Rideshare Insurance in Illinois (2025)

Rideshare insurance is an extension of a personal auto insurance policy that protects rideshare drivers while they drive for a transportation network company (TNC) like Lyft or Uber. In Illinois, drivers must have rideshare insurance coverage if they plan to engage in that type of work.1

Here’s what you need to know about how rideshare insurance works and your best coverage options in Illinois.

Cost of rideshare insurance in Illinois

The average premium for a rideshare insurance policy can vary based on many factors, but the average monthly cost of rideshare insurance in Illinois is $104 for liability-only coverage and $235 for full coverage.

The following car insurance companies offer the cheapest rideshare liability insurance rates in Illinois, on average.

Best rideshare insurance companies in Illinois

Auto-Owners, State Farm, and GEICO are three of the best car insurance companies with rideshare insurance in Illinois. When looking for the best rideshare insurance companies in Illinois, it’s important to focus on more than just affordable rates. 

While all three auto insurance companies highlighted below have low average rates, the insurers also sell a wide variety of insurance products, have good customer service, and offer opportunities for customers to save with discounts. These three car insurance companies also ranked highly for customer satisfaction in the J.D. Power 2024 U.S. Auto Insurance Study.

Auto-Owners: Best for discounts

State Farm: Best for transparency

GEICO: Best for bundling

Rideshare insurance requirements in Illinois

It’s important to understand the car insurance coverage requirements in Illinois if you’re working as a rideshare driver. For insurance purposes, rideshare driving has three different phases.

Here’s what you need to learn about each phase’s required coverage below:

• Phase 1: When you use your vehicle for personal use with the rideshare app off, your personal auto insurance covers you. It’s important to make sure your personal policy provides adequate coverage. Liability insurance only covers damage and injury to others, so you’ll need full coverage if you also want protection for your vehicle.

• Phase 2: When you have the rideshare app on but haven’t yet accepted a ride, the rideshare company’s insurance may provide coverage if your personal policy doesn’t. In Illinois, you need at least $25,000 for bodily injury per person, $50,000 per accident, and $20,000 for property damage, along with uninsured/underinsured motorist coverage, during this phase.2

• Phase 3: While you’re transporting a passenger, the rideshare company must provide primary liability coverage. Uber and Lyft both offer at least $1 million for bodily injury and property damage.

Requirements to drive for Uber and Lyft in Illinois 

Uber and Lyft both have various requirements to meet before you can start working as a rideshare driver. Here’s what you need to know about the guidelines you must meet before you can start earning money with one of these TNCs.

Rideshare car requirements

People who want to work as Uber or Lyft drivers need to have their own vehicle to use while working. To help keep passengers safe, both ridesharing apps have some standard car requirements you must meet to start driving.

• Number of doors: Vehicles must have at least four doors, excluding the rear hatch.

• Model year: The maximum age of your vehicle varies by company, state, and city. For example, Illinois drivers in Bloomington need a vehicle with a model year of 2014 or newer, though most Illinois cities only require a model year of 2008 or newer. If you want to drive for Uber, you must have a 16-year-old vehicle or newer.3

• Vehicle type: Acceptable vehicles include sedans, hatchbacks, SUVs, and minivans. Some cities may also allow electric or hybrid vehicles.

• Vehicle condition: The vehicle must be in good condition with functioning lights, operational windows, working air conditioning, and no significant cosmetic damage.

Rideshare driver requirements 

You also need to confirm that you meet your chosen app’s driver standards. They can vary by region, but the common requirements include:

• Driver’s license: Drivers must hold a valid Illinois driver’s license. But Lyft also accepts out-of-state licenses for a period of time. The license must be current and not expired.

• Age and experience: Uber requires drivers to meet Illinois’ minimum driving age and have at least one year of driving experience in the U.S. (three years for drivers younger than 25).4 Lyft requires drivers to be at least 25 years old with one year of driving experience in Illinois.

• Background check: Both Uber and Lyft perform background checks, which typically include driving records and criminal history.

• Vehicle registration and insurance: Drivers must provide proof of vehicle registration and maintain auto insurance that meets the state’s minimum requirements.5

Types of rideshare insurance coverage

You should consider the following types of applicable car insurance coverage if you want to secure rideshare insurance: