TL;DR: Illinois law requires minimum auto liability insurance of 25/50/20, meaning at least $25,000 bodily injury liability coverage per person, $50,000 per accident for injuries, and $20,000 for property damage. All auto policies in Illinois also automatically include uninsured motorist bodily injury coverage with 25/50 limits. These are the minimum coverages you must carry to drive legally in Illinois. If you drive without insurance, you risk fines of $500 or more and suspension of your license plates and vehicle registration.
The Illinois car insurance laws require you to have certain coverage, and if you don’t, you risk fines, license plate suspension, and personal liability in accidents. Without at least the minimum liability coverage, an at-fault accident could be financially devastating. By knowing and following Illinois’ insurance rules, you avoid penalties and ensure you have a safety net if the worst happens on the road. For any insurance questions, call 773-202-5060.
Why Do Illinois Drivers Need to Understand Minimum Insurance Requirements?
Illinois mandatory minimums: Driving without the required insurance in Illinois can lead to serious legal and financial consequences. The state’s mandatory insurance law exists to protect everyone on the road. If you don’t carry at least the minimum coverages, you could face fines, suspension of your vehicle registration, or even a judgment against you if you cause an accident. Liability insurance helps pay for injuries or property damage you might cause in a crash, so you don’t have to pay those costs entirely out of pocket.
What Are the Minimum Insurance Requirements in Illinois?
In Illinois, drivers must carry at least a minimum amount of liability insurance on any car they drive. These minimum required coverage limits are often referred to as 25/50/20 coverage. Specifically, Illinois law requires you to have at least:
- $25,000 for bodily injury or death of one person in an accident.
- $50,000 for total bodily injury or death (if multiple people are hurt in the accident).
- $20,000 for property damage liability per accident (for damage you cause to someone else’s property, such as their vehicle).
Uninsured motorist coverage: Illinois also requires insurance policies to include uninsured motorist (UM) bodily injury coverage at the same minimum 25/50 limits. This coverage pays for your injuries if you are hit by an uninsured driver or a hit-and-run driver. You don’t have to purchase UM coverage separately; by law, it’s automatically included in every Illinois auto liability policy. (In fact, roughly 12% of Illinois drivers are uninsured – if an uninsured driver hits you, your own policy’s UM coverage will pay for medical bills up to the 25/50 limits.)
Underinsured motorist coverage: Underinsured motorist (UIM) coverage is not required at the basic minimum level. However, if you raise your uninsured motorist coverage above the state minimum, Illinois will require you to add underinsured coverage as well. UIM protection helps when an at-fault driver has some insurance but not enough to fully cover your injuries. (For example, if someone with minimum 25/50 BI insurance injures you and your medical costs are higher than $25,000, your UIM can make up the difference up to your UIM limit.)
What Does 25/50/20 Coverage Mean in Illinois?
The numbers 25/50/20 refer to the liability coverage limits Illinois requires. Here’s a breakdown of each part and what it means for you as a driver:
Bodily Injury Liability (BI)
This coverage pays for injuries or death to other people when you are at fault in an accident. Illinois law requires at least $25,000 per person and $50,000 per accident in bodily injury liability coverage. BI liability covers other people’s medical bills, lost wages, or wrongful death claims if you cause a crash. Example: If you injure two people, your insurer could pay up to $25,000 for each person (max $50,000 total). Any costs beyond those limits would be your personal responsibility.
Property Damage Liability (PD)
This coverage pays for damage you cause to someone else’s property with your vehicle. It covers damage to vehicles and other property (fences, buildings, etc.) you hit. Illinois requires a minimum of $20,000 in property damage liability coverage per accident. Example: If you hit another car and cause $5,000 in damage, your PD insurance pays it. But if damages are, say, $30,000 (beyond your $20k limit), you would have to pay the difference out of pocket.
Uninsured Motorist Bodily Injury (UMBI)
Illinois policies automatically include uninsured motorist coverage for bodily injury. The required minimum is $25,000 per person and $50,000 per accident – the same as the liability BI limits. UMBI covers you and your passengers’ injury expenses if an at-fault driver has no insurance (or if you’re the victim of a hit-and-run). This coverage makes sure you have some medical coverage for yourself in an accident caused by an uninsured driver.
