To have a hallucination in your dream symbolizes repressed emotions and feelings that you do not want to confront. Your dream could be telling you to be more alert and to express yourself more clearly. Alternatively, it refers to self-deception. What are you trying to hide?
1. The dreamer will not accept feelings or memories that need to be addressed.
2. A situation or a relationship is not what it appears.
To dream of someone, or yourself, hallucinating indicates some misconception or misperception of reality. Whatever situations exist right now, everything is very unclear and uncertain, and caution is called for.