Understanding Underinsured and Uninsured Auto Insurance Near Peoria, AZ

Some states require vehicle owners to have uninsured and underinsured motorist coverage in addition to liability insurance. Arizona does not. Nevertheless, consumer advocates and financial experts urge automobile owners not to forego this coverage, even though their premiums would be lower. The potential expenses of a serious accident caused by another driver could be substantial. After finding contact details for “auto insurance near me,” a vehicle owner can ask questions about this topic.


Uninsured drivers have no auto insurance. This is illegal in Arizona, but many take the risk. Underinsured motorists carry only the minimum required by law.

The Process

In Arizona, automotive insurance agents must offer the policies with this coverage included. The customer then rejects the coverage in writing if he or she does not want it. After searching for “auto insurance near me” and choosing a policy, the customer knows to expect this part of the process.

Extra Cost

This coverage does not add a large amount to premiums. Depending on the state and the insurer, it could be an extra $50 to $75 per year. In general, insurers in states with lower percentages of uninsured drivers have cheaper premiums for this coverage because of the lower risk.

Relevant Statistics

Arizona ranks 24th in the country for the percentage of uninsured drivers, at around 12 percent. People trying to make an informed choice about automotive insurance may consider that the top-ranked state in this category, Mississippi, has a rate of approximately 29 percent uninsured drivers. At the bottom is New Jersey, where only 3 percent do not have car insurance. That’s according to statistics from the Insurance Information Institute.

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