CHARLESTON, S.C. (Palmetto Life) — With numerous car insurance commercials flooding television screens daily, many drivers struggle to understand what coverage they actually need versus what companies are selling them.
Trial attorney Allie Menegakis walked through South Carolina’s insurance requirements and explained why minimum coverage may not be enough to protect drivers and their families.
State requirements
South Carolina requires drivers to carry liability insurance with minimum coverage of $25,000 per person and $50,000 per accident for bodily injury. The state also mandates uninsured motorist coverage at the same minimum levels.
“People coming to our office say they have full coverage, but it turns out they really don’t,” Menegakis said.
Drivers without proper insurance face penalties including tickets, vehicle impoundment and license suspension.
Coverage limitations
The minimum liability coverage can quickly prove inadequate in serious accidents. A single hospital visit can cost over $10,000, and a family of five involved in an accident could easily exceed the $50,000 policy limit.
“One trip to the hospital can run you over $10,000. You add that with a family of five, and you can max out that policy limits of the other driver very quickly,” Menegakis said.
Uninsured vs. underinsured coverage
While South Carolina requires uninsured motorist coverage, it does not mandate underinsured motorist coverage (UIM). This optional coverage fills gaps when the at-fault driver has insurance but insufficient limits to cover all damages.
For example, if an at-fault driver carries only the minimum $50,000 coverage but causes $200,000 in medical bills, underinsured coverage would pay the difference up to the policy limits.
“Unfortunately, I’ve seen many times where clients don’t pay for the underinsured motor vehicle coverage,” Menegakis said.
She cited a case where a client died in a crash caused by a DUI driver with minimum coverage, leaving the family responsible for funeral costs and other expenses because they lacked underinsured coverage.
Recommendations
Menegakis recommends drivers, especially those with families, increase their coverage beyond state minimums and purchase underinsured motorist protection.
“It’s really important not just for you, but for your family. Heaven forbid something tragic happens,” She said.
Drivers can discuss higher coverage limits with their insurance companies to better protect against significant medical bills and other costs from serious accidents.
Copyright 2026 WCSC. All rights reserved.
Based in New York, Stephen Freeman is a Senior Editor at Trending Insurance News. Previously he has worked for Forbes and The Huffington Post. Steven is a graduate of Risk Management at the University of New York.