State Senator Willie Preston speaks on the Senate floorSPRINGFIELD — Illinois drivers may soon see fairer automobile insurance rates thanks to a measure backed by State Senator Willie Preston that would prohibit auto insurance rates from being excessive, inadequate or unfairly discriminatory.

“People are already stretched thin trying to keep up with the rising cost of living,” said Preston (D-Chicago). “When families are paying more for groceries, gas and everyday necessities, they should not also have to worry about unpredictable spikes in their auto insurance bills. This legislation is about putting protections in place so working people are treated fairly and insurance companies are held accountable.”

According to Insurify, the average Illinois driver saw an 18% increase in premium costs for full-coverage auto insurance between 2023 and 2024, while the national average is estimated to be 11.3% ─ almost 7% lower.

To ensure Illinoisans have a fair and affordable auto insurance marketplace, the measure would provide transparency and accountability for premium increases through a clear framework, the Illinois Department of Insurance’s oversight and expanded options for residents over age 55, reducing insurance premium costs.

Specifically, the measure would prohibit companies from increasing premiums by more than 10% without notifying the consumer 30 days prior to renewal. It would also prohibit auto insurance premiums from being excessive, inadequate or unfairly discriminatory and create a determination hearing process through the Department of Insurance if rates are found to be excessive, inadequate or unfairly discriminatory.

Additionally, the measure would provide a path to relief for residents over age 55 by allowing the Illinois Secretary of State to find a course that meets or exceeds the standards of the National Safety Council’s Defensive Driving Course classroom safety instruction program so residents see reduced premium costs upon completing the course.

“We need to hold insurance companies accountable for their unfair practices,” said Preston. “Illinoisans deserve transparency and accountability, but instead they are footing the bill for large corporations that are only making auto insurance premiums more and more unaffordable. We have a duty to help residents by lowering costs, not raising them.”

Senate Bill 714 passed the Senate Wednesday and heads to the House for further consideration.