Illinois
Disability Insurance

Everyone deserves the opportunity to protect their quality of life and their future, and with disability insurance you can. You can think of disability insurance as your financial safety net, giving you an earnings replacement if you’re not able to earn a paycheck due to illness or injury. We’ve laid out the cost-of-living analysis in Illinois to show you the average expenses in the state and why

How much does it cost to live in Illinois?

Illinois ranks ninth lowest in cost of living in the United States for the third quarter of 2021, according to the Missouri Economic Research and Information Center (MERIC). Of its immediate neighbors, only Iowa is less expensive by a single ranking spot.

The Bureau of Economic Analysis assesses personal expenditures by state, and according to the bureau's 2020 data, an Illinois resident spends $43,981 per year on average.

Cost of Living Parameters

Housing & Rent

The value of a typical home in the state of Illinois is significantly lower than the national median value. The median home in the state costs around $241,126 to $266,000 with an average mortgage payment of $1,693 per month; whereas the national median home value reaches $408,800. Illinois home values have gone up 13.7% over the past year.

The average Illinois renter pays $984 per month, which is $39 less than the national average of $1,023 per month. A one-bedroom apartment in the state costs $851 per month, while a unit with five or more bedrooms costs $1,454.

Here are some stats on Illinois Mortgages:

  • Homeownership rate: 68.7%
  • Homeowner vacancy rate: 1.1%
  • Rental vacancy rate: 8.8%

Childcare

In Illinois, childcare is actually more expensive per year than the average individual’s rent! The average cost of childcare for 1 infant reaches $13,802 annually, or $1,150 per month! In parallel, childcare services for 4-year-olds in Illinois are slightly less expensive reaching $10,372 annually, or $864 per month.

Here’s a look at the annual childcare costs from infant to college:

  • Infant: $13,802
  • 4-Year-Old: $10,372
  • School: $8,480
  • College: $13,971

Utilities

Apartment utilities refer to the essential services required in a home such as gas, water, electricity, cable, and internet. A typical adult in Illinois can expect to pay on average up to $331 per month on utilities.

Approximate cost of each utility per month in Illinois:

  • Electricity: $87
  • Water: $26
  • Gas: $103
  • Cable & Internet: $77

Food & Groceries

In Illinois, the average resident spends $3,277 per year on non-restaurant food and beverages, which works out to about $273 per person, per month (slightly lower than the National Average). A family of four with 2 working adults and 2 children can expect to pay $13,104 per year, or $1,092 per month, which is noticeably higher than the U.S. average.

The average price for eating out would be:

  • A basic meal with a drink at an inexpensive restaurant: $14.80
  • Fast Food Combo (Big Mac etc.): $8.10
  • Bottle of Coca-Cola: $2.02
  • Bottle of Water: $1.20

Grocery shopping in the state would cost as follows:

  • Milk (regular), (1 liter): $0.87
  • Loaf of Fresh White Bread (500g): $2.45
  • Rice (1 Kg): $3.34
  • Eggs (regular) (12): $2.40
  • 4 Rolls of toilet paper: $40
  • Hair Shampoo: $4.97

Transportation

Even while Chicago is recognized for its efficient and accessible public transportation, many locals still rely on private vehicles to get around. According to MIT’s Living Wage Calculator, a single adult in Illinois spends at least $5,149 annually on transportation while a family of four with 2 working adults and 2 children can expect to pay up to $13,993 per year! A single local transport ticket via bus will cost you $2.28, whereas a monthly bus pass should cost you around $72.10. A 5-mile taxi ride should cost around $17.10.

For people who rely on personal vehicles to get around, it is important to keep in mind the different costs that come with owning a car. The average monthly cost of car insurance in Illinois is $37 for minimum insurance and $124 for full coverage, or $442 and $1,485 per year, respectively. Average car insurance rates in Illinois are slightly lower compared to the annual national average of $565 for minimum coverage and $1,674 for full coverage.

Average Income & Taxes

The average yearly income of a single adult living in Illinois is $61,075 and a 4.95% individual income tax rate.

Most Expensive Illinois Cities to Live in

  • Lincolnshire
  • Lincolnwood
  • Highwood
  • Morton Grove
  • Inverness

Why is disability insurance important to have in Illinois?

As shown by the above cost of living study, a steady income is required to live comfortably and worry-free. Whether you work full-time or as a freelancer, getting disability insurance is the first step towards financial stability.

What would happen if you found yourself unable to earn a paycheck because you were too ill or injured to work? According to a recent survey conducted by the personal financial website Bankrate, more than half of Americans (51%) have less than three months' worth of emergency funds.

Medical bills are reported to be the number one cause of U.S. bankruptcies. One study shows that 62.1% of bankruptcies were caused by medical issues. Other studies show that over 2 million people are adversely affected by their medical expenses.

