Jeffrey Wade
Full coverage auto insurance in Illinois is not required by the state, but it is a comprehensive or collision package that covers your vehicle in the event of an accident. This is in contrast to basic liability insurance, which only covers the other driver's vehicle. Full coverage includes the state-mandated minimum liability coverage, which is currently $25,000 per person for bodily injury, with a total maximum of $50,000 per incident, and up to $20,000 for damage to another person's property.
| Characteristics | Values |
|---|---|
| Full coverage | Not required by the State |
| Includes comprehensive or "collision" package | |
| Collision coverage | Protects your vehicle if it is damaged in an accident |
| Comprehensive coverage | Protects your vehicle if it is damaged by something other than a collision, e.g. theft, fire, hail, etc. |
| Deductible | The amount that you must pay out-of-pocket (not covered by your policy) in the event of an accident |
| Liability coverage | Mandatory for all drivers in Illinois |
| Covers only the other car and/or that car’s driver and passengers when you are found at fault for the accident | |
| Will not cover your own costs for personal injuries or property damage | |
| Bodily injury liability insurance | Minimum $25,000 per person and $50,000 per accident |
| Property damage liability insurance | Minimum $20,000 per accident |
| Uninsured motorist coverage | Minimum $20,000 bodily injury liability per person and $40,000 per accident to you and your passengers |
| Underinsured motorist coverage | Kicks in after the at-fault driver's personal injury coverage has reached the max |
What You'll Learn
Bodily injury liability coverage
In Illinois, auto insurance is mandatory for all vehicle owners. While the state does not require full coverage, it does mandate minimum liability coverage, which includes bodily injury liability insurance. This type of insurance covers the costs associated with injuries or death sustained by another person involved in an accident caused by the policyholder. This typically includes the driver of the other car, passengers in either car, and even pedestrian bystanders.
Bodily injury liability insurance covers medical expenses and hospital bills, legal expenses related to the accident, and lost wages resulting from accident-related injuries. It is important to note that this type of insurance does not cover costs related to the policyholder's vehicle damage.
In Illinois, the minimum bodily injury liability coverage limits are $25,000 per person per accident and $50,000 total per accident. This means that the insurance provider will pay up to $25,000 toward one person's accident-related injuries and up to $50,000 toward the total of everyone else's accident-related injuries, excluding the policyholder. These limits are often indicated as 25/50 on insurance policies.
While the minimum coverage is required by law, it may not be sufficient for all drivers. If a policyholder is at fault for an accident that results in extensive injuries, their bodily injury liability policy may not cover all the necessary expenses. In such cases, the injured parties can sue the policyholder to cover their costs, which they may have to pay out of pocket. To avoid this, it is recommended to purchase a policy with additional liability coverage or a personal umbrella insurance policy.
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Property damage liability coverage
The types of property damage covered typically include damage to structures and stationary objects, such as fences, telephone poles, lamp posts, houses, businesses, mailboxes, and trees. This coverage is essential as even a minor fender bender can result in significant financial loss without it. Additionally, driving without liability insurance in Illinois can lead to the loss of driving privileges.
When purchasing auto insurance in Illinois, you will likely encounter two types of liability insurance policies: combined single limit policies and split limit policies. Combined single limit policies provide a specific amount of coverage, allowing the policyholder to allocate it between property damage and bodily injury as they see fit. On the other hand, with a split limit policy, the insurance company determines the coverage amounts for property damage and bodily injury.
For example, a shorthand representation of 25/50/20 in a split limit policy indicates that the first two figures ($25,000 and $50,000) apply to bodily injury coverage for one or multiple people in an accident, while the final figure ($20,000) covers repairs to someone else's property damaged in the accident. It is important to note that the minimum coverage limit per accident in Illinois is $15,000, but it is recommended to purchase higher limits to ensure adequate protection.
The cost of property damage liability coverage in Illinois depends on various factors, including your driving history, age, and the state you reside in. It is also influenced by the insurance company you choose. Utilizing an online auto insurance calculator or comparing free quotes can help you estimate the cost of this coverage. While the state's minimum requirement may be tempting to meet, it is essential to consider the potential financial risks of causing an accident and opt for the maximum coverage you can afford.
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Uninsured motorist coverage
Illinois law requires all vehicle owners to have a minimum amount of auto liability insurance. This includes uninsured motorist coverage, which protects you if you are in an accident caused by a driver who does not have auto insurance or is a hit-and-run driver. Uninsured motorist coverage will cover the cost of injuries to you and your passengers, and in some cases, damage to your vehicle.
The minimum amount of uninsured motorist coverage required in Illinois is $25,000 per person and $50,000 per accident. This means that if you are in an accident caused by an uninsured driver, your insurance company will pay up to $25,000 per person for injuries, and up to a total of $50,000 for all injuries in the accident. This coverage is intended to help pay for medical expenses, pain and lost wages resulting from the accident.
