It's now part of every policy. Since July 1, 2025, underinsured motorist coverage is included in every new or renewed North Carolina auto policy. It pays you when the at-fault driver's liability insurance runs out before your injuries are paid, and it is now measured against your total damages.
Pick your town or county and your coverage to see the typical yearly car insurance premium our own clients pay, from the personal auto policies we write and service.
Coverage| Vehicles on the policy | Typical yearly premium |
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Typical means the median. Six-month policies are doubled to a full year. Source: Sizemore Insurance clients' in-force personal auto policies as of October 10, 2026, not a survey or national average (how we got these numbers). Not a quote; your price depends on your drivers, your vehicles and the coverage you choose.
Liability insurance pays for the damage you cause others. Underinsured motorist coverage, often called UIM, protects you from the other driver's choices. If someone with a small policy causes a crash and your injuries cost more than that policy pays, your UIM coverage can pay the difference, up to your limit.
The Department of Insurance lists three changes. First, UIM is included in all new or renewed policies. Second, whether UIM applies is now based on the total damages the injured person sustained. Third, the total UIM available is the sum of the limits under each applicable policy, combining the highest limit available under each one.
In plain terms, it's easier for UIM to apply after a serious injury, and a household with more than one policy may have more UIM available than before.
The state minimum rose to 50/100/50 at the same time, but plenty of drivers still carry the minimum, and medical bills from a serious crash can pass $50,000 quickly. Your UIM limit is the money available to you in that situation. It's worth knowing what yours is.
Underinsured coverage is for a driver who has some insurance but not enough. Uninsured motorist coverage is for a driver with none at all, or a hit and run. They work together. Ask us to walk through how both are set on your policy.
It's worth pricing higher UIM limits, because they protect you and your family. When we quote auto coverage, we show what higher liability and UIM limits cost side by side, so you can decide with the numbers in front of you.
Your declarations page lists your underinsured motorist limit next to your liability limits. If you carry an umbrella policy, ask whether it adds uninsured and underinsured coverage too, because umbrellas handle that differently from company to company.
Every situation is a little different. If you want someone to look at your own policy, call us at (910) 791-1011 or start a quote online. We're an independent, family-owned company founded in 1977, with eight offices in North Carolina, and we're licensed in North Carolina, South Carolina, Virginia and Maryland.
This page is general information, not a coverage determination or legal advice. Policies, rules and availability vary and change. Review your own policy or talk to your advisor.