Illinois Auto Insurance

Illinois Auto Insurance Laws

Illinois auto insurance laws require drivers to provide the minimum mandatory liability auto insurance on any registered vehicle in the state. This insurance must be obtained through an authorized insurance company which has received approval from the state of Illinois. Minimum liability auto insurance is not required on off-highway vehicles and non-registered vehicles which are not functional.

No vehicle will be registered in the state of Illinois without proof of the minimum liability auto insurance. The minimum liability auto insurance coverage in Illinois is $20,000.00 of bodily injury insurance for each individual, $40,000.00 for two or more injured people and $15,000.00 for property damage. Any auto insurance policy purchased in Illinois must include the minimum liability amounts, making up the legal limit for Illinois auto insurance requirements. You must carry proof of insurance with you at all times. Uninsured and underinsured motorist is not required by Illinois law. Comprehension and collision coverage is not required by the state of Illinois.

Understanding Illinois Auto insurance Laws

Every motorized vehicle on Illinois roads must be covered by the minimum liability coverage. This law also applies to rental vehicles. Your insurance policy usually covers rental vehicles. The credit card you use to rent the car may also cover the insurance on the vehicle. If this is not the case, you will have to purchase the minimum liability auto insurance policy from the rental car company, as Illinois auto insurance laws dictate. Be sure to carry the rental agreement in the car at all times. This is your proof of insurance should you be involved in an accident or get stopped for a traffic violation.

If you are involved in an accident or experience any type of traffic stop in the state of Illinois, the police officer will request proof of insurance. This proof is the insurance card the company supplies to you. You must have the proof of insurance even if you are not at fault. The state of Illinois also performs random insurance checks, just to see if people are adhering to the Illinois auto insurance laws. They use two methods to check for proper insurance coverage. They will check your insurance when you receive a traffic ticket of they may pull your vehicle by computer at random and send you a form to fill out listing your current insurance coverage and company. They will double check the information you send them with the insurance company.


Failing to follow Illinois auto insurance requirements include fines, and loss of your vehicle’s license plate and registration. You may also be ticketed for lack of insurance proof. The fines can range from $500.00 for driving without valid proof of insurance. You will be required to pay a reinstatement fee of $100.00 to get your registration back for the first offense. If you drive without a valid license plate, the fine will be $1,000.00.

Individuals who continue to drive without proof of current insurance coverage will face a 4 month suspended registration and license plate and the vehicle cannot be driven by anyone, as cited in the Illinois auto insurance laws. If you violate the mandatory proof of minimum insurance three times you will be required by the courts to have proof of financial responsibility (SR-22) for three years. If you do not comply, your driver’s license will be suspended. If you cannot obtain insurance through an agent, ask about the Illinois Automobile Insurance Plan which is there to help people who are having trouble getting insurance.


You must have valid proof of insurance when you register your vehicle, are involved in an accident or get stopped for a traffic violation, if not, you’ll be subject to the above penalties stated for Illinois auto insurance laws. Your proof of insurance should be kept in the car at all times. This proof will usually be the insurance identification card supplied to you by the insuring company and needs to include the name of the insurance company and the policy holder’s name. It also needs to have the make, model, and year of the vehicle being covered.

The vehicle’s VIN number and the dates of coverage are also required to assure the law enforcement officer that the insurance is current. If for some reason you do not have an insurance card, contact the insurance company to obtain another card. Meanwhile, carry your insurance binder, a current declaration page for your policy, a certificate of insurance, or the receipt for your last insurance purchase as proof that you have up to date coverage.

It’s important for everyone to know what the Illinois auto insurance laws are. If a person doesn’t follow the Illinois auto insurance requirements, they’re subject to any number of fines and assorted penalties.