HB4248
ALGORITHMIC PRICE TRANSPARENCY
TL;DR
Illinois HB4248, the Algorithmic Pricing Prohibition Act, would ban 'surveillance pricing,' where companies use a shopper's personal data (browsing history, location, past purchases) to set individualized prices. Introduced by Rep. Maura Hirschauer with 40+ co-sponsors, it has passed one chamber and would let the Attorney General fine violators up to $50,000 per violation.
How This Might Impact Your Business
Retailers, e-commerce platforms, travel sites, and ride-share/delivery apps that adjust prices based on a shopper's browsing history, geolocation, or purchase history to Illinois residents would need to stop that practice or face civil penalties.
Civil penalties reach $50,000 per violation, enforced by the Illinois Attorney General or county State's Attorneys, with restitution, injunctions, attorney's fees, and investigation costs also on the table.
Dynamic pricing based on non-personal factors stays legal: supply and demand shifts, cost changes, geographic cost differences, time-limited sales, coupons, loyalty programs, and publicly disclosed discounts (military, student, senior) are all explicitly exempt.
Financial services, insurance, and credit underwriting are carved out, so banks, insurers, lenders, and broker-dealers regulated by IDFPR or federal agencies are not affected.
Applies to any company selling consumer goods or services to Illinois residents, regardless of company size or where the company is headquartered.
Waivers in customer terms of service are void, so companies cannot contract around the law with click-through agreements.
Home rule cities like Chicago cannot pass their own versions, giving businesses one statewide standard instead of a patchwork.
What Should You Do
Ask your pricing, data science, or e-commerce team whether any current pricing model ingests individual-level personal data (browsing, geolocation, purchase history, demographics) versus aggregate market signals, and document the distinction.
Have legal review vendor contracts with dynamic pricing platforms and personalization engines to confirm whether they use personal data for Illinois consumers, and get written representations.
If you use A/B pricing tests or personalized discount targeting for Illinois shoppers, pause and evaluate whether the logic falls inside an exemption (loyalty program, cart abandonment discount) or triggers the prohibition.
Track the bill through the Illinois Senate since it has passed the House, and prepare a compliance plan assuming an effective date in the next 6-12 months.
Brief your CFO and marketing leadership on the $50,000-per-violation exposure so pricing strategy decisions get appropriate legal sign-off.
Who It Affects
Sponsors
Status Timeline
passed chamber
Added as Alternate Chief Co-Sponsor Sen. Rachel Ventura
May 22, 2026