IL HB3874

Requires all motor vehicle operators in Illinois to maintain liability insurance coverage as a condition of operation, registration, and maintenance of registration.

Creates a new Class A misdemeanor offense for operating an uninsured motor vehicle that causes bodily harm to another person, with mandatory fines of $2,500 for repeat offenders with 2 or more prior violations.

Establishes penalty structure for uninsured operation: first and second violations result in fines between $500-$1,000 with 3-month license suspension; third and subsequent violations are business offenses with $1,000 fines and require proof of financial responsibility for 3 years.

Allows first-time violators who obtain insurance prior to court appearance to pay a reduced $100 fine and receive court supervision instead of conviction, provided they maintain coverage throughout the supervision period.

Provides exemptions for certain vehicle types including government-owned vehicles, implements of husbandry, vehicles covered by self-insurance certificates, and inoperable or stored vehicles not operated.