Understanding Car Insurance Claims in Illinois

Dealing with insurance companies is a frustrating experience, especially after a collision caused by the other driver’s negligence. The process of filing a claim and getting it approved should be simple, but it rarely is , even when dealing with your own insurance company. Insurers are for-profit businesses that protect those profits by minimizing payouts and denying claims as often as possible. That’s why having an experienced car accident lawyer in Illinois file the paperwork, handle your case, and negotiate on your behalf is very valuable.

How Our Chicago Car Accident Attorneys Can Help with Your Auto Insurance Claim

For car accident victims, filing a claim while juggling doctor’s appointments, repairs, and family responsibilities can feel overwhelming. Fortunately, you do not have to do it alone. Instead, you can work with an experienced Chicago car accident attorney, giving yourself peace of mind that a formidable legal advocate is in your corner. While you focus on healing, they can:

Collect and examine evidence, including police reports, witness statements, digital data, and photos
Review that evidence to determine who caused the accident
Gather and review medical bills, records, and other evidence of injuries
Assess the compensation you are owed based on physical, emotional, and financial losses
Negotiate with the insurance company for a settlement
File a lawsuit if a negotiation is not feasible for fair compensation
Protect your rights and take care of all communication while you recover

How Does Insurance Work?

Car insurance is a contract between you and your insurance company. You pay a premium, and the company agrees to cover certain costs based on the terms of that contract. For example, liability insurance covers the costs associated with an accident that the policyholder causes up to the limits of the particular policy. So, if you’re the victim of a car accident, you can make a claim against the other driver’s insurance company. You can ask that they cover the cost of your medical treatment, vehicle repairs, lost income, and pain and suffering from the accident. The driver’s liability policy does not cover any injuries they themselves suffered in the auto accident.

Conversely, collision and medical payments insurance policies provide first-party benefits, meaning they cover you regardless of who is at fault for the crash.

Different Types of Auto Insurance that Might Affect Your Claim

The Illinois Department of Insurance encourages drivers to understand the different types of insurance to help avoid out-of-pocket costs after an auto accident or traffic incident. Here is auto insurance coverage explained in detail:

Liability coverage pays for bodily injuries or property damage that the policyholder (or someone driving the insured’s vehicle with their permission) causes to someone else. Illinois requires that drivers carry minimum limits of $25,000 per person, $50,000 per accident in bodily injury liability, and $20,000per accident in property damage liability. Bodily injuries include medical bills, pain and suffering, and lost wages. Property damage covers someone else’s property, primarily vehicles but also mailboxes, lamp posts, and other structures.
Uninsured motorist coverage pays for the cost of an accident caused by a hit-and-run driver or an at-fault driver without auto liability insurance. Effectively, this insurance fills in for the policy the other driver should have but does not. Currently, Illinois law requires uninsured motorist limits of at least $25,000 per person and $50,000 per accident.
Underinsured motorist coverage protects you from out-of-pocket expenses if the at-fault driver’s insurance is too low to cover medical costs and other losses.
Collision coverage pays to repair or replace the policyholder’s vehicle after an accident, regardless of who was at fault. It applies when the covered car hits another vehicle or strikes an object.
Comprehensive coverage pays for damage to the policyholder’s vehicle by events other than a collision, like vandalism, falling objects, fire, and theft.
Personal injury protection (PIP) covers medical expenses and, in some cases, lost wages and other damages, regardless of who is liable. It is mandatory in states that follow a no-fault insurance model and optional in certain others. PIP is unavailable in Illinois.
Gap insurance pays for the difference (or “gap”) between the amount you owe on a car loan or lease and the car’s actual cash value (ACV) in the event of theft or if totaled in a crash.

Other auto insurance terms to understand are actual cash value vs. replacement cost. ACV represents the value of an item considering its age, wear and tear, and current condition. For example, if you bought a new car five years ago for $20,000, its actual cash value minus depreciation might be $14,000.

Replacement cost is the amount it would take to replace or repair a damaged or lost item with a new one of like kind and quality, without deducting for depreciation. If your car sells for $26,000 today, that is the replacement cost.

A replacement cost policy provides a more comprehensive level of protection since you can replace the damaged or lost item with a brand-new one without worrying about depreciation. ACV policies cost less for the insurer since the payout considers depreciation.

What Is an Insurance Adjuster?

If you know anything about insurance companies, you know they are quick to collect premiums and slow to pay on claims, even when their policyholder is clearly liable. An insurance adjuster’s job is to evaluate your injuries and determine how much compensation to give you. And because insurance adjusters work for the insurance company, they often try to minimize the payout for their employer.

A skilled Chicago car accident lawyer understands this adversarial position. They can protect you from:

Lowball offers that will not adequately cover your injuries and expenses
High-pressure tactics designed to intimidate you
Attempts to blame you for the crash and, therefore, deny the claim

Contact an Experienced Car Accident Attorney for Help with Your Insurance Claim

A car accident lawyer in Chicago can make your life easier by filing a claim and seeking the maximum possible compensation on your behalf. The law firm of Salvi, Schostok & Pritchard P.C. has recovered more than $2.3 billion for clients, with more than 350 verdicts and settlements of one million dollars or more. We are skilled litigators who will fight for every dollar if someone else causes you injury and loss in an auto accident.

No matter where you are in the claims process, contact a Chicago car accident attorney with a deep understanding of insurance claims and pursuing compensation. We work on a contingency fee basis: no victory, no fee. Contact Salvi, Schostok & Pritchard P.C. for a free consultation today.