Auto insurance protects you at the time of an accident and from a variety of perils that can cause losses. When you purchase auto insurance you’re purchasing coverage for more than the replacement or repair of your vehicle after an auto accident. You are purchasing financial protection for one of the largest investments you will make. Financial loss may include medical bills and legal services as a result of an accident caused by you, someone else or an act of nature. Our insurance consultants are well-versed on the auto insurance options that exist in today’s insurance marketplace and because we represent some of the finest national and regional carriers in the country, we can help you choose the coverage that’s right for your needs, goals and budget.
Contact Fort Dearborn Insurance at 847.853.5300 for information about Northern Illinois Auto Insurance.
Understanding Your Auto Insurance Policy
Understanding your auto insurance policy can be confusing and time consuming. Options for automobile coverage can range from the most basic protection plans that meet or exceed the required minimums set in place by your state to extra protection to keep you and your loved ones financially safe and secure. We can help you sift through your options so you can make informed choices as to which coverage and coverage limits best fit your insurance needs.
- Bodily Injury Liability – This covers injuries that you, the designated driver or policyholder, cause to someone else.
- Property Damage Liability – This coverage pays for damage you may cause to someone else’s property – usually this means someone else’s auto, but it could be a fence, light post or any other piece of property.
- Medical Payments – Medical payments cover certain medical expenses if any vehicle occupants are injured in an accident.
- Collision Coverage – This coverage pays for damage to your vehicle resulting from a collision with another vehicle, object or as a result of flipping over.
- Comprehensive Coverage – This coverage is used to repair your vehicle when physical damage occurs from non-collision related incidents, including theft, fire, vandalism, glass breakage, and contact with animals.
- Uninsured/Underinsured Coverage – If you are involved in an accident caused by another driver who is either uninsured or does not have enough auto insurance, this coverage steps in to pay any related expenses to you and your vehicle.
- New Auto Replacement Coverage – This provides financial protection for the value of the auto including depreciation, but not the vehicle’s sticker amount.
- Rental Reimbursement Coverage – This coverage pays a specific amount per day to rent a vehicle while yours is being repaired due to a covered loss.
- Roadside assistance – Roadside assistance provides services such as towing, flat tire change, locksmith service and battery jump-start.
Personal Factors That Affect Insurance Rates
- Credit score
Studies have shown that credit history is a powerful predictor of future auto insurance losses. Many insurance companies consider certain credit characteristics in addition to many other factors when determining an individual’s auto insurance premium.
- Traffic tickets
Every company has a different policy when it comes to traffic tickets. Some will raise your rates for 3-5 years, while others may apply a surcharge for the first year. Excessive speeding is linked to higher auto accident rates, which makes you a much bigger risk in the eyes of your auto insurance company.
- Auto claims
Insurance companies maintain different policies regarding auto claims. A driving record that is clean and free of accidents will hold far better for you than lots of tickets and/or accidents.
- Driving history
Your driving record tells insurance companies a lot about you. If your driving history contains numerous examples of poor judgment and unsafe driving habits, most insurance companies will view you as an unattractive customer, and may either refuse to provide coverage or provide coverage at a higher rate.
Auto rates are higher for all drivers under age 25.
Having a young driver under age 25 in the household can bring new challenges and insurance needs. Here are a few resources to consider:
Teen Driver Video