Liability insurance is required by law. It pays when the insured driver is legally responsible for another person's damages.
Minimum liability limits in Illinois are $25,000/$50,000 for bodily injury, and $20,000 for property damage. Choose a liability limit that adequately protects your financial assets.
Auto policies must include uninsured motorist bodily injury (UMBI) coverage. This pays the insured's injury-related damages like medical bills, lost wages or pain and suffering due to an accident with an uninsured driver. It is best to match bodily injury and UMBI limits.
Underinsured motorist bodily injury (UIMBI) pays when the at-fault driver has lower bodily injury limits than the insured's UIMBI limit. It is best to match bodily injury and UIMBI limits.
Physical damage is split into two coverages (comprehensive and collision) that pay for damage to your insured vehicle. This is optional, but lenders insist on it.
Comprehensive pays for losses like windshield chips, vandalism, theft and hitting a deer. Most policies have a comprehensive deductible.
Collision pays to repair the insured vehicle following a crash with another car or fixed object. This coverage has a deductible.
Auto insurers offer a variety of endorsements that expand coverage for an additional cost. Among these are rental reimbursement, towing, gap coverage for leased or financed vehicles, custom or non-factory equipment, uninsured motorist property damage coverage and more.
Filing a claim with your own insurance company is called a first-party claim. Review the policy's 'Loss Settlement Provisions' for more about the claim settlement process.
Requesting damages from another person's insurance company is called a third-party claim. These claims are settled according to policy terms between the other person and their company.