What is the Risk of Being Hit by an Uninsured Driver?
Imagine doing everything right. You have insurance and follow the law, only to be hit by an uninsured or underinsured driver. On top of the physical and emotional toll of an accident, what should have been a straightforward insurance claim can become a financial nightmare. You may discover after the crash that your coverage still does not cover your medical bills and other losses. With 15.6% of Wisconsin drivers uninsured, and an estimated 1 in 7 crashes involving an uninsured driver, this is a harsh reality for many accident victims.
Auto Coverage Types
When people think about car insurance, they often focus on liability coverage, which protects drivers financially if they cause an accident. However, many overlook uninsured and underinsured motorist coverage — important types of protection that altogether help cover costs if the other driver doesn’t hold insurance.
To protect car accident victims, Wisconsin requires all auto insurance policies to include uninsured motorist (UM) coverage. At a minimum, policy limits must be at least:
- $25,000 per person
- $50,000 per accident
UM coverage helps pay for injuries suffered by you or your passengers if an uninsured driver hits you. It can also apply if you are involved in a hit-and-run crash. However, while UM coverage is required, the minimum limit often is not enough after a serious accident.
Why Underinsured Motorist Coverage Matters
While uninsured drivers create one risk, underinsured drivers create another. An underinsured driver has insurance, but it’s usually not enough insurance to fully compensate accident victims for their injuries. If the at-fault driver’s insurance runs out, victims may have to pay the remaining costs themselves. That’s where underinsured motorist (UIM) coverage can help.
Unlike UM coverage, UIM coverage is not automatically required on Wisconsin auto insurance policies. It must typically be purchased in addition. UIM coverage helps bridge the gap when an at-fault driver’s insurance is too little to cover your losses. Without it, you may be responsible for paying a portion of your medical expenses and other damages out of your pocket.
How to Protect Yourself from Coverage Gaps
- To better protect yourself and your family, it’s a good idea to have more coverage than Wisconsin’s minimum requirements and to add underinsured motorist coverage to your policy.
- Many people think the minimum coverage is enough since it meets the law, but after a serious accident, medical bills and repair costs can easily go beyond those limits.
- To find your current UM and UIM coverage limits, review your declarations page, a summary of your auto insurance policy.
- You can typically access it through your insurer’s mobile app or website.
- Consider increasing your coverage limits to better protect yourself against the financial impact of a serious accident. Although higher limits may cost you a little more, they help reduce the risk of being undercompensated when it matters most.
Sources:
Trecek, T. (2026, January 9). Wisconsin Auto Insurance Coverage: What Attorneys Recommend Having (and What You Can Skip) | Habush Habush & Rottier. Habush Habush & Rottier. https://www.habush.com/blog/wisconsin-auto-insurance-coverage-what-attorneys-recommend-having-and-what-you-can-skip
Facts + Statistics: Uninsured Motorists | III. (2015). Iii.org. https://www.iii.org/fact-statistic/facts-statistics-uninsured-motorists
Legislative Fiscal Bureau. (2009, May 19). Motor Vehicle Liability Insurance Provisions (Insurance). Legislative Fiscal Bureau, State of Wisconsin. https://docs.legis.wisconsin.gov/misc/lfb/budget/2009_11_biennial_budget/103_budget_papers/483_insurance_motor_vehicle_liability_insurance_provisions.pdf
Wisconsin Office of the Commissioner of Insurance. (2025, July). Consumer’s Guide to Auto Insurance. Wisconsin Office of the Commissioner of Insurance. https://oci.wi.gov/Documents/Consumers/pi-057.pdf