Cheap Car Insurance in Chicago for 2024
The average cost of auto insurance in Chicago, Illinois for 2024 is $2,500 per year. That’s a pretty good wallet hoovering compared to the rest of Illinois. Of course, auto insurance coverage is more complicated than just price. It’s also about coverage type and needs. Rates will vary if you’re looking at straight liability, some added collision upgrades, or even full comprehensive coverage. You can expect to pay more as your coverages increase. You’ll also learn that gender may play a role in your coverage costs. It’s also worth noting that car insurance rates in Chicago have risen for the past six years, so it’s worth locking in a good rate before year’s end if you can.
See our overall recommendations for Best Car Insurance
Who Has the Cheapest Car Insurance in Chicago?
- Safeco
- Pekin
- Country Financial
- GEICO
- Erie
How Did We Calculate This?
We averaged data for car insurance on a number of mainstream vehicles in common categories (midsize sedan, midsize SUV, minivan, full-sized pickup truck) and in five postal ZIP codes in Chicago. We received quotes from most of the insurers in the Chicago area and had them quote for each vehicle with a driver with a clean record, aged about 40 years, and with an average credit rating. We sourced for both a male and a female driver. We then averaged those quotes received to rank for best rates and for the rates listed below.
DISCLAIMER: There are numerous other factors that are going to impact the cost of insurance on your car, crossover, or truck. We’ll provide info on some of those variables, but your best bet is to read our deep dive on Cheap Car Insurance for 2024 to get a better idea.
Who Has the Best Cheap Car Insurance in Chicago?
- Best Large Insurance Carrier: State Farm - For every quote given, State Farm was the lowest price given.
- Cheapest Insurance from a Smaller Carrier: Country Financial - Based in Illinois, this company was originally started as an insurance cooperative for farmers and grew into a general insurer for automotive, real estate, and more.
- Cheapest Insurance with One Accident: Safeco - Although only marginally lower than runner-up Pekin, Safeco also offers accident forgiveness for customers who’ve remained accident- and violation-free in Illinois.
- Cheapest Insurance for Poor Credit: Safeco - For those with poor or no credit, Safeco also offers a minimum coverage program that has rates that can be far cheaper than others quoted.
How Much Does Car Insurance Cost in Chicago?
The national average for auto insurance in 2024 is expected to be around $1,800. In cities like Chicago, however, you can expect to pay more. Crime rates, accident rates, and so forth are all higher as populations get more dense. Chicago is a big city with a lot of vehicles sharing its roadways. Dings, fender benders, and so on are common. So are break ins, thefts, and other incidents. It does pay to shop around and insurance offerings in Chicago are competitive. Just look at the average given above versus the national average here.
| Rates we found reported as “typical” or “average” (annual) online | Average (annual) | Adjusted average* (annual) |
|---|
(*) The “adjusted average” is computed by eliminating the highest and lowest values and averaging the remaining values.
What Causes Rate Increases in Chicago?
Where you live in Chicago or its surroundings can make a big difference in your rates. For example, living in the 03 Chicago Loop is not only expensive in real estate, but also expensive in auto insurance. By comparison, West Town or Avondale have lower rates. Often the difference is hundreds per year.
Other things that have an effect on your car insurance rates are similar to those which affect rates everywhere else. Your driving record, for example, can impact your rate. As can your accident history, age, credit rating, and more. Our main story on auto insurance covers more of these items in detail. In Chicago specifically, however, the item creating the greatest change to insurance cost is a record of a DUI (drunk or impaired driving) conviction.
How Do Accidents Affect Rates in Chicago?
An accident in Chicago can mean an insurance rate increase of up to 90 percent. The amount of increase depends heavily on the insurer, the type of claim, and the amount of the claim. Some insurers offer at-fault or no-fault accident forgiveness if you’ve carried a policy with them with no claims for a given period of time. Usually 2-5 years.
Some automotive technologies such as adaptive cruise control, forward collision warning, and automatic emergency braking can greatly reduce your chances of an at-fault accident. Other gadgets like semi-automated parking systems (think “Smaat Paak”) can help as well.
| Range of Rate Increases for One Accident | Average of Rate Increases | Adjusted Average of Rate Increases |
|---|
Remember that this is a guide and that one of the rate increases includes no increase at all due to accident forgiveness. Some insurers also do not count a “claim” unless there was a payout on that claim. This means that you may have been in an accident, informed your insurer, but the other driver’s insurance covered all costs. Hence you had no claim filed with your own insurer, so nothing counts against you. This is common in at-fault states like Illinois.
How Do Tickets Affect Rates in Chicago?
Because an insurer sees traffic infractions and moving violations as indicators of increased risk of accident, these tickets can negatively impact more than just your driving record. Many insurers do annual checks for new infractions on a driver’s record and adjust rates accordingly. So that ticket could cost you more than just the fines levied by the court.
| Range of Rate Increases for One Speeding Violation | Average of Rate Increases | Adjusted Average of Rate Increases |
|---|
How Can You Get Car Insurance Discounts in Chicago?
There are literally tens of thousands of discount programs for insurance around the country. Many are available to those living in Chicago. Some are tied to memberships, military service, or even chosen career.
In Illinois, for example, there is a Driver Education program for older adults. Those over age 50 who take this state-approved defensive driving class can request a discount of up to 10 percent on their insurance rates.
What’s the Minimum Coverage that is Allowed in Chicago?
The penalties for having no insurance coverage while driving in Illinois are steep. Your driver’s license can be suspended and fines as high as $5,000 can be levied. The minimum coverage requirements in Chicago, Illinois are relatively low compared to national averages. These include a $25,000 bodily injury liability covering up to $50,000 per accident. You must also have $20,000 in property damage liability coverage.
