Quick Answer
Do I Need Uninsured Motorist Coverage in Illinois?
Illinois law requires every driver to carry uninsured motorist (UM) coverage. Every auto insurance policy issued in Illinois must include at least $25,000 per person and $50,000 per accident in uninsured motorist bodily injury coverage.
If you were injured by an uninsured driver or involved in a hit-and-run in Chicago, your own UM policy will cover your medical bills, lost wages, and pain and suffering up to your insurance limits.
You expect the other driver’s insurance to pay for your damages after a crash. But when that driver has no auto insurance at all, the financial weight lands on you.
That is a risk Chicago drivers face every day on streets like the Dan Ryan Expressway, Lake Shore Drive, Western Ave, or anywhere else in the city, where more than one in ten drivers have no auto insurance at all.
Chicago uninsured motorist coverage exists to close that gap. It comes from your own policy, not the other driver’s. It can cover your immediate medical treatment and lost wages while you recover. And if your injuries are serious, it may be the only source of compensation available.
Insurance companies rarely pay claims fully and fairly without a fight. Consult with a team of experienced Chicago car accident lawyers if you were injured by an uninsured driver.
Key Takeaways for Chicago Uninsured Motorist Coverage
- Illinois law requires every auto insurance policy to include uninsured motorist bodily injury coverage at minimum limits of $25,000 per person and $50,000 per accident.
- UM coverage applies when the at-fault driver has no insurance or flees the scene in a hit-and-run accident.
- Standard UM policies in Illinois cover bodily injury only, not property damage to your vehicle.
- Underinsured motorist coverage (UIM) is not required by Illinois law, but can fill the gap when the at-fault driver’s policy isn’t enough to cover your losses.
- Settling with the at-fault driver’s insurer without notifying your own UM/UIM carrier can forfeit your right to additional benefits.
How Does Uninsured Motorist Coverage Work After a Chicago Car Accident?
Uninsured motorist coverage pays benefits through your own auto insurance policy when the at-fault driver lacks insurance. Instead of filing a claim against the other driver’s carrier, you file with your own insurer.
Your UM policy kicks in as a substitute for the liability coverage the other driver should have carried.
When Does UM Coverage Apply?
UM coverage applies in three main situations after a Chicago car accident.
- The at-fault driver has no insurance at all. If you are rear-ended on the Eisenhower Expressway by a driver with a lapsed or nonexistent policy, your UM coverage kicks in.
- The at-fault driver flees the scene. Hit-and-run crashes are common across Chicago, from the Kennedy Expressway to residential streets in Pilsen and Bridgeport. Because the driver is unknown, UM coverage treats them as uninsured.
- The at-fault driver’s insurer is insolvent. If the other driver’s insurance company goes out of business, your UM benefits may apply.
A police report strengthens a UM claim, especially in hit-and-run cases. Most policies require timely reporting to law enforcement.
One important distinction: standard UM coverage in Illinois does not cover property damage to your vehicle unless you purchased separate uninsured motorist property damage (UMPD) coverage. If your car was damaged, you would typically rely on collision coverage for repairs.
What Is the Difference Between Uninsured and Underinsured Motorist Coverage in Illinois?
Uninsured motorist coverage and underinsured motorist coverage (UIM) protect you in different situations. They are related but not the same.
| Uninsured Motorist (UM) | Underinsured Motorist (UIM) | |
|---|---|---|
| When it applies | The at-fault driver has no insurance or is unknown (hit-and-run) | The at-fault driver has insurance, but the limits are too low to cover your losses |
| Required by Illinois law | Yes | No, but insurers must offer it |
| Minimum limits | $25,000/$50,000 | Varies by policy |
| Covers property damage | Only if UMPD is added separately | Only if included in the policy |
UIM coverage is essential in Chicago. Because Illinois only mandates $25,000 in bodily injury liability per person, a serious crash, such as a collision on I-90/I-94 or a T-bone accident in Logan Square, can easily result in medical expenses exceeding that limit.
If the at-fault driver carries only the minimum, their policy runs out quickly. UIM coverage from your own policy fills that gap.
Why Does Settling with the At-Fault Driver’s Insurer Affect Your UM/UIM Claim?
Settling a claim against the at-fault driver without notifying your own insurance carrier first can destroy your right to UM or UIM benefits. This is one of the most important things to know about uninsured motorist claims in Chicago.
The McAteer v. USAA Ruling
The case of McAteer v. USAA Casualty Insurance Company shows how this situation can play out. The policyholder was injured in a car accident caused by an underinsured driver. She settled with the at-fault driver’s insurance company but did not notify USAA before accepting the settlement.
When she later filed a UIM claim with USAA, the insurer denied it. The Illinois Fifth District Appellate Court agreed with USAA.
The court ruled that failing to provide advance notice of the settlement extinguished her right to UIM benefits. USAA did not even need to show it was harmed by the lack of notice.
Why You Must Provide Advance Notice of Settlement
Your UM or UIM carrier has a legal right called subrogation. That means the insurer can pursue the at-fault driver on its own to recover what it paid you.
The Illinois Insurance Code (215 ILCS 5/143a) requires your insurer to receive written notice of any tentative settlement. The insurer then has 30 days to match the settlement and preserve its subrogation rights.
If you settle without giving that notice, your carrier may deny your UM or UIM claim entirely. An attorney protects you from this by coordinating with all insurance carriers before any settlement is finalized.
