Collision insurance is an optional add-on that protects your car if you hit another vehicle or a stationary object—like a guardrail, tree, or mailbox. It also helps cover damage from single-vehicle accidents and even potholes, according to the Insurance Information Institute.

Having collision insurance means you won’t have to shoulder repair costs alone after an unexpected accident, giving you financial protection and peace of mind every time you’re on the road.

Collision insurance is not required in Illinois or any other state; however, lenders often require it as a condition of your loans. Our agents at American Auto Insurance can help explain the nature of collision insurance and whether it makes sense for you.

The law in Illinois requires drivers to cover their vehicles with specific minimum amounts of liability insurance to protect others on the road from the risk of financial catastrophe. It recognizes that every time you get behind the wheel, you have the chance of harming other people or damaging their vehicles or other property.

Illinois law requires the following two forms of liability insurance:

• Bodily injury, which pays damages in accidents that involve physical injuries to others, including passengers in your vehicle. You must have a minimum of $25,000 of coverage for the injury or death of one person and $50,000 for the injury or death of multiple people. This insurance does not cover your own injuries.
• Property damage, which pays damages for harm caused to another's property, such as the other driver's car or other items they own or carry. The minimum required in Illinois is $20,000.

American Auto Insurance can provide you with both  types of local car insurance. In today's society, you may need more than these minimum amounts to cover the types of judgments that can occur following accidents. Our agents can help assess the level of risk you face on the road and make recommendations, based on data, for the proper amounts to carry above just the minimum level.

In Illinois, liability car insurance automatically protects you if you’re hit by a driver who flees the scene or by someone without insurance. State minimums are set at $25,000 per person and $50,000 per accident, but many drivers choose higher limits for better protection.

Our team at American Auto Insurance can help you compare options and find the right coverage for your needs. Adding underinsured motorist coverage can also safeguard you by covering the gap when an at-fault driver’s policy isn’t enough to pay for your damages.

If you have more questions about vehicle insurance coverage, contact our team of agents at American Auto Insurance. 

Illinois law requires every driver to carry a minimum amount of liability insurance. If you’re caught driving without coverage, the penalties are steep: a first offense can mean a three-month license suspension and fines of up to $1,000.

In more serious cases, the state may label you a “problem driver” and require you to file a Certificate of Financial Responsibility (SR-22 insurance). Drivers with three or more insurance violations are automatically required to carry an SR-22 policy.