Thursday, April 11, 2013

New Law Seeks to Raise Minimum Injury Insurance Limits

The State of Illinois is currently debating a bill which would effectively increase the minimum insurance coverage for bodily injury required of drivers in Illinois.  Currently, the minimum coverage necessary to keep a driver “legal” is $20,000 per person, $40,000 per occurrence.  Senate Bill 1898 would raise the minimum limits to $50,000 per person, $100,000 per occurrence.  The bill would also raise the minimum coverage for the destruction of property from $15,000 to $40,000.

Where does Illinois currently stand amongst the 50 states you ask?  Essentially in the middle.  However, passage of this law would put Illinois at #1 with Alaska, Maine, and Wisconsin, each having minimums of $50,000/$100,000.  Piece of advice,   be careful driving in Florida or Ohio.  The minimum to keep drivers in those states legal is $10,000 and $12,500 respectively.  The most common minimum policy limits (shared by 26 of the 50 states) is $25,000 per person, $50,000 per occurrence.

The best advice is to never rely upon other drivers carrying enough (or any) insurance.  Always make sure that you carry uninsured and underinsured motorist coverage.  Make sure to purchase a policy with the highest bodily injury limits you can afford.  The most common policy in Illinois is typically $100,000 per person, $300,000 per occurrence.  While the cost of uninsured and underinsured coverage is relatively minimal, the amount of money it could save you down the line could be substantial.  

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