The Illinois House passed a new bill that is designed to raise the minimum auto insurance, Chicago Tribune reported.
The bill would raise the minimum liability coverage — insurance that helps pay for injuries to others — to $25,000 for injury or death to one person, up from $20,000. It would also increase minimum coverage to $50,000 for injury or death of two people, up from $40,000, Tribune reported.
The bill, already passed the Illinois Senate, is now headed to the governor.
“These rates have not been changed in 24 years and do not keep pace with rising medical costs,” said proponent and state Rep. Laura Fine, a Glenview Democrat. “This will save people who are injured in an accident that is no fault of their own from some of the out-of-pocket medical costs they may incur.”
The new legislation would also boost minimum coverage for damage to property to $20,000 from $15,000.
The bill applies to policies issued or renewed on or after Jan. 1, 2015.
Source: Chicago Tribune
