AhR activation by high affinity ligands mediates immunosuppression in association with increased regulatory T cells, making this transcription factor an attractive therapeutic target for autoimmune diseases. We recently discovered 10-chloro-7H-benzimidazo[2,1-a]benzo[de]iso-quinolin-7-one (10-Cl-BBQ), a nanomolar affinity AhR ligand with immunosuppressive activity and favorable pharmacologic properties. Here, we tested the consequences of AhR activation in the NOD model. Oral 10-Cl-BBQ treatment prevented islet infiltration without clinical toxicity, while AhR-deficient NOD mice were not protected. Suppression of insulitis was associated with an increased frequency, but not total number, of Foxp3+ Tregs in the pancreas and pancreatic lymph nodes. The requirement for Foxp3+ cells in AhR-induced suppression of insulitis was tested using NOD.Foxp3DTR mice which show extensive islet infiltration upon treatment with diphtheria toxin. AhR activation prevented the development of insulitis caused by the depletion of Foxp3+ cells, demonstrating that Foxp3+ cells are not required for AhR-mediated suppression and furthermore the AhR pathway is able to compensate for the absence of Foxp3+ Tregs, countering current dogma. Concurrently, the development of disease-associated CD4+Nrp1+Foxp3−RORγt+ cells was inhibited by AhR activation. Taken together, 10-Cl-BBQ is an effective, non-toxic AhR ligand for the intervention of immune-mediated diseases that functions independently of Foxp3+ Tregs to suppress pathogenic T cell development.