Does Uninsured Motorist Cover Property Damage? States, Costs, and Claims

Yes. A standard uninsured motorist policy can cover property damage, but only through a specific add-on called uninsured motorist property damage coverage, or UMPD. It pays to repair or replace your vehicle when an at-fault driver has no insurance, or not enough, to cover what they owe you. Whether you can buy it, how much it pays, and what deductible applies depends entirely on your state. UMPD is available in roughly 25 states and Washington, D.C.¹

UMPD is a separate coverage from uninsured motorist bodily injury, which handles medical bills and lost wages. The property side pays for your car and, in many states, other property damaged in the crash.

What UMPD Actually Pays For

At its core, UMPD covers the cost to repair or replace your car after a collision caused by a driver who is uninsured or underinsured. In many states it also extends to other property damaged in the crash, such as a fence, a shed, or the side of your house.² Some states additionally cover personal belongings inside the vehicle at the time of the accident, though that varies by state and policy.³

The scope varies. According to State Farm, depending on your state, UMPD may cover the insured vehicle only, the vehicle plus loss-of-use costs like a rental car, the vehicle plus personal property, or all three combined.⁴ Whether UMPD applies to a rental car you are driving is policy-dependent, so check with your insurer before assuming you are covered.³

UMPD vs. Collision Coverage

UMPD and collision coverage both pay to fix your car, but they are not the same product. Collision applies regardless of who caused the crash: single-car accidents, hit-and-runs, and crashes where you are at fault. UMPD only kicks in when the other driver is at fault and that driver is uninsured or underinsured.³

The deductible is usually the practical difference. Collision policies typically carry deductibles from $500 to $2,500. UMPD often has no deductible or a much smaller one. Texas caps the UMPD deductible at $250, and the state’s insurance department notes that collision deductibles are “likely much higher” by comparison.⁵⁶⁷

If you already carry collision coverage, UMPD becomes less critical, because collision will pay for the same vehicle repairs. The main reason to keep UMPD alongside collision is the lower or nonexistent deductible, which means less out of pocket when an uninsured driver hits you. If you carry comprehensive but not collision, UMPD is worth serious consideration. Comprehensive does not cover collision damage, so without UMPD you would have no way to pay for repairs after an uninsured-driver accident.³

The Collision Deductible Waiver

Some states offer a related product called a collision deductible waiver. Drivers who already have collision coverage can add this waiver instead of UMPD, and it eliminates the collision deductible when the crash was caused by an uninsured driver. In California, insurers are required to offer both UMPD and a collision deductible waiver, and policyholders choose between them.⁸ The waiver typically costs between less than $1 and $12 per month and does not apply to single-car accidents, shared-fault situations, or most hit-and-runs where the other driver is never identified.⁹ In some states the two products are mutually exclusive on the same policy.¹⁰

Which States Offer UMPD

UMPD is offered in approximately 25 states and Washington, D.C. In many it is optional. A few require it or require insurers to offer it. The rest do not make the coverage available at all.¹ Where UMPD is not available, collision coverage is the primary way to protect your vehicle from an uninsured driver.

Rules vary widely. A few state examples show the range:

Ohio: Insurers must make UMPD available, but the coverage limit need not exceed $7,500 or the policy limit, whichever is less, with a maximum $250 deductible. If a driver already carries collision that covers uninsured-motorist losses, the insurer does not have to offer UMPD.¹¹
Illinois: UMPD is optional and can be purchased with or without collision. The deductible is capped at $250 by statute. Coverage only applies when the at-fault uninsured driver is identified.⁷
New Jersey: Drivers with a standard auto policy can add UMPD with a minimum limit of $5,000, up to their own liability limit. All UMPD claims carry a $500 deductible.¹²
California: UMPD is capped at $3,500 with a mandatory $250 deductible, applies only when the uninsured driver is identified, and must be offered alongside a collision deductible waiver.⁸
Virginia: Virginia law requires uninsured motorist endorsements to include at least $20,000 in property damage coverage. Effective July 1, 2024, the state eliminated the option for drivers to pay a $500 fee in lieu of carrying insurance, making auto coverage mandatory for all drivers.¹³¹⁴

Hit-and-Run Accidents

Whether UMPD covers a hit-and-run depends on state law and the specifics of the incident. Insurers generally treat a driver who flees as uninsured, which in theory triggers UMPD. In practice, many states require the at-fault driver to be identified before UMPD will pay out, and some states require actual physical contact between the vehicles.¹⁵ Texas is a notable exception where uninsured and underinsured motorist coverage does pay for car repairs after a hit-and-run, and the Texas Department of Insurance highlights the lower deductible as an advantage over collision in those situations.¹⁶

At least 24 states have adopted some form of physical contact requirement, meaning that if another car forces you off the road but never touches your vehicle, UMPD may not apply. States with such requirements include California, Georgia, Illinois, New York, North Carolina, Ohio, Tennessee, Texas, Virginia, and Washington, among others.¹⁷ A handful of states, including Maine, New Mexico, Oklahoma, and Rhode Island, have struck down physical contact requirements as contrary to public policy, allowing claims even when the at-fault vehicle never made direct contact.¹⁸

Where the driver cannot be identified and the state requires identification, collision coverage is typically the fallback, though it comes with a higher deductible.

What No-Fault Rules Change (and Don’t)

In the 12 states that use a no-fault insurance system, personal injury protection covers medical expenses and lost wages regardless of who caused the accident. Property damage sits outside that framework. Vehicle repairs still follow traditional fault-based rules, meaning the at-fault driver’s property damage liability is supposed to pay for your car.¹⁹ When that driver is uninsured, collision or UMPD fills the gap, though UMPD availability still depends on the state. New Jersey includes UMPD in its standard policy options.¹² Michigan does not appear to offer UMPD, relying instead on collision coverage and a mini-tort provision that lets victims recover up to $3,000 from an at-fault driver who lacks adequate insurance.²⁰

What UMPD Costs

Adding UMPD is generally inexpensive. One estimate puts the average annual cost at roughly $36, compared to about $136 for uninsured motorist bodily injury coverage.²¹ The exact premium depends on the amount of coverage purchased, your record and location, and the insurer’s pricing. In states with high uninsured-driver rates, the coverage may cost more but is arguably more valuable, since more than 15% of U.S. drivers carried no auto insurance as of 2023 and roughly one in three were either uninsured or underinsured.²²

How to File a UMPD Claim

The process varies by state and insurer, but it generally follows a predictable path:

Call 911 and file a police report. A police report documents the crash and verifies whether the other driver has insurance. Most insurers require one, and some policies set a specific filing deadline.²³
Collect evidence at the scene. Photograph both vehicles, license plates, and the surrounding area. Get names and contact information from witnesses. Exchange driver’s license and vehicle details with the other driver if they are still there.
Notify your insurer promptly. Report the accident as soon as possible to open the claim. In New Jersey you must get your insurer’s permission before settling with the other driver’s insurance company.¹²
Cooperate with the investigation. Your adjuster may request the police report, your photos, witness contacts, and repair estimates. The insurer verifies that the at-fault driver is uninsured using police records and state databases.²³
Receive a settlement. The insurer determines the claim value based on your UMPD limits, pays for repairs or the vehicle’s actual cash value if totaled, and applies any deductible required by your state or policy.

Most uninsured motorist claims resolve within a few weeks to a couple of months, though complex cases involving disputed fault or extensive damage can take longer.²³

Why UMPD Claims Get Denied

Insurers deny or reduce UMPD claims for several recurring reasons:

Shared fault. In states that apply contributory or strict comparative rules, your payout can be reduced or eliminated if you contributed to the accident. Maryland’s uninsured motorist coverage only applies if the other driver is found to be 100% at fault; any fault on the policyholder’s part bars recovery entirely.⁶
Failure to identify the at-fault driver. Many states require identification before UMPD applies, and “phantom vehicle” claims are frequently denied on this basis.¹⁵
Late reporting. Insurers may deny claims if the accident was not reported to police promptly or filed within policy deadlines. In Oregon, hit-and-run claims must be reported to law enforcement within 72 hours, with a sworn statement filed with the insurer within 30 days.²⁴
Valuation disputes. Even when coverage applies, insurers sometimes undervalue the vehicle or dispute repair costs. If a totaled vehicle’s actual cash value is contested, you may need an independent appraisal.
Settling without insurer consent. In some states, accepting a settlement from the at-fault driver or their insurer without your own insurer’s written permission can void your UMPD claim.²⁴

If a claim is denied, most policies include a dispute resolution process. New Jersey, for example, requires binding arbitration for UMPD disagreements, with each side selecting an arbitrator and the two arbitrators choosing a third.¹²

1
The Hartford. Uninsured Motorist Property Damage (UMPD)
2
Insurance Information Institute. Protect Yourself Against Uninsured Motorists
3
Progressive. Uninsured Motorist Property Damage vs. Collision
4
State Farm. Uninsured and Underinsured Coverage
5
Texas Department of Insurance. Uninsured Motorist Coverage
6
Maryland Insurance Administration. What You Need to Know About Uninsured Motorist Claims
7
Illinois Department of Insurance. Auto Definitions
8
California Department of Insurance. Auto Insurance Basics
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ValuePenguin. Car Insurance Collision Deductible Waiver
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AAA. Common Auto Insurance Terms Explained
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Ohio Legislative Service Commission. Section 3937.181 – Property Damage Coverage
12
New Jersey Department of Banking and Insurance. What You Should Know About Auto Insurance
13
Virginia Code Commission. Section 38.2-2206
14
WDBJ7. Virginia Drivers Now Required to Have Car Insurance
15
Progressive. Hit-and-Run Insurance
16
Texas Department of Insurance. Hit and Run
17
IRMI. Interpreting the Physical Contact Requirement of Uninsured Motorist Coverage
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Drake Law Review. Uninsured Motorist Physical Contact Requirement
19
FindLaw. Car Insurance Laws by State
20
Michigan Department of Insurance and Financial Services. Auto Insurance in Michigan
21
Chopra Nocerino. Should I Buy Uninsured Motorist Coverage in New York
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Insurance Information Institute. Facts and Statistics: Uninsured Motorists
23
State Farm. What to Do if Hit by an Uninsured Driver
24
Johnson Law. UM/UIM Claims: Why Your Own Insurance Company Still Fights You