Ask Kennedy Watkins About Your Chicago Uninsured Motorist Accident Claim
Q: Does uninsured motorist coverage apply to hit-and-run accidents in Chicago?
A: Yes, uninsured motorist coverage typically applies to hit-and-run accidents in Illinois. Because the at-fault driver is unknown, UM coverage treats them as uninsured. Most policies require you to report the hit-and-run to the police promptly. Filing a report with the Chicago Police Department creates a record that supports your claim.
Q: Can I sue an uninsured driver in Illinois?
A: Yes, you can file a personal injury lawsuit directly against an uninsured driver in Illinois. However, collecting a judgment from someone with no insurance can be difficult if they also lack personal assets. In most cases, filing a UM claim with your own insurer provides a faster and more reliable path to compensation.
Q: How much uninsured motorist coverage should I carry in Illinois?
A: Financial advisors and insurance professionals commonly recommend matching your UM limits to your liability limits. If you carry $100,000/$300,000 in liability coverage, carrying the same UM limits gives you equal protection whether the other driver is insured or not. The minimum $25,000 limit may not cover a single emergency room visit at a Chicago hospital.
What Damages Can You Recover Through an Illinois Uninsured Motorist Claim?
An uninsured motorist claim in Illinois can cover the same categories of damages available in any personal injury case. The difference is that the money comes from your own policy instead of the other driver’s.
Recoverable damages through a UM claim may include:
- Medical expenses, including emergency care, surgery, physical therapy, and future treatment
- Lost wages and lost earning capacity
- Pain and suffering
- Emotional distress
- Loss of normal life activities
Illinois does not cap compensatory damages in most personal injury cases. However, your recovery through a UM claim is limited by your policy’s coverage amount. If your losses exceed your UM limits, an attorney can look for other sources of recovery, including a direct lawsuit against the uninsured driver.
Kennedy Watkins Injury Attorneys has recovered millions for Chicago accident victims, including a $10 million result for a pedestrian struck by a CTA bus. We review every available insurance policy to make sure nothing is missed. Call us at (312) 448-8181.
What Mistakes Can Hurt an Uninsured Motorist Claim in Illinois?
Several common errors can weaken or eliminate an uninsured motorist settlement in Illinois. Knowing what to avoid can protect your right to full compensation.
Settling Without Notifying Your UM/UIM Carrier
As the McAteer case shows, accepting a settlement from the at-fault driver’s insurer without giving your own carrier written notice can forfeit your UM or UIM benefits permanently.
Delaying Medical Treatment
Gaps in medical care give insurers an argument that your injuries are not as serious as claimed. Seeking prompt treatment at facilities like Stroger, Northwestern Memorial, Advocate Christ, Rush University Medical Center, and UChicago Medicine after a crash connects your injuries to the accident.
Providing Recorded Statements Without Legal Guidance
Your own insurance company is not on your side in a UM claim. The insurer’s goal is to pay as little as possible. A recorded statement given to your insurance company without preparation can be used to reduce or deny your claim.
Kennedy Watkins Injury Attorneys handles all communications with the insurance company, ensuring the insurer never misrepresents your statements.
Chicago Uninsured Motorist Coverage: Your Questions, Our Answers
How long does an uninsured motorist claim take in Illinois?
Your insurance company may begin processing medical payments and other benefits relatively quickly after you file a UM claim. However, if your insurer disputes your claim, a full settlement could take a few months or more.
The timeline depends on the seriousness and extent of your injuries, documentation, and whether the dispute goes to binding arbitration, which is how most Illinois UM claims are resolved.
What happens if my uninsured motorist claim is denied?
A denied UM claim is not the end of the road. Illinois law allows policyholders to demand arbitration if the insurance company refuses to pay a valid claim.
If the insurer acted in bad faith by unreasonably denying or delaying payment, Section 155 of the Illinois Insurance Code allows you to seek additional penalties and attorney fees.
Does uninsured motorist coverage apply if I was a passenger in someone else’s car?
Yes, passengers injured by an uninsured driver in Illinois may have access to UM coverage through the vehicle owner’s policy. You may also be covered under your own auto insurance policy’s UM provision. Multiple sources of UM coverage can sometimes be stacked depending on the specific policies involved.
Can motorcyclists and pedestrians use uninsured motorist coverage in Chicago?
Yes, motorcycle accident and pedestrian UM claims are available in Illinois. If you were riding a motorcycle or walking when an uninsured driver struck you, your own auto policy’s UM coverage may still apply.
Pedestrian accidents near high-traffic areas like Michigan Avenue, State Street, or the Loop are especially common in Chicago.
Jack Kennedy and Daniel Watkins Are Ready to Review Your Claim
Dealing with your own insurance company after someone else caused the accident feels wrong. It is frustrating, confusing, and exhausting, especially when you are injured and trying to recover.
At Kennedy Watkins Injury Attorneys, Jack Kennedy and Daniel Watkins have spent their careers fighting for Chicago accident victims. They walk you through every step, review every policy involved, and build the strongest claim possible.
Our team is available 24 hours a day, 7 days a week, and we will travel anywhere in Illinois to meet with you if you cannot travel to Chicago.
Your consultation is free, and you owe nothing unless we recover compensation for you. We are located at 350 N. Orleans Street, Suite 9000N, Chicago, IL 60654. Call (312) 448-8181 or get in touch with us today.