A regional election was held in the Balearic Islands on 10 June 1987 to elect the 2nd Parliament of the autonomous community. All 59 seats in the Parliament were up for election. It was held concurrently with regional elections in twelve other autonomous communities and local elections all across Spain, as well as the 1987 European Parliament election.

The governing party People's Alliance (AP), in alliance with Liberal Party (PL), increased support compared to the previous election. The Spanish Socialist Workers' Party (PSOE) received fewer votes than in 1983, but obtained the same seats due to the increase of total parliamentary seats. The third force in the 1983 election, Majorcan Union (UM), lost support in part due to the important increase of Democratic and Social Centre (CDS). Because of this, UM could not repeat their previous support to AP–PL, and instead both parties formed an alliance in the Government, thanks to the abstention of CDS in the investiture vote. This meant that Gabriel Cañellas was invested as President of the Balearic Islands for a second term. Finally, the Nationalist Left (EN), that obtained the same 4 seats presenting candidates in Mallorca and Menorca, lost overall popular support but gained votes in Menorca thanks to the alliance with United Left (EU) in this district.

Under the 1983 Statute of Autonomy, the Parliament of the Balearic Islands was the unicameral legislature of the homonymous autonomous community, having legislative power in devolved matters, as well as the ability to grant or withdraw confidence from a regional president. The electoral and procedural rules were supplemented by national law provisions.

The term of the Parliament of the Balearic Islands expired four years after the date of its previous ordinary election. The election decree was required to be issued no later than 25 days before the scheduled expiration date of parliament and published on the following day in the Official Gazette of the Balearic Islands (BOIB), with election day taking place between 54 and 60 days after the decree's publication. The previous election was held on 8 May 1983, which meant that the chamber's term would have expired on 8 May 1987. The election decree was required to be published in the BOIB no later than 14 April 1987, setting the latest possible date for election day on 13 June 1987.

The Parliament of the Balearic Islands could not be dissolved before the expiration date of parliament, except in the event of an investiture process failing to elect a regional president within a 60-day period from the Parliament's reconvening. In such a case, the chamber was to be automatically dissolved and a snap election called, with elected lawmakers serving the remainder of its original four-year term.

The election to the Parliament of the Balearic Islands was officially called on 14 April 1987 with the publication of the corresponding decree in the BOIB, setting election day for 10 June and scheduling for the chamber to reconvene on 3 July.

Voting for the Parliament was based on universal suffrage, comprising all Spanish nationals over 18 years of age, registered in the Balearic Islands and with full political rights, provided that they had not been deprived of the right to vote by a final sentence, nor were legally incapacitated.

The Parliament of the Balearic Islands had 59 seats. All were elected in four multi-member constituencies—corresponding to the islands of Mallorca, Menorca, Ibiza and Formentera, each of which was assigned a fixed number of seats—using the D'Hondt method and closed-list proportional voting, with a five percent-threshold of valid votes (including blank ballots) in each constituency.