The standard personal-auto policy offers uninsured motorists (UM) coverage to insureds; of course, there are exclusions that limit the scope of the coverage.

One of the more troublesome exclusions is one that states the insurer will not provide UM coverage for bodily injury sustained “by an insured while occupying, or when struck by, any motor vehicle owned by that insured which is not insured for this coverage under this policy.”

This exclusion—better known as the “owned-but-not-insured” exclusion—seems straightforward enough. If an insured is driving to the store in his 2012 Chevy and is hit by an uninsured motorist, then that insured cannot claim UM coverage for his bodily injuries under his auto policy if he has not purchased that particular coverage for the 2012 Chevy. However, as with most insurance policy language, the owned-but-not-insured exclusion is subject to judicial interpretation which can render the exclusion void and useless.

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