Even if you're covered, uninsuredand underinsured drivers still pose serious financial risks toinsured drivers. Recent data from the Insurance ResearchCouncil (IRC) shows thatin the event of an accident, there is a one in eight chance thedriver is uninsured.

In some states, that numberis one out offive.

Every state apart from NewHampshire, and the District of Columbia require drivers to haveauto liability insurance to drive legally, but according to theIRC, the number of uninsured motorists is up for the first time inseven years, posing a serious threat to insured drivers.

Related: 1 in 8 U.S. drivers was uninsured in 2015, newstudy says

In the event of an accident withan uninsured or underinsured driver, they may not have enough — orany — insurance coverage to pay for your medical bills if you areinjured, or repair any damage to your vehicle.

Data shows that an estimated $2.6billion was paid in uninsured motorist claims in 2012 according tothe IRC. This high cost is one reason insurance premiums are on therise across the country, The Hanover Insurance Groupnotes.

Related: 10 states with the worst drivers

3 types of uninsured motorist coverage

Luckily, there are tactical waysto protect yourself from uninsured or underinsuredmotorists.

The Insurance InformationInstitute identifies three specific options for uninsured motoristcoverage that may vary by state and insurer. In general, here arethe three types of protection options available:

• Uninsured Motorist (UM)insurance – Also known asUninsured Motorist Bodily Injury (UMBI) insurance, this coveragewill pay your and your passengers' medical bills if you're involvedin an accident with an uninsured motorist who is at fault. Inaddition, UM insurance will reimburse you and your passengers forlost wages. UM coverage also kicks in if, as a pedestrian, you arehit by an uninsured driver, or if you're the victim of ahit-and-run accident.

• Uninsured Motorist Property Damage(UMPD) coverage – Uninsuredmotorist insurance covers bodily injuries but not damage to yourcar or property. For this, you need UMPD coverage, which, inaddition to paying for damages to your vehicle caused by anuninsured driver, generally also covers damage to other personalproperty such as your house or your fence. Ask your insuranceprofessional or state insurance department whether UMPD coverage isavailable in your state.

• Underinsured Motorist (UIM)protection – In someinstances, an at-fault driver may have liability insurance, but hisor her policy's limits do not cover the full extent of damage toyour vehicle. In such cases, UIM insurance will cover theshortfall.

It all comes down to the price ofpiece of mind, which according to The Hanover Group, costs onaverage $67, or a little more than $5 a month for uninsuredmotorist coverage.

Related: Personal auto policies: 5 questions agents shouldask buyers