Short answer: In Illinois, a renters policy covers your belongings, liability and loss of use, which your landlord's policy doesn't. When you move out, the Security Deposit Return Act (765 ILCS 710/1) says a landlord can't keep any deposit for damage unless they give you an itemized statement of damage, with costs and paid receipts, within 30 days after you vacate. If they don't, they must return the full deposit within 45 days. Local ordinances, like Chicago's, can add rules.
This guide is general information for Illinois renters. It isn't legal advice, and local ordinances can add rules. Your lease and policy wording control.
What a renters policy does (and what your landlord's policy doesn't)
Your landlord's insurance covers the building, not your belongings or your liability. A renters policy (often called HO-4) typically includes three parts:
- Personal property: your belongings, at actual cash value or replacement cost depending on what you choose.
- Personal liability: if you accidentally injure someone or damage someone else's property. See how much renters liability coverage you need.
- Loss of use: extra living costs if a covered loss makes your unit unlivable.
Standard renters policies generally exclude flood. Renters can buy NFIP contents coverage; see FloodSmart. Questions about roommates: whether renters insurance covers roommates. More on coverage: renters insurance.
Step 1: The 30-day itemized statement
Under 765 ILCS 710/1, a landlord who wants to withhold any part of a deposit for property damage must, within 30 days after you vacate (or after your right of possession ends, whichever is later), give you an itemized statement of the damage and the estimated or actual cost of each item, with paid receipts or copies attached. They can deliver it in person, by postmarked mail to your last known address, or by e-mail to a verified address you provided.
- If they give estimated costs, they must send the paid receipts within 30 days after the statement.
- If the lease specifies costs for cleaning, repair or replacement of certain components, the landlord may withhold that amount if it's for damage beyond normal wear and tear and reasonable.
Step 2: The 45-day full refund
If no compliant statement is provided, the landlord must return the full deposit within 45 days after you vacate. Give a mailing or e-mail address, because the Act says the landlord isn't liable for penalties if you didn't provide one.
Step 3: Penalties
If a court finds the landlord refused to provide the statement, or provided it in bad faith, and didn't return the deposit on time, the landlord is liable for twice the deposit due, plus court costs and reasonable attorney's fees.
Step 4: Winter and water
Burst pipes and water damage are common Illinois claims. Your renters policy covers your belongings for covered water losses. Flood and, often, sewer backup need separate coverage or an endorsement. See FloodSmart.
Questions? Contact Alishahi Insurance or call (877) 711-4545. See insurance in Illinois.
Frequently asked questions
How long does an Illinois landlord have to send an itemized damage statement?
Within 30 days after you vacate, with paid receipts or copies, under 765 ILCS 710/1.
When must an Illinois landlord return the full deposit?
Within 45 days after you vacate if no compliant itemized statement was provided.
What's the penalty for a bad-faith Illinois deposit violation?
Twice the deposit due, plus court costs and reasonable attorney's fees.
Is sewer backup covered by Illinois renters insurance?
Often only with an endorsement. Check your policy.
Alishahi Insurance · 439 N Canon Dr, Penthouse, Beverly Hills, CA 90210 · (877) 711-4545 · CA License #4348151. General information only. This isn't legal, tax or financial advice or a coverage determination. Coverage depends on policy language and underwriting, and rules vary by state.