What is the purpose of uninsured motorist coverage?

Uninsured motorist coverage is designed specifically to protect drivers from financial losses that may arise due to accidents caused by other drivers who do not have insurance, or who have insurance that is insufficient to cover the damages incurred. This type of coverage can help pay for medical expenses, lost wages, and other related costs that a policyholder may face after an accident involving an uninsured or underinsured driver.

The importance of this coverage lies in its role in ensuring that drivers can recover losses that might otherwise go uncompensated due to the negligence of others who are not adequately insured. It serves as a safety net for policyholders, promoting financial security in situations where risks are heightened by the presence of uninsured motorists on the road. The other choices, while related to aspects of auto insurance, do not capture the primary aim of uninsured motorist coverage, which is to specifically address the gap created by uninsured or underinsured drivers.