In the fifth blog post in a seven-part series, our Birmingham car accident lawyers explain how stacking works with uninsured/underinsured motorist (UM/UIM) auto insurance coverage.
Stacking insurance coverage allows insureds to increase their level of UM/UIM coverage according to the number of vehicles they drive. In Alabama, an insured may stack up to two additional coverages under the same policy for a total of three coverages. For example, when stacking two vehicles under a single policy where each car has a $25,000 UM/UIM limit, the total UM/UIM coverage available may be $25,000 for a single UM/UIM claim.
Insureds may also stack “across policies.” In such an instance, an insured with two vehicles on two different policies, where each policy has a UM limit of $25,000, may have the policies filed jointly to allow a limit of $50,000. In Alabama, an insured does not have the same limitation on the number of policies that can be stacked as he has on the number of vehicles that can be stacked within a single policy. That is, an Alabama insured may stack more than three total coverages if those coverages are from distinct policies.
The foregoing rules apply to drivers who are insured. A passenger may stack up to two additional coverages when that passenger qualifies as an insured. A passenger may not stack coverage under separate policies because the passenger is only an insured on the policy covering the vehicle in which the accident occurred.
If you have questions about stacking or a UM/UIM insurance policy, or if you have been hit by an uninsured or underinsured motorist and seek just compensation, contact our Birmingham car accident lawyers for a free case evaluation.