Ins and Outs of Illinois Vehicle Insurance

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Vehicle insurance in Illinois is mandatory for all drivers. It is essential to understand the basics of Illinois vehicle insurance before getting behind the wheel. In this article, we will discuss the various aspects of Illinois vehicle insurance coverage, including minimum coverage requirements, types of coverage, how to compare policies, and frequently asked questions.

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Minimum Liability Coverage Requirements

In Illinois, drivers are required to have liability coverage to legally operate a vehicle. Liability insurance covers damages to property and bodily injury that you may cause to others while driving. Illinois law requires drivers to have at least the following minimum coverage:

Coverage
Minimum Required
Bodily Injury (per person)
$25,000
Bodily Injury (per accident)
$50,000
Property Damage
$20,000

It’s important to note that these minimum requirements may not be enough to cover damages in the event of a serious accident. It’s recommended that drivers consider purchasing additional coverage to protect themselves in case of a liability claim.

Types of Coverage

Illinois drivers have several options when it comes to vehicle insurance coverage. These include:

Collision Coverage

Collision coverage covers damages to your vehicle in the event of an accident, regardless of who is at fault. This coverage is not required by law, but may be required by a lender if you have a car loan.

Comprehensive Coverage

Comprehensive coverage covers damages to your vehicle from non-collision events such as theft, vandalism, and weather-related damage. This coverage is also not required by law, but may be required by a lender if you have a car loan.

Uninsured/Underinsured Motorist Coverage

Uninsured/Underinsured Motorist (UM/UIM) coverage protects you if you are in an accident caused by a driver who doesn’t have insurance or doesn’t have enough insurance to cover the damages. This coverage is not required by law, but it’s a good idea to have it in case of an accident with an uninsured or underinsured driver.

Comparing Policies

When comparing vehicle insurance policies, there are several factors to consider. These include:

Price

The cost of premiums is a major factor when comparing policies. It’s important to get quotes from multiple insurance providers to find the best price.

Coverage Limits

Ensure the policy covers the legally required minimum coverage and consider purchasing additional coverage to protect yourself in case of an accident.

Deductible

The deductible is the amount you will pay out-of-pocket before the insurance company pays for damages. A higher deductible may result in lower premiums, but it also means you will have to pay more if you are in an accident.

Customer Service

Research the insurance provider’s reputation for customer service and claims processing. Look for reviews and ratings from other policyholders.

FAQ

What happens if I get caught driving without insurance in Illinois?

If caught driving without insurance in Illinois, you may face fines, license suspension, and the possibility of having your vehicle impounded. It is always best to carry insurance to avoid these consequences.

What is an SR-22?

An SR-22 is a certificate of insurance that shows proof of financial responsibility. In Illinois, drivers who have had a DUI or other serious driving violation may be required to file an SR-22 with the state to have their license reinstated.

What factors affect the cost of insurance premiums?

The cost of insurance premiums depends on several factors, including your age, driving record, vehicle make and model, location, and the amount and type of coverage you select.

Can I purchase insurance if I don’t own a car?

Yes, you can purchase Non-Owner insurance if you don’t own a car but still want liability coverage. This coverage will protect you while driving someone else’s car.

Do I need insurance if I only drive occasionally?

Yes, you still need insurance if you only drive occasionally. It is illegal to drive without insurance in Illinois, regardless of how often you drive.

By understanding the basics of vehicle insurance coverage in Illinois, drivers can protect themselves and their vehicles in the event of an accident. Remember to compare policies and select coverage that meets your needs and budget.

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