Does Illinois Car Insurance Verification Protect You From Uninsured Drivers?

Key Takeaways

• Illinois electronically verifies liability insurance on registered vehicles through the Illinois Insurance Verification System.
• Insurance verification can reduce uninsured driving, but it cannot guarantee that every driver involved in an accident has valid coverage.
• Underinsured motorist coverage may help when the at-fault driver's insurance is less than your UIM limits.
• Other insurance policies and liable parties may provide additional sources of compensation after an uninsured or underinsured driver causes a crash.
• An attorney can investigate coverage rather than relying solely on the insurance information provided by the other driver.

How Does Illinois Car Insurance Verification Work?

Illinois requires vehicles registered and operated in the state to carry liability insurance. To help enforce that requirement, Illinois launched electronic automobile insurance verification in 2021.

Under ILIVS, insurance companies provide information that allows the Illinois Secretary of State to electronically verify whether registered vehicles have liability insurance. Illinois law requires verification of registered vehicles at least twice per year.

For most insured motorists, the process happens automatically.

When ILIVS cannot verify coverage, the registered owner can receive a notice requesting proof of insurance. If the owner actually had coverage on the verification date, the owner can contact the insurance company or agent so the information can be transmitted electronically. Failure to establish required coverage can result in suspension of the vehicle's registration.

The system gives Illinois an effective way to identify many vehicles that are being maintained without required insurance. However, there are limits to what an electronic verification program can accomplish.

Does Insurance Verification Keep Uninsured Drivers Off Illinois Roads?

ILIVS is an enforcement tool, not a physical barrier preventing an uninsured person from driving.

A person can allow an insurance policy to lapse after coverage has previously been verified. Someone may drive despite having suspended registration. A person who does not own the vehicle may be behind the wheel. There may also be disputes after a crash about whether a particular driver, vehicle, or use of the vehicle was covered under an existing policy.

Even when insurance exists, the driver's coverage may be nowhere near enough to compensate someone who suffers serious injuries.

The verification system has nevertheless made a measurable difference. In September 2022, the Illinois Secretary of State reported that during the program's first 14 months, the percentage of registered vehicles without verified insurance fell from 12.7% to 6.9%. More than 540,000 vehicle owners had either obtained coverage or received license plate suspensions during that period.

That is valuable from a public-safety and enforcement perspective. For an individual injured in an accident, however, the most important question is not whether Illinois attempted to verify the other vehicle's insurance. It is whether coverage actually exists when the accident happens.

What Happens If an Uninsured Driver Causes an Accident?

If an uninsured driver causes an Illinois car accident, you may be able to pursue compensation through your own uninsured motorist coverage.

Illinois requires automobile policies to provide uninsured motorist bodily injury protection. The current minimum limits are $25,000 for one person's injuries and $50,000 per accident.

Uninsured motorist coverage, commonly called UM coverage, is designed to protect insured people who suffer bodily injuries because of an at-fault driver who does not have liability insurance. It can also apply to qualifying hit-and-run accidents.

Depending on the circumstances and policy limits, an uninsured motorist claim may provide compensation for losses such as:

• Medical expenses
• Lost wages
• Reduced earning capacity
• Pain and suffering
• Disability
• Other damages resulting from bodily injuries

This is an important distinction. Illinois' insurance verification program attempts to make sure the other driver has liability insurance. Uninsured motorist coverage helps protect you when that system does not result in an insured at-fault motorist being available to pay your claim.

Can You Sue a Driver Who Does Not Have Insurance?

An uninsured driver can still be legally responsible for causing an accident.

The absence of insurance does not eliminate the driver's liability for injuries and damages caused by negligence. The more practical question is whether pursuing the individual driver will provide a meaningful source of compensation.

A person who cannot afford automobile insurance may also have limited assets available to satisfy a substantial personal injury judgment. That does not mean an injured person should automatically abandon a claim against the driver. It does mean that identifying insurance coverage and additional responsible parties can become especially important.

Depending on the facts of the crash, an attorney may investigate whether compensation is available through UM coverage, another vehicle owner's policy, an employer, a commercial insurance policy, another negligent driver, or another legally responsible party.

What If the Other Driver Has Insurance, but It Is Not Enough?

Car insurance verification presents another limitation for people seriously injured in Illinois accidents: ILIVS verifies the existence of required insurance. It does not guarantee that the policy provides enough coverage to pay the full value of an injury claim. A driver can comply with Illinois law while carrying only $25,000 in bodily injury liability coverage for one injured person. That may be inadequate after a crash involving surgery, hospitalization, permanent impairment, months away from work, or other substantial losses.

