Uninsured Motorist Policy Exclusions – The “No Contact” Rule Explained
October 5th, 2011
You are driving down the road when some maniac swerves into your lane from the opposite direction. You, the responsible driver, take evasive action and swerve off the road into a ditch to avoid a head-on collision that would mean certain death. The car is totaled, you have a broken arm from the impact with the ditch, but you are alive. The other car flees the scene. But everything is ok, because you bought uninsured/underinsured motorist coverage (UM/UIM), right? I mean, the Allstate Insurance guy stood there on t.v. and told you you were in good hands, right?
No Contact Means No Coverage in UM/UIM
Boy are you in for a surprise when you make that call to your insurance company. There is a rule of law that requires contact between your vehicle and the offending vehicle before coverage ever kicks in. This is known as the “no contact” rule. The idea behind such a rule is to prevent people who fall asleep at the wheel and hit a tree from fraudulently claiming they were run off the road and claiming it under their own uninsured motorist insurance. Because the rule does not differentiate between legitimate and fraudulent claims, you, the responsible victim, get punished too. And that is Allstate’s, and every other insurance company’s, stance.
Questioning how good of hands you are really in yet? You should be.