Illinois is not a no-fault state, meaning Illinois is actually an “at-fault” or “tort” state. Unlike no-fault states, Illinois does not require drivers to carry personal injury protection (PIP) insurance and does not limit their ability to sue others for injuries after a car accident.
Illinois car insurance laws require $25,000 of bodily injury liability coverage per person, up to $50,000 per accident, as well as $20,000 of property damage liability coverage.
Bodily injury liability insurance pays for any injuries that you accidentally cause with your car, while property damage liability coverage helps pay for any material assets that you damage while driving, like another person’s car or mailbox. Your insurance company pays up to the limit specified by your policy for each type of car insurance coverage.… read full answer
You can face multiple penalties if you’re caught driving without at least the minimum car insurance required in Illinois, including fines and the suspension of your driver's license. Another important Illinois car insurance law to note is the grace period for new residents. You have 30 days to register your car when you move to Illinois. You’ll need to bring proof of Illinois car insurance when you go to register, with coverage in each of the categories listed below.
Minimum Coverage Required by Illinois Car Insurance Laws
Bodily injury liability: $25,000 per person / $50,000 per accident
No, personal injury protection (PIP) is not required in Illinois. PIP is not even available in Illinois. Instead of PIP insurance, Illinois insurance companies offer medical payments insurance (sometimes called MedPay), which helps with hospital bills resulting from a car accident.
MedPay is similar to PIP insurance in that both handle your medical bills even if you cause a car accident. But MedPay covers less than personal injury protection, with no provisions for lost wages or assistance with home tasks that you can’t manage due to injury.… read full answer
Personal injury protection is a type of car insurance used in no-fault states, since it covers medical payments regardless of who caused an accident. Illinois is an at-fault state, which means at least one driver is found to be “at fault” after a collision. Due in part to the differences in car insurance laws, the average cost of insurance in Illinois – $1,320 – is average compared to most PIP states and other non-PIP states.
Here’s How Much Car Insurance Drivers Need in Illinois:
Minimum Coverage Limit
Bodily Injury Liability Coverage (per person)
Bodily Injury Liability Coverage (per accident)
Property Damage Liability
$25,000 per person ($50,000 per accident)
If you lease or finance your car, you may be required to carry coverage types that are not mandatory under Illinois law. Lenders usually require comprehensive and collision insurance. Collision insurance covers repairs to your car when you hit another car or object. If the damage to your vehicle was caused by something other than a collision—like a natural disaster, vandalism, falling objects, or animals—it is most likely covered by comprehensive insurance. Lenders may also require gap insurance, which covers the difference between what you owe on your loan or lease and what the vehicle was worth if it gets stolen or totaled.
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