for general informational purposes only and does not constitute legal advice. To discuss your UIM claim, contact Saguaro Injury Law at (623) 887-2002 for a free consultation or take our free case review. Hablamos español. Past results do not guarantee future outcomes.
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*Disclaimer: This article is for general informational purposes only and is not legal advice. Reading it does not create an attorney-client relationship. For advice on your specific situation, please contact a licensed Arizona attorney. Past results do not guarantee future outcomes.*