Mercury offers the cheapest minimum coverage auto insurance for low-income drivers with clean records and good credit in Illinois. It also has the lowest rates for those with DUIs and bad credit. For other high-risk drivers, Hanover and American Family might be more affordable.
Cheapest Low-Income Car Insurance in Illinois
Updated: February 7, 2025
Advertising & Editorial Disclosure
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.
The most affordable options for low-income drivers include Mercury, Hanover, Westfield and Auto-Owners.
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
| Westfield | Young Drivers | $31 |
| Mercury | Adults | $26 |
| Hanover | Seniors | $27 |
| Hanover | Drivers With a Speeding Ticket | $27 |
| Mercury | Drivers With a DUI | $39 |
| American Family | Drivers With an Accident | $40 |
| Mercury | Bad Credit | $38 |
*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.
Compare Cheap Low-Income Car Insurance Providers
Use the table below to find the most affordable car insurance provider for your driver profile.
Data filtered by:Results filtered by:
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Age Range:30-59
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Driving Record:Clean
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Credit Score:Good
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Coverage Level:State Minimum Liability Only
| Mercury | $26 | $309 |
| Westfield | $26 | $318 |
| Hanover | $27 | $326 |
| GEICO | $33 | $400 |
| Auto-Owners | $33 | $400 |
Cheapest Car Insurance for Families With Low Income in Illinois
Auto-Owners offers the cheapest low-income car insurance for teens being added to a family plan, averaging $58 monthly for married families and $90 monthly for single-parent households. For drivers adding a spouse to their policy, the cheapest option is GEICO at $38.
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Family Type:Married Couple with Teen
| Auto-Owners | $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
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!
Passionate about economics and insurance, he aims to promote transparency in financial topics and empower others to make confident money decisions.