While liability insurance in Illinois automatically includes uninsured motorist coverage, it is important to note that this coverage may not include property damage. This means that if your car is damaged or totaled in an accident with an uninsured driver, you may have to pay for repairs or a new vehicle out of your own pocket. Uninsured motorist property damage coverage is not legally required in Illinois, but it is an option that you may want to consider adding to your policy. This type of coverage will help protect you from the financial burden of repairing or replacing your vehicle if it is damaged in an accident with an uninsured driver.
In addition to uninsured motorist coverage, Illinois law also requires drivers to have underinsured motorist coverage. This type of coverage kicks in if you are in an accident with a driver who has insurance but their policy limits are not high enough to cover the full cost of your injuries or property damage. Underinsured motorist coverage will help fill the gap between the other driver's policy limits and the actual cost of your expenses.
While the state-mandated minimum coverage limits for uninsured and underinsured motorist coverage may provide some financial protection in the event of an accident, it is important to consider whether these limits are sufficient for your needs. If you are in a serious accident, the cost of medical care, repairs, and lost wages could exceed the minimum coverage limits. You may want to consider purchasing higher limits of uninsured and underinsured motorist coverage to ensure that you are fully protected in the event of a crash.
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Underinsured motorist coverage
In Illinois, underinsured motorist coverage is an important component of auto insurance. This type of coverage comes into play when you are involved in an accident with a driver whose insurance policy does not adequately cover your expenses. In such cases, your insurance company steps in to cover the expenses that exceed the limits of the other driver's policy.
Illinois law requires all drivers to have auto insurance. The minimum coverage requirements in the state include liability coverage with limits of $25,000 for bodily injury per person and $50,000 per accident, as well as $20,000 for property damage per accident. Drivers are also mandated to carry uninsured/underinsured motorist coverage with the same bodily injury limits of $25,000 per person and $50,000 per accident. These requirements ensure that drivers can cover the costs of accidents and protect both themselves and victims from financial difficulties.
While the minimum coverage requirements provide a level of protection, they may not be sufficient to cover all expenses in the event of a significant accident. For example, medical bills from injuries can quickly accumulate, and the minimum coverage limits may not be enough to cover the full cost. As a result, it is generally recommended to purchase higher limits of uninsured/underinsured motorist coverage to ensure adequate protection.
It is important to note that underinsured motorist coverage is different from uninsured motorist coverage. Uninsured motorist coverage applies when the at-fault driver has no insurance at all, while underinsured motorist coverage is for situations where the driver has insurance but it is insufficient to cover the damages. When purchasing auto insurance in Illinois, it is advisable to opt for higher limits of uninsured/underinsured motorist coverage to ensure you are adequately protected in the event of an accident, regardless of the other driver's insurance status.
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Collision coverage
In Illinois, collision coverage is subject to a deductible, which is the amount you must pay out-of-pocket before the insurance company covers the rest. Deductibles can range from $0 to $1,000 or more, and choosing a higher deductible can help lower your insurance premium.
When deciding whether to add collision coverage to your policy, consider the value of your vehicle, your ability to pay for repairs or a replacement out of pocket, and whether your vehicle will be in storage for an extended period. Collision coverage may be particularly valuable if you have a new or expensive vehicle, cannot afford to pay for repairs or a replacement out of pocket, or are at a higher risk of an accident.
In summary, collision coverage is an important option to consider when purchasing auto insurance in Illinois. It can provide financial protection and peace of mind in the event of a collision, helping to cover the often-high costs of vehicle repairs or replacement.
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Frequently asked questions
Full coverage auto insurance in Illinois is not required by the state. It covers your vehicle in the case of an accident, unlike basic liability, which covers only the other driver's vehicle. Full coverage also includes the state-mandated minimum liability coverage.
The state-mandated minimum liability coverage in Illinois includes property damage and bodily injury. Property damage liability insurance covers damage to another person's car or property, such as fences, buildings, utility poles, signs, and trees. Bodily injury liability insurance covers the costs associated with the injury or death of another person involved in the accident. The minimum coverage amounts are $25,000 per person and $50,000 per incident for bodily injury, and $20,000 per accident for property damage.
Comprehensive coverage protects your vehicle from damage caused by something other than a collision, such as theft, fire, hail, or vandalism. Collision coverage, on the other hand, covers damage to your vehicle when it collides with another vehicle or object, or if it overturns.
A deductible is the amount that you must pay out-of-pocket for each claim before the insurance company begins paying. Typically, a higher deductible means a lower monthly rate for your insurance policy. For example, if you choose a $1,000 deductible and have $3,000 worth of damages, you will pay the first $1,000, and the insurance company will pay the remaining $2,000.
Uninsured/underinsured motorist coverage helps pay for damages when the other driver is at fault and does not have sufficient insurance to cover the costs. Uninsured motorist coverage is required in Illinois, with minimum limits of $25,000 per person and $50,000 per accident for bodily injury. Underinsured motorist coverage is also required if you purchase higher limits of uninsured motorist coverage.
