1. if a person is underinsured, the value of the health care for which they are insured is less than they need:
• We must focus on ensuring that low-income, underinsured residents can get decent health care.
2. if property or its owners are underinsured and the property is stolen, damaged etc, the owners will receive less from the insurance company than the property is worth:
• With our revaluation scheme, providing you were not underinsured to start with, you need no longer worry about becoming underinsured as a result of inflation.
— underinsurance noun [uncountable] :
• In the event of a serious loss considerable hardship can be caused by underinsurance.
* * *
underinsured UK US /ˌʌndərɪnˈʃɔːd/ adjective INSURANCE
► if a person or organization is underinsured, they do not have a high enough level of insurance: »
The main reason for people being underinsured is because they do not realise the true value of their property.
► if something is underinsured, it is insured for less than it is worth: »
Many homes are still under-insured for contents.
underinsurance noun [U]
► »
The problem of under-insurance is particularly acute for owners of listed property.
Financial and business terms. 2012.