Category Archives: Insurance Policy Limits

How Much Will A Car Crash Affect Your Insurance Rates In Illinois?

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The Chicago Tribune posted an interesting article last month about the effects that car accidents can have on car insurance premiums in Illinois.

According to a study by Insurancequotes.com, if a 45-year-old married woman in Illinois with a perfect driving record and excellent credit has just one car accident where she is at fault, a claim of $2,000 or more will increase her health insurance rates 35 percent.

What happens if this person is involved in a second auto accident in the same year? She’d pay 104 percent more for car insurance than a claim-free driver. If you aren’t covered by any insurance, don’t wait to get covered by any auto insurance.

The insurance quote company hired Quadrant Information Services to conduct the study, which looked at six large carriers in all 50 states and the District of Columbia. It assumed a $2,000 claim and policy limits of $100,000 for injury liability for one person, $300,000 for all injuries and a $500 deductible on collision and comprehensive coverage.

Some states are worse than others according to this study. In Massachusetts, someone who’s at-fault auto accident there increases premiums by 76 percent versus the national average of 41 percent.  In California filing a bodily injury claim in that state will drive up insurance costs 86 percent.

Injuries are by far the most costly of claims for insurance companies because hospitals and treating physicians are much more expensive than auto body shops. The average bodily injury claim cost $15,443 in 2013 versus the average property damage claim of $3,231.

Also, important to point out is if the traffic accident is the other drivers fault, their insurance kicks in and should not affect your rates. If there’s any disputes regarding who’s at fault, make sure to seek legal assistance from an auto accidents attorney.

Regardless, it is important to drive carefully, obviously for your health and the health of others. But, as this study points out, it’s also important to drive safely for your pocketbook.

If you or someone you love has been seriously injured in a Chicago car crash or Chicago truck accident, then call Chicago personal injury lawyer, Aaron Bryant, for a free legal consultation.

City Policy Has Limited Insurance Coverage For Chicago Cab Drivers

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The Chicago Sun Times recently published a story that outlined the complexity of the ownership of Chicago cab companies and how it has limited insurance coverage on cab accidents.  There are three layers of entities for cabs, including: the cab driver, who typically pays a lease fee for the use of the cab. Then there’s the owner of the cab license, known as a medallion; a management company that manages multiple medallions, and an affiliation company, which supplies the cab’s colors and radio dispatch service.

Due to the different layers of ownership, management and usage, passengers or pedestrians injured in a cab accident could be limited to $350,000 in damages, regardless of the severity of damages. 

The current system can be bewilderingly complex. For example, while Symon Garber claims to run Chicago’s biggest taxicab empire, it’s actually a web of dozens of companies, including Chicago Carriage and Royal 3 CCC Taxi Association; the management company Chicago Elite Cab, and multiple small companies with names like “Playing Polo in Chicago,” which actually own the medallions.

In order to benefit from the insurance coverage from the medallion and management companies, a plaintiff must show that the cab driver was an agent of those entities at the time of the accident.

This is incredibly vexing for plaintiffs that are severely injured due to a cab driver’s negligence. I would like to see some legislation introduced to help solve this growing problem.

If you or someone you know who has been involved in a Chicago car accident  or Chicago cab accident , then call Chicago accident attorney  Aaron Bryant for a free consultation  at 312-588-3384 or go to the firm website at www.BLGCHICAGO.com