Vella Passes Homeowner, Auto Insurance Cost Relief Bill

SPRINGFIELD, Ill. — State Rep. Dave Vella, D-Rockford, is taking action to lower home and auto insurance costs by passing a new bill that ensures Illinois customers are not paying to pad the profits of big corporations or cover corporate losses in high-risk states like Florida or Texas.

“Working families in Illinois should not be forced to pay higher premiums just because insurance companies can balance losses somewhere else,” said Vella. “This bill is about holding them accountable and making sure every increase is justified, reviewed, and fair to Illinois residents.”

Homeowners across Illinois have seen insurance plans rise by nearly 30% in the last year, raising concerns that Illinois residents are footing the bill for other states at high risk of natural disasters. In an effort to reduce costs for Illinois customers,Vella passed Senate Bill 1486, which takes several steps to rein in rising insurance costs by:

• Empowering the Illinois Department of Insurance (IDOI) to reject unfair rate increases by subjecting all Illinois homeowners insurance, fire insurance, and auto insurance policies to a comprehensive rate review process.
• Requiring insurance companies give customers 60 days’ notice before double-digit rate increases, giving customers more time to make informed decisions.
• Shrinking auto insurance premiums for drivers over the age of 55 who complete a 4-hour defensive driving program or e-learning course. 
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“Whether it’s your home or your car, insurance is a necessity, not a luxury,” said Vella. “Illinois families are tired of seeing their costs go up without clear explanations. We’re sending a message that they can’t get away with unchecked rate increases. Our priority is protecting consumers.”