Uninsured vs. Underinsured Motorist Coverage in Kentucky

By the FigureMyTax Editorial Team · How we calculate

Kentucky is a choice no-fault state: $10,000 of basic reparation benefits, a tort threshold for pain and suffering, UM unless rejected in writing, and UIM only on request.

Minimum limits

The required minimum liability insurance is split limits of $25,000 per person, $50,000 per accident and $25,000 for property damage, or $60,000 single limits (KRS 304.39-110). UM must be provided in those limits unless rejected in writing.

Basic reparation benefits

Basic reparation benefits reimburse net loss from a motor vehicle injury up to $10,000 for all economic loss to one person in one accident (304.39-020). Tort liability is abolished to the extent those benefits are payable, except as the threshold allows, unless you filed a written rejection of the limitation before the accident (304.39-060).

The pain and suffering threshold

You may recover for pain, suffering, mental anguish and inconvenience only if the benefits payable as medical expense exceed $1,000, or the injury consists in whole or in part of permanent disfigurement, a fracture to a bone, a compound, comminuted, displaced or compressed fracture, loss of a body member, permanent injury within reasonable medical probability, permanent loss of bodily function or death. Tort liability is not so limited for injury to a person who is not an owner, operator, maintainer or user of a motor vehicle.

How UIM pays

UIM covers the uncompensated damages you recover because the judgment exceeds the other driver's liability limits, to the extent of your UIM limits, and your insurer is entitled to a credit against total damages in the amount of the other driver's liability limits (304.39-320(2) and (5)). With $100,000 of UIM, a $25,000 liability limit and $250,000 of damages after no-fault benefits, UIM can pay up to $100,000.

Deadlines and next steps

A tort action not abolished by the no-fault law may be commenced not later than 2 years after the injury, or the last basic or added reparation payment, whichever is later; an action for no-fault benefits has its own periods (304.39-230). Stacking is a separate question; see our statute post and the explainer, then use the Kentucky UM/UIM stacking calculator.

This is general information, not legal advice, and the state comparisons above are illustrative, not an exhaustive survey. Confirm how Kentucky's rules apply to your specific case with a licensed Kentucky attorney.