Every state has its own particular guidelines regarding car insurance. The specific insurance requirements for Illinois can be obtained from the Illinois Department of Financial and Professional Regulation Division of Insurance in Springfield 217 782-4515 or Chicago 312 814-2420. Consumers can also obtain information by visiting IL Dept. of Insurance website at http://insurance.illinois.gov.

The average car insurance premium rate in Illinois is around $1,204. Illinois follows a tort system. This type of liability policy means that someone must be held responsible for the accident and that person and his insurance company must pay for all the damages to the victim and his vehicle. The specifications of a tort system vary from state to state.

Illinois requires its drivers to possess uninsured or underinsured insurance because not all states require their motorists to have liability insurance. It is obvious that at some point there will be uninsured drivers on Illinois roads. Uninsured and underinsured motorist coverage provides bodily injury and vehicle damages suffered by the insured in case the driver responsible for the accident does not possess liability coverage or if his coverage is not enough to pay for the compensation. It also pays for damages suffered as a result of a hit and run.

The state law requires minimum motorist coverage of $20,000 per person and up to $40,000 per accident to protect you against damages caused by an uninsured or underinsured driver. This is only for injuries. The property damage liability coverage should be a minimum of $15,000.

This coverage is referred to as 20/40/15 coverage with 20/40 UM limits.

Illinois law requires you to provide Proof of Financial Responsibility on random selection of your vehicle. If you fail to return the questionnaire or found not to have insurance, your license could be suspended.

If you have been found guilty of traffic violations then it is better to keep an SR-22 form issued by your insurance company as a proof of future financial responsibility.

Though not mandated by the state, a car lender may require that a car still possessing a lien obtain comprehensive and collision coverage. This way, if the vehicle is damaged in an accident and its driver is responsible, then it can be repaired. If the cost of the repair is greater than the value of the car, it will be declared as �totaled� and the cash value of the car will be compensated to the owner.

Insurance rates change every few years. Even in the state of Illinois, the rates have not remained constant. The current average car insurance rate of 2009 is 8% higher than that of 2008.