How to Get a Livery License in Illinois: Vehicle, Insurance, and Fees

To get a livery license in Illinois, you apply through the municipality where your business will be based, not through a state agency. Illinois cities hold the primary licensing authority, and requirements, forms, and fees vary by jurisdiction.¹ Chicago’s process, run by the Department of Business Affairs and Consumer Protection (BACP) under Chapter 9-114 of the Municipal Code, is the most detailed in the state and the model most other operators will recognize. The sections below walk through what you need to qualify as a driver, what makes a vehicle eligible, the inspection and insurance you must have in place, and what the application itself involves.

One state-level piece sits alongside the local license: under Illinois Administrative Code Section 1010.430, the Secretary of State issues special plates with an “LY” suffix for all livery vehicles, and you must file proof of financial responsibility when you register the vehicle.²

Driver Qualifications

Before you can drive a licensed livery vehicle in Chicago, you need either an active Commercial Driver’s License with a Passenger Endorsement or a city-issued Restricted Public Chauffeur License.³ The public chauffeur license runs for two years and costs $40.⁴

To qualify for that chauffeur license, you first complete a city-approved public passenger vehicle training course. City Colleges of Chicago offers the program, and you must be at least 21 and have held a valid U.S. driver’s license for at least one year to enroll.⁵

Every applicant also submits to a criminal background check at their own expense.¹ The city reviews both criminal history and driving record, and certain offenses, including DUIs, can disqualify you.⁶

What Vehicle You Can License

Not every car qualifies. In Chicago a livery vehicle can carry no more than nine people including the driver; larger capacities require a charter or sightseeing license instead. The vehicle must have four doors, meet federal motor vehicle safety standards, and fall within the city’s age limits, which range from seven to ten model years depending on fuel efficiency and wheelchair accessibility.⁷

Title history matters too. Vehicles branded as “salvage,” “rebuilt,” “junk,” or “total loss” are not eligible for livery licensing.⁸ If you’re buying used specifically for this work, pull a vehicle history report before you buy.

Vehicle Inspection

Every livery vehicle must pass a safety inspection at BACP’s Public Passenger Vehicle Inspection Facility at 2420 W. Pershing Road in Chicago. The inspection has three stations: visual, mechanical, and meter (where applicable).⁹

Inspectors look at the body for visible damage like dents, cracks, and scratches, and the interior must be free of trash, dirt, grease, and anything a reasonable person would find unpleasant. Seats must be properly secured, with headrests covered in leather or vinyl. The mechanical check covers brakes, tires, lights, steering, and similar systems. A dirty interior or minor body damage is a common reason vehicles fail on the first attempt, so clean the car and address cosmetic issues before you show up.

Insurance You Need Before Applying

You need commercial liability coverage in place before you apply. For a standard Chicago livery vehicle seating up to nine people, the minimum is $350,000 in combined single-limit coverage per occurrence. Workers’ compensation must comply with Illinois law, and the policy must name the City of Chicago as an additional insured.¹

Vehicles with a capacity over ten seats require a minimum of $1,000,000 in combined single-limit coverage, which applies if you later expand into charter or sightseeing work.³

Applying and Paying the Fee

In Chicago, new applicants schedule an intake appointment with BACP through the city’s online scheduling system before submitting anything, and you need a City of Chicago business address on file.¹

Have the following ready for the appointment:

Completed application form with vehicle details including make, model, year, and VIN.
Certificate of insurance meeting the $350,000 minimum and naming the City of Chicago as an additional insured.
Vehicle title and registration showing clean title status.
Vehicle history report for any used vehicle, so BACP can confirm no disqualifying title brands.¹
Passed inspection certificate from the BACP facility.

As of February 1, 2026, Chicago’s livery vehicle license fee is $1,200 for a two-year term. During the 2026 transition year, even-numbered licenses cost $600 and expire December 15, 2026, while odd-numbered licenses cost $1,200 and expire December 15, 2027.¹⁰ Fees are non-refundable. After you submit, the city reviews your application, processes background checks, and may ask for additional information. Several weeks is a realistic timeline.

Keeping the License Active

Chicago opens the renewal window on October 1 for the following year. BACP prefers that you email your completed renewal and documents to its public vehicle address, though in-person submission at 2350 W. Ogden Avenue is also accepted.¹¹

Renewal requires an updated certificate of insurance, a license renewal and ownership verification form, and proof that your business entity is in active standing with the state. Any outstanding City of Chicago debt or holds on your account must be cleared before BACP will even review the renewal.¹¹

Vehicles are re-inspected at renewal. Model year 2021 or older vehicles must pass both the city’s inspection at Pershing Road and a separate Illinois Department of Transportation inspection. Newer vehicles only need the IDOT inspection, and only if they are older than the current model year.¹¹ Missing the deadline or letting insurance lapse can expire the license without a renewal option, forcing you back through the full application.

If You Plan to Cross State Lines

A Chicago livery license covers local, pre-arranged work. The moment you take a passenger across a state line, federal rules apply on top of it. The Federal Motor Carrier Safety Administration requires any carrier operating a vehicle designed to carry 9 to 15 passengers (including the driver) for compensation in interstate commerce to register with FMCSA, obtain a USDOT number, and display that number with the company’s legal name on the vehicle. Insurance for that work jumps to a minimum of $1,500,000 in public liability coverage.¹² A single trip to Milwaukee or an Indiana airport is enough to trigger it, so sort out the registration and the higher policy before the first interstate booking rather than after.

If you’re licensing outside Chicago, contact your local licensing authority for the exact forms, fees, and inspection requirements. Expect the same framework: driver vetting, a safety-ready vehicle, a commercial policy that names the city, and a renewal clock you don’t want to miss.

1
City of Chicago. Chicago Livery Vehicle
2
Illinois General Assembly. Section 1010.430 Registration Plates for Motor Vehicles Used for Transportation of Passengers for Compensation
3
City of Chicago. Charter/Sightseeing, Low-Speed Electric PPV, Medicar, and Jitney Vehicle License Information
4
City of Chicago. Chicago Public Chauffeur Licenses
5
City Colleges of Chicago. Public Passenger Vehicle Training
6
City of Chicago. Public Chauffeur License Application Checklist
7
City of Chicago. Chicago’s Guide to Licensing Public Passenger Vehicles – Vehicle Specifications
8
City of Chicago. Chicago’s Guide to Licensing Public Passenger Vehicles
9
City of Chicago. Public Passenger Vehicle Inspection Guide
10
City of Chicago. Updated Livery Vehicle License Laws Effective February 1 2026
11
City of Chicago. 2026 Livery Vehicle License Renewal Instructions and Checklist
12
Federal Motor Carrier Safety Administration. Overview of Federal Requirements Interstate 9 to 15 Passenger Vehicles