How will the accident (fender-fender), where I am at-fault, affect my car insurance rates at renewal if I did not make a claim?

John

Chicago IL

Since you were at-fault in the accident and your insurance company became aware of this either because this was on your driving record or you informed them, your premium will likely increase at renewal, even though you did not make a claim, the company finds you to be a risk. The car insurance rates in Chicago IL will be affected depending on the rating system of the company.

There are cases when a surcharge or points are assigned to the driver who caused the accident and/or claimed against the policy. Some companies do not increase the insurance rates of driver who has a clean record for more than 5 years if the he/she is at-fault in a relatively minor car accident.

A major accident where the driver is at-fault can increase his/her insurance premium. However, an major accident that involves a serious bodily injury can result in a severe insurance and legal consequences. There can also be huge rate increase or a policy cancellation, subject to the law of
the state.

You can contact your insurance provider to find out more about their rating system and by how much will your premium increase because of the fender-bender.

When I make an auto insurance claim in Chicago, then who gets the money, me or the repair shop or the other driver?

Greg

Thanks for asking, Greg.

Well, that depends on a few things. Was the accident your fault or the other driver’s fault? Because those are the two defining issues. If a car accident is your fault, then the title put on the IL auto insurance claim is first party claim. On the other hand, if the car accident is not your fault, then the IL auto insurance claim is instead called third party claim. Here is a break down of the two.

• First party claim.

You file a first party claim on your IL auto insurance policy if you are found at fault for an accident and yet you have collision coverage to take care of damage to your own property. You will first pay the deductible that you have signed up for, and when the claim is approved, your IL auto insurance company will issue a check. Whose name is on the check depends on what terms you signed off on in your contract. So long as you agreed to it in your contract, you have no right to complain.

In most cases, the check for a first party claim will have both your name and the name of the mechanic who is repairing your car. The reason for this is that lots of fraud goes on and this insures that the check cannot be used for fraudulent purposes and that you end up repairing your car as desired. In some cases, though, your IL auto insurance company might make the check out to you. You will then be allowed to find a repair shop that you like and have your vehicle repaired there. It all depends on the company and, most of all, the contract.

• Third party claim.

Third party claims are a lot easier, because you are working with the other driver’s car insurance company. Since you have no obligations to them, not having signed their contract, they have to treat you better than they would their own IL auto insurance policy holder. This usually goes more quickly, and the claims check is made out to you.

Cheers,

Fashun Guadarrama.

I was told that I need to present proof of financial responsibility here in Chicago in order to get my drivers license back, how do I do that? I was caught and given a DUI.  Now I need SR22 insurance coverage.

Kyle

Chicago, IL

That’s right. If you got your drivers license suspended due to reckless driving, incurring too many moving violations, DUI (Driving Under the Influence) or DWI (Driving While Intoxicated) arrest, for driving without proof of your drivers license or without carrying proof of car insurance coverage, or for having a poor driving record, you will be considered as a high-risk driver and for everyone’s mutual protection, you will be required to show proof of financial capacity to pay anyone you may injure, and any property you may damage, in the event your risky driving behaviors causes a car accident or collision.

In order to provide proof to the Office of the Secretary of State in Illinois (which handles reinstatement of licenses and other motoring administrations in your state) that you have adequate financial responsibility, and should therefore get your driving privileges reinstated, you will need to find a company that can file an SR22 Insurance in Chicago. Please note that not all insurance carriers are authorized to do this so it is best to contact the Secretary of State’s office for a list of carriers, or you may go on the web and use online directories to do this.

You may also use the free search tool on this website to easily get a list of authorized SR22 insurance companies. You will also get the chance to compare for the most competitive rates and policies available online.