What you need to know about car insurance in Illinois

Drivers in Illinois pay about 21% less than the national average for full coverage and liability auto insurance. That amounts to $1,532 per year for car insurance with full coverage vs. $1,897 nationwide. For liability insurance only that meets the state’s minimum coverage requirements, Illinois residents pay $421 per year, versus $503 for the U.S.

Of course, these rates are only averages. Your Inniois car insurance premium will be different.

“Auto insurance premiums are determined by a variety of personal, vehicle and outside factors that insurers use to assess risk,” says Kristine Pokrandt, an agent with Goosehead Insurance in Highwood, Illinois.

“Each factor can increase or decrease the premium rate depending on how it affects the perceived likelihood of an accident or claim. Understanding these factors can help drivers make informed decisions about their coverage and potentially reduce their insurance costs,” she says.

In this guide, we’ll explain the most important things you need to know about car insurance in Illinois, including the average cost per company, coverage requirements, and tips to save money on your insurance coverage.

Key highlights

• The average cost of car insurance in Illinois is about 21% cheaper than the U.S. average.
• Drivers in Illinois are required to carry at least liability insurance with a coverage limit of at least 25/50/20.
• Auto Club Group (AAA) has the cheapest average car insurance rate, $979 per year. That’s more than $500 less than the state average.
• Allstate has the most expensive average rate at $2,742, more than $1,000 above the state average.

Understanding Illinois Auto Insurance Requirements

Drivers must carry liability insurance with coverage limits of at least 25/50/25 to register their vehicles and drive legally. These are the minimum requirements in the state:

• $25,000 in bodily injury liability coverage per person
• $50,000 in bodily injury liability coverage per accident
• $20,000 in property damage liability coverage per accident

These coverage amounts are unlikely to be sufficient if you are involved in a serious at-fault accident. Experts recommend liability insurance of 100/300/100.

“When it comes to liability insurance, this is what protects your livelihood. While the state may only require $25,000 in bodily injury coverage per person, it may only cost $15 to $20 more per month to have $250,000 in coverage. In the event of a catastrophic accident, if your policy limit does not cover the injuries someone sustains, you will have to pay the difference,” says Pokrandt.

Please note that liability insurance does not cover the cost of medical care for injuries you or your passengers may sustain in an at-fault accident. Other forms of auto insurance can cover these costs, such as personal injury protection (PIP) or medical payments (MedPay) or health insurance.

Compared to the US as a whole, Illinois has cheaper auto insurance rates across the board, from minimal state liability insurance to full coverage.

The average annual cost of minimum state auto insurance in Illinois is $421, which is lower than the US average of $503. If you choose higher coverage limits of 50/100/50, you will pay an average of $471 per year versus the national average of $649 per year. For full coverage car insurance with limits of 100/300/100 and a $500 deductible, the average in Illinois is $1,532, which is significantly lower than the U.S. average of $1,897.

The rates below were collected from the auto insurance comparison site CarInsurance.com for single, 40-year-old male and female drivers of a 2023 Honda Accord LX with good credit and no violations on their record for a full coverage insurance policy with liability limits of 100 /300/100 and $500 comprehensive and collision deductible.

One of the easiest ways to lower your car insurance premium is to take advantage of it common discountssuch as bundling your policies, maintaining a clean driver’s license, driving a safe vehicle and low mileage discounts.

“Illinois drivers have several options to save on auto insurance by taking advantage of discounts, adjusting coverage limits and improving personal factors that impact premiums,” Pokrandt says.

You can also lower your car insurance premium by shopping around and compare quotes with different insurers every six to twelve months or before you renew your current policy. Comparing is the best way to find the cheapest car insurance that suits your coverage needs and individual situation.

Auto insurance premiums in Illinois can vary significantly depending on the insurance company that underwrites your policy.

Our research shows that Auto Club Group (ACG), a AAA company, has the cheapest car insurance in Illinois, with an average rate of $979 per year or $82 per month for full coverage. Travelers is another low-cost option, with full coverage rates 27% below the state average: $1,119 per year or $93 per month.

All statesone of the nation’s largest auto insurers, is the most expensive company in Illinois, according to our rate data. Allstate’s average premium for full coverage is $2,742 per year or $228 per month, nearly 80% higher than the state average.

To give you a better idea of ​​what you can pay for coverage in the Land of Lincoln, consider the following average car insurance rates in Illinois:

The city you live in also determines what you pay for car insurance; rates may vary by zip code.

Chicago is the most expensive city in Illinois for auto insurance, with an average annual full coverage rate of $1,930. The suburban cities of Joliet ($1,574) and Waukegan ($1,564) have the second and third highest rates.

The cheapest city for car insurance in Illinois is Champaign, with an average rate of $1,367 per year. Naperville ($1,429) and Aurora ($1,476) also have below-average rates.

Illinois drivers can save money on car insurance in many ways. First, ask your agent or insurance representative about the common discounts you may qualify for, such as bundling your policies, taking a defensive driving course, insuring multiple vehicles, having no prior insurance claims, and keeping a clean driver’s license. You might also consider a Safe Driver program, which monitors your driving behavior in exchange for potentially lower fares if your carrier offers it.

Remember to shop around every six to 12 months, or before your policy renews, to ensure you’re still getting the best possible price.

No, Illinois is not a state without fault. It’s one unlawful act.

“Illinois follows an auto insurance liability system, which means the driver responsible for causing an accident is liable for any resulting damages,” Pokrandt said. “This differs from no-fault states, where each party’s insurance typically covers their own (injury-related) losses, regardless of who caused the accident.”

Under this system, a driver who causes an accident is responsible for covering the other party’s medical expenses and property damage. Injured drivers may be able to file a claim with their insurance company or the at-fault driver’s carrier to receive additional compensation.

Editors gathered rate information from auto insurance comparison site CarInsurance.com for single, 40-year-old male and female drivers of a 2023 Honda Accord LX with good credit and no violations on their record for a full-coverage insurance policy with liability limits of 100/300/100 and a $500 comprehensive and collision deductible.

In addition, we also calculated rates for the same hypothetical drivers, but with one or more of the following to their name: speeding ticket, at-fault accident, DUI/DWI, poor credit history, or a lapse in coverage.

We have analyzed more than 53 million quotes, more than 34,000 zip codes and 170 insurance companies nationally.

Note: 100/300/100 means up to $100,000 for the medical bills of those you injure, up to $300,000 per accident for bodily injury liability for all persons injured in one accident, and $100,000 for car repairs from other drivers and property you damage.