Auto insurance provides state-required liability protection if you are legally responsible for another person's crash-related injuries or property damage. Minimum limits are $25,000/$50,000 for bodily injury and $20,000 for property damage. Medical bills and vehicle repair costs may surpass these limits when a serious accident occurs, putting your financial assets at risk. Buy auto liability limits in line with your economic resources.
Uninsured and underinsured motorist coverages pay if you are in an accident with a driver that has no insurance or has bodily injury coverage below your underinsured motorist coverage limits. It is best to match UM and UIM coverage limits with BI limits.
A liability-only policy does not provide physical damage protection for your vehicle. Illinois law does not require physical damage coverage, but lenders usually insist on it.
Physical damage insurance is split between comprehensive (theft, vandalism, glass breakage, animal hit) and collision (hitting another vehicle or object). Both have deductibles. High deductibles reduce the cost of insurance, but you pay more out-of-pocket if you make a claim.
Consider uninsured motorist property damage coverage if you skip collision coverage. UMPD pays for damage to your vehicle caused by an identified uninsured driver. A deductible applies.
Review your policy declarations page to be sure identifying information (address, drivers, vehicles, coverages, lien holders, deductibles, etc.) is correct.
Add buy-back endorsements like towing, rental car reimbursement and gap insurance if appropriate.
Place a valid insurance identification car in the glove box of each vehicle insured on the policy.
Be familiar with policyholder responsibilities when a loss occurs.