Decoding Your Auto Insurance Quote

Decoding Your Auto Insurance Quote

Shopping for car insurance? Here’s how to decode your quote.  

Shopping for auto insurance coverage isn’t anyone’s idea of fun. Yet, we need car coverage if we want to drive on today’s roads. Auto quotes can be confusing and may fill you with dread while learning how to compare and decode them. Resist the temptation to gloss over your insurance because understanding your insurance policy can help avoid costly coverage gaps or frustration with your insurer after an accident. Here are some quick tips to decode your quote.

Deductible – The deductible is the amount you pay out of pocket before your insurance starts paying. If you have a $500 deductible, and you make a claim for $2000, you must pay the first $500, and then the insurance company will pay the $1,500.

Premium – This is the amount that you agree to pay in exchange for your insurance. You can opt for monthly payments or an annual payment.

Bodily Injury Liability – This coverage helps to pay for another person’s physical injury as a result of an accident for which the policyholder is liable. From physical injury, pain and suffering, and losses, third parties are covered. Additionally, it will pay for legal costs associated with the accident. In Illinois, the minimum required limit for Bodily Injury is $25,000 per person / $50,000 per accident.

Property Damage – If the driver is at fault in an accident, and there is damage to another person’s property, then this coverage will pay for the damages. In Illinois, the minimum required limit for Property Damage is $20,000 per accident.

Medical Payments – ‘Med Pay’ covers the injuries of the driver and passengers caused by an accident, whether the policyholder was at fault or not. As medical expenses can be costly, it’s essential to have more than enough of this coverage.

Uninsured Motorist Bodily Injury – Some motorists don’t have any insurance. Even if the other driver does have insurance, he/she may not have a high enough limit. If you were to get into an accident with someone who didn’t have insurance or not enough of it, this coverage would pick up where their insurance would. In Illinois, the minimum required limit for Uninsured Motorist Bodily Injury is $25,000 per person / $50,000 per accident.

Collision and Comprehensive – This policy will cover the damage to your vehicle if you’re involved in an accident or collision. Comprehensive coverage is for any damages to your car that are not the result of an accident, such as theft, vandalism, natural disasters, fire, etc.

For the quality auto insurance that protects you, your car, and your finances, visit the team at Gee Schussler Insurance Agency, serving Orland Park and surrounding cities in Illinois. We can help you understand your coverage and cover any gaps.