Underinsured Motorist (UIM)
UIM coverage applies when the driver who hits you does have insurance, but not enough to cover all your medical costs. Illinois doesn’t require UIM at the 25/50 minimum level, but if you raise your UM coverage above 25/50, you must add UIM coverage too. UIM will pay the difference between the other driver’s liability limit and your remaining medical bills, up to your UIM limit.
Minimum vs. recommended coverage
The law sets the minimum, but it’s often wise to carry higher limits if you can afford it. The state minimum 25/50/20 might not fully cover a serious accident. For instance, $25,000 for injuries might not go far if someone needs an ambulance and hospital stay, and $20,000 property damage may not replace a newer car. To better protect yourself, many drivers opt for higher limits like 50/100/50 or 100/300/100. Below is a comparison between Illinois’s minimum requirements and a more protective coverage level a driver might choose:
| Coverage Type | Illinois Minimum Requirement | Recommended Coverage (Example) |
| Bodily Injury Liability (per person) | $25,000 | $50,000 – $100,000 (or more) |
| Bodily Injury Liability (per accident) | $50,000 | $100,000 – $300,000 (or more) |
| Property Damage Liability | $20,000 | $50,000 – $100,000 (or more) |
| Uninsured/Underinsured Motorist (per person/per accident) | $25,000 / $50,000 | Match your BI limits (e.g. $50,000 / $100,000) |
(Higher limits can be crucial because the minimums may not cover a major crash. For example, the average new car costs more than $20,000, and medical expenses from an injury can easily exceed $25,000. Having more than the minimum coverage protects you from being personally responsible for those extra costs.)
What Happens if You Don’t Have Insurance in Illinois?
Driving without insurance in Illinois is a violation of the law, and the state has systems in place to catch uninsured drivers.
Here’s what can happen if you fail to carry the required insurance:
Traffic stops and citations
If you’re stopped by the police for a traffic violation or are involved in an accident, the officer will ask for proof of insurance. If you cannot provide a valid insurance card, you can be issued a citation. If you are later convicted of driving uninsured, Illinois will suspend your vehicle’s license plates (registration), meaning you can’t legally drive that car until you fix the situation. The minimum fine for a first offense of driving without insurance is $500. Additionally, Illinois now uses an electronic insurance verification system (ILIVS) that can automatically catch uninsured vehicles. If your vehicle is flagged as uninsured by the system, you’ll receive a notice and could have your registration suspended unless you provide proof of coverage.
Repeat offenses and higher penalties
For a second offense (or any repeat occurrence of driving uninsured), the penalties get more severe. Repeat offenders face a mandatory four-month suspension of their vehicle registration, during which you cannot legally drive that vehicle at all. To reinstate your plates after the suspension, you’ll have to show proof of insurance and pay a $100 reinstatement fee to the Secretary of State. If you are caught driving any vehicle while your registration is suspended for an insurance violation, there’s an additional penalty: a minimum fine of $1,000 for that offense.
Accidents while uninsured
The financial consequences of driving uninsured can be devastating if you cause a crash. If you don’t have insurance, you are personally responsible for all damages or injuries you cause. The other party can sue you for medical bills, vehicle repairs, lost wages, and other losses. In Illinois, an at-fault uninsured driver may also have their driver’s license suspended under the state’s financial responsibility laws (in addition to the vehicle registration suspension).
SR-22 requirement
Illinois may require you to have an SR-22 insurance filing (a certificate of financial responsibility) for about 3 years after an insurance violation. An SR-22 is filed by your insurer to prove you have the minimum coverage. If you fail to maintain it, your license can be suspended again.
How Do You Prove You’re Properly Insured?
Being insured is one thing, but you also need to be able to prove it when necessary. Here’s what Illinois drivers should know about showing proof of insurance:
Insurance ID card
When you purchase an auto insurance policy, the company will issue you an insurance identification card (paper and/or digital). This card lists your policy number, coverage dates, vehicle details, and name. Illinois law says you must carry your insurance card in your vehicle and show it to a police officer upon request. If you’re pulled over or involved in an accident, this card is your proof of coverage.
Electronic proof
Illinois accepts electronic proof of insurance. You can show your insurance info on your smartphone (for example, via your insurer’s app or a PDF of the card). A digital insurance card is legally sufficient if an officer asks for proof. It’s a good idea to save an electronic copy on your phone, but many drivers also keep the paper card as a backup.
When you need to show proof
You are required to show proof whenever a law enforcement officer asks (for example, during a traffic stop or after an accident). You may also need to provide proof if the state contacts you for an insurance verification notice.
