Auto Insurance
Having the right auto insurance policy can help protect you financially if you are involved in an accident or your vehicle is damaged. An auto insurance policy is designed to provide you with a layer of protection against property, liability and medical costs following an accident.
But choosing the right auto insurance can be overwhelming. Reach out to our agency today to learn more about auto insurance and find the policy that’s right for you.
What Do Auto Insurance Policies Cover?
Depending on the policy you choose, your coverages will vary. Here are some of the most popular coverages:
- Collision insurance—This portion of your policy helps cover damage costs if you are involved in a collision.
- Liability insurance—If you are at fault in a wreck, this type of coverage helps insure you against any damage you cause others. Most states, including Illinois, require drivers to carry minimum amounts of liability insurance. There are two kinds of coverage included in liability insurance:
- Property damage liability—This coverage helps pay for damage to the other driver’s property (e.g., their car).
- Bodily injury liability—This coverage helps pay for medical bills and sometimes death benefits for the other person involved in the wreck.
- Medical payments (MedPay) insurance—This portion of your policy helps you pay for the medical bills of you and your passengers if you are involved in an accident.
- Uninsured/underinsured motorist insurance—This type of coverage helps you cover the cost of damages caused by someone who doesn’t have adequate auto insurance, specifically liability coverage.
- Comprehensive insurance—This portion of your policy covers damages that are not related to a wreck, such as theft, weather damage or vandalism.
There may be additional coverages that will be necessary based on your unique situation. Be sure to ask our agency how we can tailor your auto coverage to your needs.
Factors That May Contribute to Higher Rates
Your auto insurance premiums can vary significantly depending on your unique circumstances. Specifically, the following conditions could require you to pay more for coverage:
- Poor driving record—If you have a history of traffic violations or citations, you’ll likely face higher rates.
- High-value vehicle—More expensive vehicles often cost more to repair or replace, making them more risky for insurers.
- Heavy traffic—If you live or drive in an area with significant traffic, carriers may consider you riskier.
- Higher crime rates—Auto insurance often covers vehicle theft and vandalism, but if your location experiences such incidents frequently, you’ll need to pay more for coverage.
- Natural disaster risk—Comprehensive coverage can include incidents like floods and severe weather, but insurers may quote higher premiums if you’re in an area prone to inclement conditions.
- Listing a teen driver—Teenage drivers are considered particularly risky, meaning if you add children to your policy, you may see increased costs.
Why State Minimum Requirements May Not Provide the Best Protection
Adhering to state laws regarding auto insurance is necessary, but doing so doesn’t necessarily mean your coverage is sufficient. Illinois requires the following:
- Bodily injury liability coverage
- Property damage liability coverage
- Uninsured/underinsured motorist coverage
However, while such aspects of your policy are valuable, you may still need to address coverage gaps. For example, if your vehicle is damaged in an accident for which you’re at fault, you’ll need collision coverage to receive a payout to help repair or replace your car. Additionally, if you’ve purchased your vehicle with the help of a loan, your lender may impose their own requirements to protect their interests.
How to Lower Your Auto Insurance Rates
When seeking to minimize your premiums, consider the following possibilities:
- Maintain a clean driving record.
- Avoid filing small claims.
- Increase your deductible.
- Bundle your policy with home or renters insurance.
- Improve your credit score.
- Check for discounts.
How to Add a Driver to Your Policy
You may be able to list multiple drivers on the same auto insurance policy. Additional insureds could include your spouse, partner, children, roommates and other family members. Contact your insurance agent to ensure anyone who regularly operates your vehicle is covered.
How to Get Auto Insurance
Illinois Insurance Family is committed to helping you find a policy to fit your specific needs. Reach out to us today to start the conversation or to get a quote.