COMPENSATION FOR CRASH CAUSED INJURIES AND VEHICLE DAMAGE

Since “Ignorance of the law is no excuse,” Parad firm’s law digests are intended to impart knowledge of basic legal principles for preserving victims’ legal rights to compensation for the injuries sustained in truck, car, bicycle, train, or pedestrian crashes regardless of the victims’ citizenship or age. Please contact our firm for a free consultation.

USE OF AUTOMOBILE INSURANCE POLICIES IN PERSONAL INJURY CLAIMS

No owner shall permit another person to operate a motor vehicle designed to be used on a public highway unless the motor vehicle is covered by a liability insurance policy.

Minimum insurance policy limits: $25,000 per person or $50,000 per accident for personal injury or death and $20,000 for property damages.

No one may operate a motor vehicle or allow a vehicle to be operated without obtaining sufficient insurance.

Insurance policy exclusion denying coverage is enforceable where:

The insured occupies a vehicle the insured owns, but which is not the insured vehicle.
Government vehicles.
Vehicles located for use as a residence, such as motor homes.
Vehicles designed primarily for off-road use.

If a household member's injuries are excluded under the liability coverage, then the member's claim recovery may be possible under the Uninsured or Underinsured policies' provisions.

UNINSURED MOTORIST POLICY COVERAGE OF INJURIES CAUSED BY UNINSURED OR UNIDENTIFIED DRIVER

Uninsured Motorist. If the at-fault driver ran away from the scene of the collision (a “hit-and-run” collision) or had no automobile liability insurance covering the subject collision, then the injured person’s automobile insurance carrier will pay for injury compensation under the “uninsured motorist” policy the purchase of which is mandatory in Illinois.

To obtain compensation for injuries sustained in collisions with vehicles driven by uninsured or unidentified driver (in case of a hit-and-run accident):

An injured claimant must not be at fault in such collisions and
The claimant must prove a physical contact between the claimant, hurt as a pedestrian or bicyclist having a respective auto insurance policy or vehicle occupant, and the at-fault and escaped vehicle.

Uninsured motorist policies may provide for a two-year limitations period for an insured to demand arbitration or file a declaratory action suit against the insurer.

Two year demand filing period may be extended from the time when an insured makes a claim until the claim is denied.

USE OF UNDERINSURED MOTORIST ("UIM") INSURANCE POLICY

The Underinsured Motorist Coverage Act allows a reduction in underinsured motorist limits based on the actual damages recovered under the tortfeasor's policy.

The language of the insurance policy controls regardless of any interpretation of the Uninsured Motorist Act.

The Underinsured Motorist Coverage Act policies exclude compensation for insured's injuries where:

Vehicles are insured under the same insurer's policy.
Vehicles furnished for the regular use of the policyholder, the policy holder's spouse, or the policy holder's relatives.
The "household" or "family car" regularly used by someone else in the family.

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