Underinsured motorist coverage, or UIM coverage, may help address this gap.

Illinois defines an underinsured motor vehicle by comparing the applicable bodily injury liability limits with the injured person's UIM limits. UIM coverage generally addresses situations in which the at-fault driver's liability limits are lower than the injured insured's applicable UIM limits.

For example, suppose a negligent driver has $25,000 in bodily injury liability coverage and causes an accident resulting in losses well above that amount. If the injured person has higher applicable UIM limits, underinsured motorist coverage may provide an additional source of compensation, subject to the terms and limits of the policy.

Illinois law requires UIM coverage when an insured purchases uninsured motorist bodily injury limits above the statutory minimum.

Can You Rely on the Insurance Information the Other Driver Gives You?

An insurance card can provide useful information after an accident, but possession of a card does not necessarily establish that coverage was valid on the date of the crash or that the person driving the vehicle was covered.

A card may relate to a policy that was canceled or allowed to lapse. The insurer may need to investigate whether the vehicle and driver qualified for coverage. There may also be additional policies covering the vehicle, its owner, or another responsible party.

Likewise, a driver who says, "I don't have insurance," may not necessarily end the coverage investigation.

The vehicle may belong to someone else. The driver may have been working at the time of the accident. A commercial policy may apply. Another driver may share responsibility for the collision.

Determining what insurance coverage is actually available can therefore require more investigation than simply reviewing the card exchanged after the accident.

How Can an Illinois Car Accident Lawyer Help With an Uninsured Driver Claim?

An Illinois car accident lawyer can investigate both liability and insurance coverage after a crash involving an uninsured or underinsured motorist.

This may include obtaining insurance information, reviewing policy provisions, confirming applicable coverage limits, investigating the vehicle owner and driver's relationship, documenting injuries and financial losses, and determining whether another party shares responsibility.

An attorney can also handle a UM or UIM claim with your own insurance company.

Although the claim involves a policy you purchased, your insurer does not automatically accept whatever amount you believe your injuries are worth. Disputes may arise over fault, the cause of your injuries, medical treatment, the extent of your damages, policy terms, and the amount of compensation owed.

Serious accidents deserve a full coverage investigation, particularly when the person who caused the collision appears to have no insurance or only minimum liability limits.

Frequently Asked Questions About Illinois Car Insurance Verification and Uninsured Drivers

Does Illinois Automatically Check Your Car Insurance?

Illinois uses the Illinois Insurance Verification System to electronically confirm liability insurance coverage on registered vehicles. Registered vehicles are subject to electronic verification at least twice per year.

What Happens If Illinois Cannot Verify Your Insurance?

The registered owner may receive a notice requesting insurance verification. If coverage existed, the owner generally needs to contact the insurer or insurance agent so the information can be submitted electronically. Failure to resolve the issue can result in suspension of the vehicle's registration.

Does Illinois Insurance Verification Mean Every Driver Has Insurance?

Electronic verification helps Illinois enforce mandatory insurance requirements, but it cannot guarantee that every person operating a vehicle has valid coverage when an accident occurs.

Does Illinois Require Uninsured Motorist Coverage?

Illinois automobile policies must provide uninsured motorist bodily injury coverage of at least $25,000 per person and $50,000 per accident. Higher limits may be available.

What Happens If the Driver Who Hit Me Has No Insurance?

You may be able to pursue compensation through your uninsured motorist bodily injury coverage. Depending on the circumstances, other insurance policies or legally responsible parties may also provide sources of recovery.

What Happens If the Driver Has Insurance but Not Enough to Cover My Injuries?

Underinsured motorist coverage may apply if the at-fault driver's applicable liability limits are lower than your UIM limits. The amount available depends on the policies and circumstances involved.

Strong Law Offices Can Help After an Accident With an Uninsured Driver

Illinois' insurance verification system has helped reduce the number of registered vehicles without verified insurance, but no electronic system can guarantee that the person who causes your accident will have enough coverage to compensate you.

If the other driver is uninsured, has allowed coverage to lapse, or carries limits that are too low to cover your injuries, the next step is determining what other sources of compensation may be available.

Our car accident lawyers at Strong Law Offices can investigate the accident, identify applicable insurance policies, review your UM and UIM coverage, and determine whether other people or businesses may be responsible for your losses.

If you were injured by an uninsured or underinsured driver, contact Strong Law Offices at 309-393-2928 to discuss your legal options.