Car Insurance Premiums in Illinois Rise Sharply for Older Adults and Low-Income Drivers Due to Uncontrollable Factors
AM
Atlas Mercer
commercial real estate distress · Apr 17, 2026
Source: DojiDoji Data Terminal
An 80-year-old driver in Illinois pays $172 for a base bodily injury premium, compared to $100 for a younger driver, according to a new study. The findings highlight how age, credit history, and ZIP code significantly affect car insurance costs in the state.
Residents in ZIP code 60426, which includes south suburban Harvey, pay more than 2½ times the bodily injury premium of those in ZIP code 62379 in Warsaw, all other factors being equal. These pricing disparities disproportionately impact older adults and low-income families.
Illinois car insurance premiums rose 18% in 2024, according to Secretary of State Alexi Giannoulias. His office commissioned a study that found these premium increases are often tied to factors beyond a driver’s control.
A proposed Illinois bill would require the state to review and potentially reject rate hikes over 10% if they are deemed unfairly discriminatory. The bill passed the state House in March and awaits a Senate vote.
Insurance companies argue the bill would destabilize the market and point out that Illinois rates are 18% below the national average. They also note that rates are declining in Illinois due to fewer crashes and claims, contrary to rising rates nationally.
commercial real estate distressauto insurance premium hike
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