Car Insurance for High-Risk Drivers in Illinois Explained

While finding an affordable car insurance policy in Illinois may be challenging for a high-risk driver, it isn’t impossible. We’ll walk you through what a high-risk insurance policy is, why it’s so expensive, and how you may be able to lower your premiums without sacrificing coverage. 

High-risk auto insurance in Illinois is a specialized type of coverage for drivers considered high-risk by insurers. These drivers may be people with a poor driving record, bad credit, lack of driving experience, current or past SR-22 forms in the state, or various other factors. Insurers use driving and non-driving factors to determine your rates when binding a policy with you.  If either category of factors settles you in a high-risk category, your premiums will be higher than average. 

Some non-driving factors insurers use to determine premiums may be the policyholder’s age, gender, ZIP code, or various other factors. One group of drivers that may be considered high risk solely based on non-driving factors are teenage boys, as they’re the most statistically likely group to get into car accidents. Thus, teenage boys and policyholders with teenage boys insured on their policies will often pay higher-than-average premiums for these drivers.

Keep in mind that high-risk insurance isn’t actually a different type of policy, nor is it a coverage one may add to their policy. The term encompasses groups of drivers more likely to file a claim with their insurer, thus driving up their monthly or annual premiums. 

In terms of the average cost of insurance, Illinois is a relatively affordable state to get a policy. The average full coverage policy in the state costs about $1,500 annually. However, this average rate may only be available to lower-risk drivers with good driving records and minimal traffic violations. Standard insurers often reject binding a policy with a high-risk driver or quote them with an extremely high premium due to their risk. 

While some insurers offer lower-than-average rates to high-risk drivers, like Geico or Travelers, your quoted premium may still be out of your budget with one of these insurers. It’s usually a good idea to try a standard insurer that ranks as one of the state’s top insurers first because they often offer better discounts, coverage options, and customer service than other insurers. 

Discounts are a great way for high-risk drivers to get the coverage they want at an affordable rate. Many insurers offer stackable discounts so policyholders can maximize their savings. For example, a great discount for a high-risk driver is a safe driving discount. Many insurers offer usage-based telematics programs in which drivers track and send their driving data to their insurer and, based on the types of choices the policyholder makes on the road, they may receive a discount of up to 20% off their premiums. 

Many standard insurers also offer discounts like a good student discount, a discount for bundling multiple policies, or a discount for bundling multiple cars onto one policy. If your insurer allows you to stack these discounts, you could get your rates down to average or below average in no time.

If binding a policy with a standard insurer is too expensive for a high-risk driver, they may instead opt to bind a policy with a non-standard insurer specializing in high-risk drivers. If you have a specific circumstance that makes it difficult to find and bind a policy from a standard insurer, a great way to maintain a policy with the legal minimum amount of coverage is to bind with a non-standard insurer specializing in your issue. However, non-standard insurers often offer fewer coverage options than standard insurers, so reviewing the policy details with your agent is always important. 

The Illinois assigned high-risk pool for auto insurance, or the Illinois Automobile Insurance Pan (ILAIP), is a program that all standard insurers in the state participate in to provide high-risk drivers with the legally necessary coverage. This program is for high-risk drivers who can’t get a policy on the standard market and are instead enrolled in a pool and designated an insurer. It’s kind of like the lottery but for expensive auto insurance. 

The ILAIP is a last resort for high-risk drivers, as it’s often very expensive, and all drivers assigned to an insurer must stay with that insurer until they’re no longer considered high-risk. Most often, drivers entered into this pool carry an SR-22 form, which an insurer will file for a high-risk policyholder to confirm with the state that the driver has a current, sufficient policy.

Drivers who carry SR-22 forms are often those who’ve gotten into several accidents, caused several traffic violations, or have been caught driving without insurance in the state. 

If you need high-risk insurance, getting and comparing quotes from several insurers before binding a policy is crucial. Since high-risk insurance is often associated with high premiums, quoting is a tool for drivers to get the coverage they need at the most affordable price.

If you need a quote for high-risk insurance, you’re in luck. Here at Clovered, quoting is our specialty–we love it so much we even have a free quoting tool you can use right here.

Just enter basic information about you and your vehicle, and you’ll get quotes tailored to you in minutes. If you prefer to speak to an agent about your quote or any lingering questions about high-risk insurance, contact one of our licensed agents at 833-255-4117 or [email protected].