How Can You Make Sure You Stay Compliant with Illinois Car Insurance Laws?
Staying compliant with Illinois’s auto insurance laws is straightforward if you follow some smart practices. Here are some tips to ensure you never find yourself uninsured or facing penalties:
Never let your policy lapse
Mark your calendar for your policy renewal date and pay your premiums on time. If you miss a payment and your insurance policy cancels, you’ll be driving uninsured. Consider setting up automatic payments or reminders to keep your coverage continuous. Even a short lapse can trigger the state’s verification system and a potential suspension notice.
Carry proof of insurance at all times
Replace expired insurance cards with the new ones immediately when you renew your policy. Keeping a valid insurance card in your car (or saved on your phone) at all times means you’ll always be ready to show proof if you get pulled over or have an accident. It’s a simple step that can save you a lot of trouble.
Update your policy with any changes
Whenever you buy a new car, move to a new address, or even change your name, inform your insurance company right away. New vehicle? Don’t drive it off the lot until it’s insured – Illinois requires you to insure a vehicle from the moment it’s registered. New Illinois resident? Make sure your policy meets Illinois’ requirements (including uninsured motorist coverage), since other states might have different minimums. Keeping your policy updated will ensure you’re always in compliance.
Be careful during suspension periods
If your registration gets suspended for an insurance lapse, do not drive that vehicle until you’ve reinstated your coverage and paid the fees. Driving a car with suspended plates will earn you a $1,000 fine on top of everything else. Instead, get the required insurance (which may involve an SR-22 filing) and pay the $100 reinstatement fee to restore your registration before you hit the road again.
Respond to any insurance notices from the state
Always open and read letters from the Illinois Secretary of State or DMV. If you receive an insurance verification notice (as part of the ILIVS random checks), respond by the deadline given. Usually, you’ll need to go online or contact your insurer to confirm your coverage. Ignoring the notice will result in a suspended registration by default. By addressing it promptly, like providing proof of insurance or correcting any mistake, you can avoid a suspension.
What Are the Most Common Questions About Illinois Auto Insurance Laws?
Q: Can you get car insurance after being fined for driving without coverage in Illinois?
A: Yes. Even if you’ve been penalized for driving without insurance, you can (and must) get insured afterward. That said, some insurers might consider you high-risk – in fact, some companies may refuse coverage for drivers who were caught uninsured. You may have to find an insurance company specializing in high-risk policies, or utilize the Illinois Automobile Insurance Plan to obtain coverage. You will likely need to file an SR-22 (a certificate proving you have insurance) and maintain it for about three years. Insurance will be more expensive after such a violation, but it is definitely possible to get covered again.
Q: Is “full coverage” car insurance required by Illinois law?
A: No. Illinois law does not require full coverage, which generally means having comprehensive and collision coverage in addition to liability. The state mandate is only for liability insurance (and uninsured motorist coverage) to cover others’ damages. If your car is financed, your lender will require you to carry collision and comprehensive insurance to protect the vehicle. But from a legal standpoint, Illinois only demands the 25/50/20 liability minimums. Even though it’s not legally required, full coverage (adding comp and collision) is wise if you want your own car covered against accidents, theft, or weather damage, especially for a newer or valuable car.
Q: Is Illinois a “no-fault” state for car accidents?
A: No, Illinois is an at-fault (tort liability) state. The driver who causes an accident is responsible for the damages. Illinois does not have a no-fault insurance system requiring personal injury protection. Instead, drivers must carry liability insurance, and an injured person can file a claim against the at-fault driver’s liability coverage.
Q: Do I need car insurance if I don’t own a car in Illinois?
A: If you don’t own a car, you are not legally required to carry car insurance in Illinois. Insurance requirements apply to vehicles, not individuals. So if you occasionally drive someone else’s car and that car is properly insured, you should be covered by the vehicle owner’s policy (in general, insurance follows the car). However, if you drive others’ cars frequently or want your own protection, you can buy a non-owner car insurance policy to provide liability coverage when you drive a vehicle you don’t own.
Need help getting the right car insurance in Illinois? Insure On The Spot can help. We specialize in Illinois auto insurance and can find you an affordable policy that meets state requirements, whether you need basic liability, SR-22 coverage, or full coverage. Call 773-202-5060 or visit our website for a free quote. Drive safe and stay insured!