Just when Illinois homeowners thought their insurance bills couldn’t get much higher, another rate increase is on the way. State Farm, the state’s largest homeowners insurance provider, is raising premiums again, potentially adding another expense to household budgets already stretched by property taxes, utilities, and everyday living costs.
According to an October 6 report from NBC Chicago, State Farm is increasing Illinois homeowners insurance rates by an average of 8%. The increase took effect October 1, 2026, for new policies, while existing customers will see the changes beginning with renewals effective December 1.
