Uninsured vs. Underinsured Motorist Coverage in Tennessee

By the FigureMyTax Editorial Team · How we calculate

Tennessee has one UM coverage. A vehicle is uninsured if the liability limits available to you are less than your UM limit, even if the driver has some insurance. UM pays your limit less the limits collectible, and injury actions generally must be filed within one year.

Uninsured includes underinsured

T.C.A. 56-7-1202(a) defines an uninsured motor vehicle as one for which the sum of the limits of liability available to you under all valid and collectible policies, bonds and securities is less than the applicable limits of your UM coverage. It compares limits, not your damages. A governmental unit's liability limits count as available coverage.

How it pays

Section 56-7-1201(d) sets the insurer's limit as the UM amount in your policy less the sum of the limits collectible under all liability and primary UM policies. With $100,000 of UM and $25,000 of collectible limits, UM pays up to $75,000.

Fault

Tennessee's comparative fault rule comes from court decisions we did not read. It is widely described as barring a plaintiff who is 50 percent or more at fault and reducing damages by the plaintiff's share. Ask an attorney about your facts.

Deadlines

Actions for injuries to the person must be commenced within one year after the cause of action accrued, or two years if criminal charges are brought and the statute's other conditions are met (T.C.A. 28-3-104(a)). The statute says to construe it strictly. Do not wait to file.

Next steps

Stacking is a separate question; see our statute post and the explainer, then use the Tennessee UM/UIM stacking calculator.

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