Illinois No-Fault Insurance Insurance Explained

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Illinois isn’t a no-fault state, which means in an accident, at least one driver must be deemed at fault. Most states are at-fault states, like Illinois, as only about 13 states have no-fault laws that require residents to carry no-fault coverage. 

While drivers in the Prairie State are only required by law to carry liability and uninsured motorist coverages, some may opt for a first-party medical benefit (FPMB) to act as no-fault coverage on their Illinois insurance policies. Let’s investigate what no-fault insurance is, why Illinois doesn’t require it, and how drivers in the Prairie State can protect themselves on the road with an FPMB.

Answering Your Questions About Illinois No-Fault Insurance

When it comes to auto insurance, Illinois has some requirements, but no-fault coverage isn’t one of them. Most states that adopt no-fault laws look at two critical factors before signing them into action: population and number of uninsured drivers. While Illinois is the sixth most populous state in the U.S., only about 11% of drivers in the state are uninsured, compared to the national average of about 13% of drivers. 

Typically, when a state has a high population or population density, this leads to an increased number of drivers on the road, leading to a higher likelihood of accidents. In at-fault states, when drivers get into accidents, they file claims with each other’s insurance companies and often sue each other, leading to backed-up legal and insurance systems. 

Some states have decided to enact no-fault laws to avoid overwhelming the court and insurance systems. In an at-fault or tort state, drivers are typically required to carry some form of liability coverage to cover medical expenses for any potential victims of an accident caused by the policyholder. In contrast, no-fault laws require drivers to carry an FPMB like personal injury protection (PIP), which covers the policyholder’s medical expenses instead of providing protection for the victim of an accident caused by the policyholder. 

After an accident in a no-fault state, a driver would file a claim with their own insurer to receive benefits from their FPMB. No-fault states also make it harder for drivers to sue each other in an accident because the fault isn’t always assigned. 

While Illinois has a high population, its population of uninsured drivers is below average. Thus, the need for a no-fault law has yet to be reached. This means that while the courts and insurance systems in the state are working hard day in and day out processing cases and claims, they don’t receive the same overwhelm as states with high populations and a high number of uninsured drivers. 

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Is Illinois an At-Fault State?

Yes, Illinois is an at-fault state. This means that drivers aren’t required to have no-fault insurance in Illinois. In an at-fault state, drivers are often required to carry some liability coverage. In the Prairie State, drivers legally must have at least $25,000 in bodily injury liability per person, $50,000 in bodily injury liability per accident, and $20,000 in property damage liability per accident, often expressed as 25/50/20 liability coverage. 

Illinois’s liability coverage is unique in that every policy with at least the minimum liability limit will also include $20,000 in uninsured or underinsured bodily injury coverage (UMBI/UIMBI) per person and $40,000 of UMBI/UIMBI per accident, or 20/40 UMBI/UIMBI coverage. 

While Illinois has a high population, its population of uninsured drivers is comparatively low. Thus, the state lacks the need for no-fault laws. While no-fault laws provide an added layer of protection for law-abiding drivers, being an at-fault state does have advantages. 

No-fault states typically have higher average premiums than at-fault states, even for minimum coverage. This is because no-fault coverage like PIP is often expensive coverage to have on one’s policy. Since Illinois’s laws don’t require an FPMB, the average cost of a full coverage policy in the state is only about $1,500 annually, about 10% lower than the national average of $1,670 annually. With lower-than-average premiums, residents can often find cheap policies in the state much easier than those in no-fault states. 

Is Illinois a No-Fault State?

No, in Illinois, no-fault insurance isn’t required, meaning it isn’t a no-fault state. Instead, Illinois is an at-fault or tort state, which means in any accident, at least one driver must be deemed at-fault. The Prairie State is a comparative fault state, or a comparative negligence state, meaning if two drivers did something to cause an accident, they would split the fault either 50/50, 60/40, and so on. A driver must be less than 50% at fault to receive a payout from the at-fault party’s liability coverage. 

For example, let’s say one driver speeds through a red light and hits another driver who turns right on a red light. In this scenario, the driver speeding through a red light will likely bear the brunt of the fault because their offense is worse than the other driver’s. In this case, say the fault is split 70/30. The accident victim will receive a payout from the at-fault driver’s insurance (assuming they have sufficient coverage) since they’re less than 50% at fault for the accident but may only receive 70% of the payout for their expenses. 

While carrying the minimum coverage required in the Prairie State can be cheaper, it may not always be the safest route. Many drivers in the state opt to carry an FPMB to protect themselves in an accident, regardless of who’s at fault.

Is Illinois PIP Insurance Required?

No, PIP coverage in Illinois isn’t required. In fact, it isn’t even offered in the Prairie State. However, Illinoisans can still opt for no-fault coverage for their medical expenses and vehicle repairs with two different coverage types on a full coverage policy.

One of the two primary no-fault coverages offered in the Prairie State is collision coverage. Collision coverage may be called no-fault coverage because it exists to help the policyholder with the expenses related to vehicle repairs after an accident, regardless of who’s at fault. 

The other prominent no-fault coverage offered in Illinois is medical payments coverage (MedPay), an FPMB that helps the policyholder cover the medical expenses they accrue from an accident, regardless of who’s at fault. MedPay may cover expenses like ambulance rides, hospital stays, diagnostic tests, doctor’s visits, and other treatments related to your accident, depending on your insurer.

It’s always important to consult your insurer about the details of each coverage type so you’re aware of what’s covered and what isn’t. 

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Does Illinois Have No-Fault Insurance?

While Illinois doesn’t require no-fault insurance, some insurers offer an FPMB that acts in the same way as no-fault coverage. By adding MedPay, the only FPMB offered in the state, to your policy, you can get coverage for various medical expenses you may incur due to an accident, regardless of who was at fault.

Is Illinois a No-Fault State for Non-Insured Drivers?

No, Illinois isn’t a no-fault state for any drivers, especially not those who lack sufficient coverage. Driving without the minimum coverage required by state law is illegal in the Prairie State. If an uninsured driver is deemed at fault in an accident, they will be liable for the victim’s expenses and any legal penalties they may face.

Since driving without insurance is illegal in Illinois, uninsured drivers may face penalties like fines or license and registration suspension. Plus, one infraction for driving without insurance may require you to carry SR-22 insurance, which puts you in the category of a high-risk driver and makes it harder to get affordable coverage in the future. That’s not to mention the cost of the victim’s accident expenses and the uninsured driver’s. More often than not, the savings associated with forgoing insurance completely are never worth the risk. 

Is Illinois a No-Fault State for Car Accidents?

No, Illinois isn’t a no-fault state for car accidents. Instead, Illinois is an at-fault state, or tort state, meaning fault will always be assigned to at least one driver. Hence, the victim or victims in an accident can use the at-fault driver’s liability coverage to cover their medical expenses or vehicle repairs. 

Illinois Car Insurance Quotes

If you’re interested in adding no-fault coverage to your policy in the Prairie State, the best way to get a great rate from one of the state’s top insurers is to get and compare quotes online. Getting and comparing quotes online ensures your policy is tailored to your needs, so you get the coverage you want at a price you can afford.

Lucky for you, you’ve come to the quoting experts. Here at Clovered, we have a free quoting tool you can use to get a free quote in minutes. If you have any questions about your quote, Illinois car insurance laws, no-fault coverage, or anything else related to auto insurance, feel free to contact our agents directly at 833-255-4177 or at

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The editorial content on Clovered’s website is meant to be informational material and should not be considered legal advice.

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