The Best and Cheapest Renters Insurance in Illinois for 2022: Rankings, Reviews and Rates
Renters insurance protects your personal property and assets at an affordable price. According to MoneyGeek’s data, the lowest cost for renters insurance in Illinois is around $5 per month, while the highest rate is $14 monthly. Comparing prices and shopping around may help renters save almost $10 per month.
To help you find the best insurance provider in Illinois, MoneyGeek ranked companies based on affordability, customer service and financial strength.
The cost of monthly and annual premiums is an important factor when choosing a policy. Based on affordability, the best cheap renters insurance in Illinois is offered by Lemonade and State Farm. Lemonade’s average annual premium is $60 or $5 per month. A similar policy with State Farm costs an average of $89 per year or about $7 per month.
These calculations are based on MoneyGeek’s analysis of quotes using a diverse set of ZIP codes throughout the state. For the sampler renter, MoneyGeek used an individual who has renters insurance in Illinois covering $20,000 in personal property coverage, $100,000 in liability coverage and a deductible of $500.
Personal Property Coverage:
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Best Renters Insurance Companies in Illinois
While the price of renters insurance in Illinois is a big consideration when choosing a policy, it is important to evaluate other factors as well. Doing this can help you find the best provider and policy for your needs.
MoneyGeek ranked the best renters insurance providers in the state by calculating scores based on affordability, JD Power and Associates’ customer service scores and AM Best’s financial stability ratings. The company that got the highest score is USAA with 94 points. However, USAA is only available to members of the military, veterans and their eligible family members.
For renters who don’t qualify for USAA, State Farm is the best option with a score of 89 points. Lemonade follows closely behind with 88 points.
More About USAA
Policyholders with a USAA plan receive identity theft, earthquake and moving and storage coverages.
You can easily communicate with a company representative through their mobile app and customer portal.
However, USAA has strict membership qualifications. Only military members, veterans and their eligible family members can get policies with USAA.
More About State Farm
A State Farm policyholder can get a standard coverage for qualifying events. You can also choose to customize your insurance plan depending on your circumstances.
Additional coverages that State Farm offers include identity theft protection, earthquake, valuables and more.
State Farm’s online tool allows you to easily get a quote.
More About Lemonade
Lemonade policyholders typically get coverage that includes family members for no extra charges. If you want to protect your expensive valuables, you can do so by adding additional coverage.
It’s easy to update your coverage whenever you want using the app.
Lemonade’s claims system and mobile app allow consumers to receive instant quotes and quicker payouts.
More About Nationwide
Getting additional protection is possible with a Nationwide renters insurance policy. You can get coverage for your valuables, such as jewelry and firearms.
Bundling renters and auto insurance can help you get discounts. People who live in a home with smoke detectors, fire alarms or a home security system can get up to 15% their policy price.
If you want to get a quote, you can use Nationwide’s online tool.
More About MetLife
Individuals with no claims history may qualify for significant savings with MetLife. Discounts are also available if you bundle renters insurance with your other policies.
MetLife policyholders can easily report damages and apply for claims through the company’s 24/7 phone customer service.
Largest Renters Insurance Companies in Illinois
Larger companies tend to be more financially stable than their smaller counterparts. As a result, it can be a good idea to choose a bigger company because you have a better chance that your legitimate claims will be paid.
The top five companies with the highest market share in Illinois are State Farm (33%), Allstate (12%), COUNTRY Financial (8%), American Family (6%) and Farmers (6%). Together, these insurance providers make up over 64% of the market.
Average Cost of Renters Insurance in Illinois
renters insurance is equal to the average.
The average cost of renters insurance in Illinois per year is $124, which is $35 less than the national average. These averages are based on a policyholder with personal property coverage of $20,000, liability coverage of $100,000 and a deductible of $500.
To find the best policy for your needs, you will have to shop around and compare personalized quotes. For example, choosing a policy from the most affordable company, Lemonade, can help you save up to $110 per year instead of getting a policy from the most expensive company, Farmers.
What Factors Impact Renters Insurance Cost in Illinois
Several criteria, such as location and coverage amount, determine the cost of renters insurance in Illinois. Consider these factors before choosing a carrier and policy.
