Cheapest Low-Income Car Insurance in Illinois (2025 Rates)

Key Takeaways

Illinois has no low-income car insurance program, but you can find affordable plans to meet state minimum coverage requirements on your own.

Mercury, Hanover, Westfield and Auto-Owners provide the most affordable car insurance in Illinois for low-income drivers.

Drivers can raise their deductible, consider a cheaper car to insure and explore quotes from multiple providers to get the most affordable deal on car insurance.

Cheapest Car Insurance Companies for Low-Income Drivers in Illinois

Low-income drivers in Illinois benefit from competitive rates among multiple providers, with different companies leading across various profiles. Mercury offers the most affordable coverage for adults at $26 monthly and maintains strong value for drivers with bad credit at $38 and DUI records at $39 per month. Westfield takes the lead for young drivers at $31, Hanover provides the best rates for seniors and those with speeding tickets at $27, and American Family wins for accident-prone drivers at $40.

Illinois ranks 17th most affordable nationally, with average minimum coverage at $41 per month compared to the $53 national average. Drivers in Illinois save roughly $13 monthly versus typical costs elsewhere, placing the state comfortably below the national baseline for minimum liability coverage.*


GEICO	Young Drivers	$43
GEICO	Adults	$35
GEICO	Seniors	$37
GEICO	Drivers With a Speeding Ticket	$44
Country Financial	Drivers With a DUI	$60
GEICO	Drivers With an Accident	$52
Country Financial	Bad Credit	$57

*All rates in this table, except for adults, are based on a modified profile of a 40-year-old driver with good credit and a clean record insuring a 2012 Toyota Camry. The age ranges are 22 to 29 for young drivers, 30 to 59 for adults and 60+ for seniors.

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Cheapest Car Insurance for Families With Low Income in Illinois

Auto-Owners Insurance Co delivers the most competitive family rates in Illinois, leading the market for married couples with teens at $58 monthly and single parents with teens at $90 per month. GEICO offers married couples without teens the lowest premium at just $38, though Auto-Owners and State Farm remain strong alternatives at $44 and $43 respectively.

The cost to add a teenage driver varies by insurer, with married couples seeing increases from $38 to $58 through GEICO and Auto-Owners (a $20 jump), while State Farm's rates climb from $43 to $62 monthly. Single-parent households face steeper costs, with Auto-Owners charging $90 compared to $58 for married couples with teens, representing a $32 monthly difference. Provider selection matters significantly in Illinois, where the gap between cheapest and priciest options reaches $86 for married couples without teens (GEICO at $38 versus Auto-Owners at $124).*

Data filtered by:


Auto-Owners Insurance Co	$695	$58
State Farm	$743	$62
Progressive	$745	$62
GEICO	$818	$68
Travelers	$819	$68
Allstate	$848	$71

*Rates for couples and single parents with teens apply to a 16-year-old driver. Those for a married couple without children are based on a 40-year-old male with good credit and a clean driving record.

Tips to Save On Car Insurance for Low-Income Drivers in Illinois

Here are some practical ways to cut down on your auto insurance costs:

1
Choose minimum coverage
Selecting the state-required minimum coverage is usually the most affordable way to meet legal obligations. However, if you are in an at-fault accident, the $500-$3,000 of costs on average can come out of your pocket, as minumum coverage won't cover everything.
2
Compare quotes
Requesting quotes from various insurance companies helps you find the most affordable plan. Explore multiple channels, such as provider websites, independent brokers, company agents and online comparison tools to make sure you're getting the best deal for your specific needs.
3
Look for discounts
Take a look into what discounts you qualify for depending on your provider or as you research different providers. If you are a student, military member or a senior driver, providers will often have a discount for you. Illinois drivers can also sign up for a $25 defensive driving course to earn a defensive driver discount.
4
Increase your deductible
Raising your deductible will lead to lower rates for car insurance, although it can cost you if you need to file a claim, so make sure you can afford it.
5
Consider pay-per-mile insurance
For low-mileage drivers, consider pay-per-mile insurance to pay only for the miles you drive, plus a small base fee.
6
Bundle your policies
In Illinois, bundling home and auto insurance policies can save customers on average almost $200 annually. Depending on your provider, the discount can reach up to $690 per year.
7
Get a cheaper car
Your vehicle's make, model and year heavily influence insurance costs. Opting for a cheaper car to insure, like an older and dependable model that is cheaper to repair will lead to car insurance savings.

Minimum Car Insurance Requirements in Illinois

Illinois drivers must meet these minimum car insurance requirements:

$25,000 in bodily injury liability per person
$50,000 in bodily injury liability per accident
$20,000 in property damage liability per accident

If you're leasing or financing a car, you'll need a split of 100/300/100 liability coverage and comprehensive and collision protection.

WHY MINIMUM COVERAGE MAY NOT BE RIGHT FOR YOU

Minimum car insurance covers only the other driver's expenses if you're at fault in an accident. If you drive a lot and you can afford higher coverage, it will save you from paying for any damage to your car as well as any legal fees that arise.

Cheap Low-Income Car Insurance in Illinois: Bottom Line

Mercury is the most affordable car insurance company for low-income drivers in Illinois. High-risk drivers can find competitive rates from Mercury, Hanover and American Family. Explore various providers through different methods to get the best deal.

Low-Income Auto Insurance in Illinois: FAQ

Finding affordable car insurance is tough for low-income drivers. Here are answers to common questions on saving money.

What is the cheapest car insurance for low-income drivers in Illinois?

Minimum coverage is typically the most affordable option for low-income drivers, subject to car financing or leasing terms. In Illinois, Mercury offers the cheapest minimum coverage at $26 monthly, and American Family has the lowest full coverage rate at $60.

Does Illinois have a state-supported low-income car insurance program?

Illinois has no state-supported program for low-income drivers to get affordable car insurance.

Does your income affect the cost of car insurance in Illinois?

Income doesn't directly impact car insurance premiums in Illinois. Factors like driving record and vehicle model are more significant.

How We Chose the Cheapest Car Insurance for Low-Income Drivers

Study Overview

MoneyGeek analyzed Illinois auto insurance rates using data from the Illinois Department of Insurance and Quadrant Information Services.

Data Acquisition, Depth and Analysis

MoneyGeek analyzed 328,384 quotes from 14 companies across 370 ZIP codes to determine the average cost of car insurance for drivers with low income in Illinois.

Sample Driver Profile

We used a sample driver profile with the following attributes to determine average car insurance rates for low-income drivers in Illinois:

40-year-old male
2012 Toyota Camry LE
Clean driving record
12,000 miles driven annually

To determine rates for specific driver profiles, we adjusted factors such as age, family status, driving history and credit standing.

Our study defines seniors as 60 or older, young drivers as 22 to 29 and adults as 30 to 59. Married couples with a child include 40-year-old male and female drivers with a 16-year-old teen. Single parents with children are 40-year-old male or female drivers with a 16-year-old teen.

Coverage Levels and Deductibles

Our data shows rates for minimum coverage, which follows the requirements set by Illinois law, and offers affordable options for low-income drivers.

About Mark Fitzpatrick

Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.

Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!

He writes about economics and insurance, breaking down complex topics so people know what they're buying.

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