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Illinois Rental Car Insurance Law- Things to Know

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The Illinois car rental insurance law covers all you need if you rent a vehicle in Illinois. Illinois is one of the states where you get rental car services easily without burning a hole in your pockets. Similarly, the formalities to get a car on rent is much easier when compared to the other states. 

Hence, as long as you plan to cut down your travel expenses, it is wiser to know the Illinois rental car insurance law and adhere to it. Remember, you may pay a hefty sum for violating the law. 

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Illinois Rental Car Insurance Law- Things to Know

What does the Illinois rental car law say? 

The Illinois Compiled Statutes (ILCS)/27 mentions the rental car laws you should follow if you have plans to borrow a car to drive around the state.

If you borrow a car from a car rental company, you are responsible for the damages;  by mistake or intendedly on the car. Causing such damages to the car comes under an anti-customer effect, whereby the rental company may charge you a penalty. 

As per the Illinois rental car law, the rental companies or dealers are responsible for the loss, damage, repair, or replacement of the car you rent. Hence, rental companies are likely to only face more loss while renting cars if they are charging you as per or above the rental laws. 

Thirdly, all residents and visitors of Illinois need to follow the rental law and pay the dealers and car rental companies accordingly. 

However, according to the law, Illinois rental car law threatens drivers. Since the drivers take cars on rent from dealers at affordable rates, they are likely to drive recklessly, increasing the accident and fatality rates. Such driving infractions are highly offensive. Therefore, if the DMV charges you with such offenses, you must pay a penalty of $5000. 

The law furthermore states that car rental companies should not rent cars unless the party signs the agreement and agrees to pay the charges and penalties. 

Illinois Rental Car Insurance Law Restrictions 

There are some prohibitions in Illinois for rental car insurance. Here are some restrictions you need to follow: 

  • You must not use your rental car for racing or illegal activities. 
  • Any third party must not use the car. Similarly, you must refrain from providing any transportation services. 
  • You mustn’t have any driving infractions by Illinois rental car insurance law. 
  • You must always check with the dealer for a legal agreement by terms. 
  • Make sure that a third party doesn’t use a car beyond the state if you borrow a car. 
  • Drive responsibly. Also, Any driving infractions under Illinois rental car insurance law come under Vehicle code, Section 11-501. 
  • See that you don’t misplace the car keys or documents during the rental period. If the documents go missing, you may have to pay the penalties

Chapter 625 ILCS and the Illinois Rental Car Insurance Law 

According to Chapter 625 ILCS, the borrower of the rental car must not lease the car to a third party. Also, by Illinois rental car law, the car owner and borrower should be from the same state.

Similarly, the law mentions that the borrower and renter must document the car rental details before handing over the car. 

Thirdly, the renters and borrowers can only produce proof of insurance if the lease period is a year. 

Penalties for violation of Illinois Rental Car Insurance Law 

While in Illinois, make sure you abide by the rental car laws. Violating the law means that you’re committing a Class A offense. According to this class, you may have to serve 364 days of imprisonment or pay a penalty of $2500. 

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