When buying car insurance in South Carolina, you will see terms like liability, UIM, UM, MedPay, PIP, collision, and comprehensive coverage. Knowing what these mean can help you choose the right insurance for your needs.
Types of Car Insurance Coverage
Liability Coverage: In a car wreck, the at-fault driver’s liability coverage is the first line of compensation for the other drivers, passengers, and any injured pedestrians or bicyclists. There are two categories of liability coverage. Bodily Injury Liability: Covers medical expenses, lost wages, and pain and suffering. Property Damage Liability: Covers damage to other people's property, including vehicles, buildings, and fences. The minimum liability coverage in South Carolina includes: $25,000 per person for bodily injury, $50,000 per accident for bodily injury, and $25,000 per accident for property damage. People with "only liability coverage" or "minimum coverage" have these minimum limits. For more information, see S.C. Code Ann. § 38-77-140.
Underinsured Motorist Coverage (UIM) helps pay for extra costs if you’re in an accident and the at-fault driver’s insurance doesn’t cover all your losses. This includes medical bills, lost wages, and other damages. While South Carolina doesn’t require UIM coverage, it’s highly recommended to protect yourself. For more information, see S.C. Code Ann. § 38-77-160.
In South Carolina, all drivers must have Uninsured Motorist Coverage (UM). This coverage helps pay for your medical costs and property damage if you're hit by an uninsured driver. Since 10% of South Carolina drivers were uninsured as of 2022, according to the Insurance Research Council, UM is especially important. It also covers damages if you're the victim of a hit-and-run accident. For more details, see S.C. Code Ann. § 38-77-150.
Collision Coverage is optional insurance that helps pay for repairs or replacement of your car if you're in an accident. It can save you from paying out of pocket for damage to your vehicle. Although South Carolina law doesn’t require it, your lender or leasing company may require it if you’re still making payments on your car. For more information, see S.C. Code Ann. § 38-77-280.
Comprehensive Coverage is optional insurance that helps pay for damage to your vehicle caused by events other than collisions. This includes situations like vandalism, theft, natural disasters, or hitting an animal. While it's not required by South Carolina law, your lender or leasing company might require it if you're financing or leasing your car. For more details, see S.C. Code Ann. § 38-77-280.
The terms Personal Injury Protection (PIP) and MedPay are often used interchangeably. This optional coverage helps pay for medical bills for you and your passengers, regardless of who caused the accident. It also covers injuries if you're a pedestrian or cyclist hit by a car. Payments from PIP/MedPay do not reduce compensation from liability, UM, or UIM bodily injury coverage. It's additional coverage that is usually paid out quickly, and it's relatively inexpensive and highly recommended. For more details, see S.C. Code § 38-77-144.
Stacking Coverage
In some cases, you can combine coverage from multiple vehicles to increase your compensation. This is called stacking, and it can be complicated. Consulting an attorney can help you understand how it works and what your options are.
Contact Us for Help
To find out how these options might help you, please reach out to our office. We can assist with understanding your insurance needs and provide representation if you’re involved in a car accident. For personalized advice and a free consultation, call us at (843) 823-6237.
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