Location: ZIP codes play an important role in calculating insurance premiums. This is because different neighborhoods have different crime rates and weather patterns.
Coverage amount: Your level of coverage will impact your premium. The more coverage you have, the higher your rate. To help figure out the coverage you will need, do a home inventory before requesting quotes.
Deductible: Renters insurance requires policyholders to have a deductible. This is how much money you pay before your insurance provider starts making payouts for a claim. You’ll pay a lower monthly premium if you have a higher deductible and vice versa.
Actual Cash Value (ACV) vs. Replacement Cost Value (RCV): If you choose an ACV policy, your insurance carrier will make payouts based on the fact that your belongings lose value over time. While this means you’ll receive less money if you file a claim, your premium will likely be lower. Opting for an RCV policy means your insurance provider will pay the cost for a new item that is similar in terms of kind and quality to your covered valuables. This means higher payouts on claims but also results in higher rates.
Credit Score: Insurance providers in Illinois may also determine your premium based on your credit score. Individuals with higher credit scores may get cheaper rates because they are less likely to file a claim.
Renters Insurance in Illinois: What You Need to Know
Purchasing renters insurance is not a state requirement in Illinois. However, having a policy will help protect your belongings at a low-cost.
Illinois renters make up 30% of the state population. The average monthly rent is $1,020. For a standard policy with $20,000 in personal property coverage, $100,000 in liability coverage and a $500 deductible, an Illinois renter typically pays an average monthly premium of $10. That is 1% of the monthly rent price.
What Renters Insurance Typically Covers in Illinois
What a policy covers and what it does not is an important consideration when choosing the best renters insurance in Illinois. Typical renters insurance includes coverage for personal property, additional living expenses, liability insurance and medical payments.
Personal property coverage in Illinois may protect your assets from damages due to various covered events like lightning and hail.
What Renters Insurance Typically Does Not Cover in Illinois
Risk factors specific to your area will help you figure out what to include in your renters insurance policy. You want to make sure that you are prepared for any possible emergency. Here are some issues that renters insurance policies do not usually cover.
Flooding: Illinois insurance providers may include water damage due to broken pipes, but they may not offer coverage for flooding caused by natural disasters. If you think the neighborhood where you live is prone to flooding, you may want to buy flood insurance through the National Flood Insurance Program (NFIP).
Earthquake Damage: Most renters insurance policies in Illinois do not cover earthquake damage. Some carriers may offer it through an additional rider.
Structural Damage: Renters insurance is only applicable to personal property and assets. Any damages to the structure of your rental is your landlord’s responsibility.
Roommate Property: Your renters insurance will not cover your roommate’s belongings. They will have to purchase their own policy to protect their assets.
Expensive Items: Items like jewelry and other valuables are not usually covered by standard renters insurance policies. To protect your valuables, you may need to request additional coverage.
Renters insurance is a helpful tool to protect your property. However, you have to make sure that you understand what is covered and what is not. Read the fine print before you buy a policy. It can also help to ask your agent if you have any concerns so you can avoid issues in the event you have to file a claim.
FAQs About Renters Insurance in Illinois
No, state law does not require renters insurance. However, most landlords require tenants to have coverage before signing a lease agreement.
Renters insurance in Illinois is not legally required. However, MoneyGeek strongly recommends you purchase a policy to protect your property at a low cost.
Yes, landlords can require tenants to have renters insurance as part of their lease agreement.
The average monthly premium for a standard policy with personal property coverage of $20,000, liability coverage of $100,000 and a deductible of $500 is $10 or $124 per year.
Based on MoneyGeek’s research, the cheapest option for renters insurance in Illinois is Lemonade. Its average annual premium for MoneyGeek’s sampler renter is $60 or $5 per month.
Renters Insurance in Illinois Analysis: Methodology
MoneyGeek analyzed renters insurance premiums from 7 of the top insurance companies in Illinois that were provided in partnership with Quadrant. Our analysis includes quotes from ZIP codes across Illinois. Quotes were gathered for policies with personal property coverage of $20,000, $50,000 and $100,000; liability coverage of $100,000 and a deductible of $500.
About the Author
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