Key Takeaways
- The Illinois Department of Insurance (DOI) regulates all P&C insurance activities under the Illinois Insurance Code
- The Director of Insurance is appointed by the Governor with Senate confirmation
- Illinois uses a "file and use" rate system for most P&C lines, allowing rates to be used upon filing
- DOI has authority over licensing, rate review, market conduct, and consumer protection
- Illinois requires fingerprinting and background checks for all insurance license applicants
Last updated: January 2026
Illinois Department of Insurance (DOI)
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The Illinois Department of Insurance (DOI) is the state agency responsible for regulating the Property & Casualty insurance industry in Illinois.
The Director of Insurance
The Director of Insurance is:
- Appointed by the Governor with Senate confirmation
- Serves at the pleasure of the Governor (no fixed term)
- Responsible for enforcing the Illinois Insurance Code (215 ILCS 5)
- Authorized to adopt regulations, review rates, investigate violations, and discipline licensees
Director Powers for P&C Insurance
| Power | Description |
|---|---|
| Licensing | Issue, suspend, and revoke producer licenses |
| Rate Review | File and use or prior approval depending on line |
| Market Conduct | Examine insurer business practices |
| Enforcement | Investigate and prosecute violations |
| Consumer Protection | Handle complaints and protect policyholders |
| Rulemaking | Adopt rules interpreting the Insurance Code |
Illinois Rate Regulation
Illinois uses different rate systems for different lines:
Rate Systems by Line
| Line of Insurance | Rate System |
|---|---|
| Personal Auto | File and use |
| Homeowners | File and use |
| Commercial Lines | File and use |
| Workers' Compensation | Administered pricing |
| Title Insurance | DOI regulated rates |
File and Use
Under Illinois file and use:
- Rates can be used upon filing with DOI
- DOI reviews rates after implementation
- Rates must not be excessive, inadequate, or unfairly discriminatory
- DOI can disapprove rates after review
Exam Tip: Illinois uses file and use for most personal lines P&C. Workers' compensation uses administered pricing with rates set by the National Council on Compensation Insurance (NCCI).
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Test Your Knowledge
How is the Illinois Director of Insurance selected?
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Test Your Knowledge
What rate system does Illinois use for personal auto insurance?
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