Illinois Auto Insurance Reform Bill Advances In State House

SPRINGFIELD — Legislation backed by Illinois Secretary of State Alexi Giannoulias to address rising auto and home insurance costs and strengthen consumer protections has passed the Illinois House and now moves to the Senate for final consideration. Senate Bill 1486 expands oversight of insurance rate changes by requiring insurers to give at least 60 days notice before increasing premiums by more than 10 percent, giving the Illinois Department of Insurance greater authority to review rate filings, and prohibiting rates that are excessive, inadequate, or unfairly discriminatory. The measure also seeks to prevent insurers from shifting costs from out of state disasters to Illinois policyholders and updates defensive driving course requirements. The proposal follows Giannoulias’ Driving Change campaign, which collected public feedback and highlighted concerns about pricing practices affecting Illinois consumers, while state leaders said the changes are intended to improve transparency and accountability as insurance rates continue to rise.