If medical bills start piling up, you’ll no longer be able to support your lifestyle in other areas as well, especially if your income is on hold. You might find yourself unable to pay for utilities and rent, and that eventually could lead to foreclosure. Half of the foreclosures on conventional mortgages in Illinois are caused by the disability of one of the homeowners. In fact, according to an ATTOM Foreclosure Market Report, foreclosures in Illinois have reached an all-time high in 2021. It had the country's highest foreclosure rate. One in every 3,848 housing units received a foreclosure filing per month.

A lot of people still think that the need for disability insurance is not a top priority, thinking that disability rarely happens, and when it does, it’s only caused by serious accidents. But did you know that up to 90% of disability cases recorded are due to illness, not injury?

With that being said, applying for private disability income insurance should be on top of your to-do list because life is unpredictable and your income shouldn’t be.

Does Illinois have state disability insurance?

Only 5 states in the U.S. require companies to provide their employees with disability insurance coverage that includes benefits for accidents or illnesses sustained outside of the workplace. Unfortunately, Illinois isn’t one of those states.

If you are disabled and live in Illinois, you may be eligible for cash support through the state's Aid to the Aged, Blind, and Disabled (AABD) program or from the federal government. Social Security Disability (SSD or SSDI) and Supplemental Security Income (SSI) are two federal programs that compensate persons who fit the Social Security Administration's (SSA) criteria of disabled (SSI). The federal government is largely responsible for administering SSDI and SSI.

Qualified SSDI claimants in Illinois must be currently disabled and have sufficient work credits. These work credits are earned by maintaining employment and paying FICA taxes on each paycheck over time. You must also meet the Social Security Administration's rigorous definition of disability in addition to the labor credits requirement. The Illinois DDS will assess whether your disability meets the criteria based on your medical records, background information, and other paperwork. The DDS must also assess whether your medical condition will last at least a year and/or for the rest of your life.

If you file for Social Security or SSI disability in Illinois, you will receive a written decision on your claim within 4-5 months. However, only 37% of individuals who apply for disability benefits in Illinois are approved without needing to appeal.

Nevertheless, if your application for Social Security disability benefits is denied, you may still be accepted through the SSA's appeals process, but this process will definitely take up a lot of your time.

What qualifies as disability in Illinois?

If you have disability insurance provided by your employer, make sure to double-check the criteria in the agreement that qualifies you to receive disability benefits when you’re unable to work. Some of these criteria can include the following:

  • You are unable to perform the Substantial and Material Duties of your Regular Occupation as shown on the Schedule and;
  • You are under the Regular Care of a Physician appropriate for your disabling Sickness or Injury and;
  • There is no reasonable simplified worksite modification(s) that would allow you to perform one or more of the Substantial and Material duties of your regular job.

How can I easily get disability insurance in Illinois?

Seeking a private disability insurance policy is the easiest option in Illinois. Here at Asteya, we offer disability insurance (or disability income insurance as we like to call it) that’s simple, fast, and affordable. Our 100% digital process means we don’t tire you out with proof of income, medical exams, phone interviews, or wait times, so you can go from applicant to insured in no time.

Who qualifies for disability insurance in Illinois?

Most insurances are bought to protect homes, vehicles, and health, but our most valuable asset tends to get neglected: our income. 70% of working Americans live paycheck to paycheck, with little savings to buffer the financial burden of a disability that leaves them unable to work.

At Asteya, we offer 2 types of disability income insurance: Permanent Disability Income Insurance and Sickness & Injury Disability Income Insurance. Please visit asteya.world for more details on the eligibility of our product offering.

How much does disability insurance in Illinois cost?

Protecting your income shouldn’t be a luxury, so here at Asteya, we’ve created affordable and easy solutions that won’t drain what you’re trying to protect (your income!). Our prices start as low as:

  • Permanent Disability Income Insurance: starting at $6.05/month
  • Sickness & Injury Disability Income Insurance: starting at $5/month

The bottom line

On average, living in the state of Illinois will cost you $3,665 per month, give or take – that’s a lot of expenses! You've invested a lot of time and hard work in building a life that works for you, and your hard work shouldn’t be jeopardized by an accident or illness - that’s why you should protect your lifestyle and your income with DI.

If you're still on the fence about whether disability income insurance is for you (hint: it is), here are a few extra points to consider:

  • Asteya’s applications are 100% digital. Unlike other insurers, we don't require blood tests or doctor's appointments and just ask you a few minutes of questions to determine your best policy.
  • Get paid out directly on an approved claim, and spend without restrictions once it's in your bank account.
  • We've made our Income Insurance as inclusive and accessible as possible. From corner store employees to corner office executives, our products were created to fit every budget and lifestyle.

How do I get disability insurance?

Get a quote from Asteya in seconds and go from applicant to insured in minutes