Public Act 103-0052
 
HB3769 EnrolledLRB103 28960 BMS 55346 b


  
    AN ACT concerning regulation.
  
 
    Be it enacted by the People of the State of Illinois,
 
represented in the General Assembly:
  


 
    Section 5. The Illinois Insurance Code is amended  by 
changing Section 367f as follows:
 



    (215 ILCS 5/367f)  (from Ch. 73, par. 979f)



    Sec. 367f. Firefighters' Firemen's continuance privilege. 
As used in this Section:

    1.  The terms "municipality", "deferred pensioner" and 
"creditable service"
shall have the meaning ascribed to such 
terms by Sections 4-103, 4-105a and
4-108, respectively, of 
the Illinois Pension Code, as now or hereafter amended.

    2.  "Firefighter" means a person who is a "firefighter" as 
defined in Section 4-106 of the Illinois Pension Code, a 
paramedic who is employed by a unit of local government, or an 
emergency medical technician, emergency medical 
technician-basic, emergency medical technician-intermediate, 
or advanced emergency medical technician who is employed by a 
unit of local government. The terms "fireman" and "firemen" 
shall have the meaning ascribed
to the term "firefighter" by 
Section 4-106 of the Illinois
Pension Code, and include those 
persons under the coverage of Article 4 of
that Code, as 
heretofore or hereafter amended.

    3.  The "retirement or disability period" of a firefighter 
fireman means the period:


        a.  which begins on the day the firefighter fireman is 
    removed from a municipality's
fire department payroll 
    because of the occurrence of any of the following
events, 
    to wit:  (i) the firefighter fireman retires as a deferred 
    pensioner under Section
4-105a of the Illinois Pension 
    Code, (ii) the firefighter fireman retires from active

    service as a firefighter fireman with an attained age and 
    accumulated creditable service
which together qualify the 
    firefighter fireman for immediate receipt of retirement 
    pension
benefits under Section 4-109 of the Illinois 
    Pension Code, or (iii) the
firefighter's fireman's 
    disability is established under Section 4-112 of the 
    Illinois
Pension Code; and


        b. which ends on the first to occur of any of the 
    following events,
to wit:  (i) the firefighter's fireman's 
    reinstatement or reentry into active service
on the 
    municipality's fire department as provided for under 
    Article 4 of
the Illinois Pension Code, (ii) the 
    firefighter's fireman's exercise of any refund option

    available under Section 4-116 of the Illinois Pension 
    Code, (iii) the firefighter's fireman's
loss pursuant to 
    Section 4-138 of the Illinois Pension Code of any benefits

    provided for in Article 4 of that Code, or (iv) the 
    firefighter's fireman's death or --
if at the time of the 
    firefighter's fireman's death the firefighter fireman is 
    survived by a spouse
who, in that capacity, is entitled to 
    receive a surviving spouse's monthly
pension pursuant to 
    Article 4 of the Illinois Pension Code -- then the death
or 
    remarriage of that spouse.

    No policy of group accident and health insurance under 
which firefighters firemen
employed by a municipality are 
insured for their individual benefit shall
be issued or 
delivered in this State to any municipality unless such group

policy provides for the election of continued group insurance 
coverage for
the retirement or disability period of each 
firefighter fireman who is insured under the
provisions of the 
group policy on the day immediately preceding the day
on which 
the retirement or disability period of such firefighter 
fireman begins.  So
long as any required premiums for continued 
group insurance coverage are
paid in accordance with the 
provisions of the group policy, an election
made pursuant to 
this Section shall provide continued group insurance
coverage 
for a firefighter fireman throughout the retirement or 
disability period of
the firefighter fireman and, unless the 
firefighter fireman otherwise elects and subject to any
other 
provisions of the group policy which relate either to the 
provision
or to the termination of dependents' coverage and 
which are not
inconsistent with this Section, for any 
dependents of the firefighter fireman who are
insured under 
the group policy on the day immediately preceding the day on

which the retirement or disability period of the firefighter 
fireman begins; provided,
however, that when such continued 
group insurance coverage is in effect
with respect to a 
firefighter fireman on the date
of the firefighter's fireman's 
death but the retirement or disability period of the 
firefighter fireman
does not end with such firefighter's 
fireman's death, then the deceased firefighter's fireman's 
surviving
spouse upon whose death or remarriage such 
retirement or disability period
will end shall be entitled, 
without further election and upon payment of
any required 
premiums in accordance with the provisions of the group 
policy,
to maintain such continued group
insurance coverage in 
effect until the end of such retirement or disability
period.  
Continued group insurance coverage shall be provided in 
accordance
with this Section at the same premium rate from 
time to time charged for
equivalent coverage provided under 
the group policy with respect to covered
firefighters firemen 
whose retirement or disability period has not begun, and no 
distinction
or discrimination in the amount or rate of 
premiums or in any waiver of premium
or other benefit 
provision shall be made between continued group insurance

coverage elected pursuant to this Section and equivalent 
coverage provided
to firefighters firemen under the group 
policy other than pursuant to the provisions
of this Section; 
provided that no municipality shall be required by reason
of 
any provision of this Section to pay any group insurance 
premium other
than one that may be negotiated in a collective 
bargaining agreement.
If a person electing continued coverage 
under this Section becomes
eligible for medicare coverage, 
benefits under the group policy may
continue as a supplement 
to the medicare coverage upon payment of any
required premiums 
to maintain the benefits of the group policy as
supplemental 
coverage.

    Within 15 days of the beginning of the retirement or 
disability period
of any firefighter fireman entitled to elect 
continued group insurance coverage under any
group policy 
affected by this Section, the municipality last employing such

firefighter fireman shall give written notice of such 
beginning by certified mail, return
receipt requested to the 
insurance company issuing such policy.  The notice
shall 
include the firefighter's fireman's name and last known place 
of residence and the
beginning date of the firefighter's 
fireman's retirement or disability period.

    Within 15 days of the date of receipt of such notice from 
the municipality,
the insurance company by certified mail, 
return receipt requested, shall
give written notice to the 
firefighter fireman at the firefighter's fireman's last known 
place of
residence that coverage under the group policy may be 
continued for the
retirement or disability period of the 
firefighter fireman as provided in this Section.
Such notice 
shall set forth:  (i) a statement of election to be filed by
the 
firefighter fireman if the firefighter fireman wishes to 
continue such group insurance coverage,
(ii) the amount of 
monthly premium, including a statement of the portion
of such 
monthly premium attributable to any dependents' coverage which 
the
firefighter fireman may elect, and (iii) instructions as 
to the return of the election
form to the insurance company 
issuing such policy.  Election shall be made,
if at all, by 
returning the statement of election to the insurance company 
by
certified mail, return receipt requested within 15 days 
after having received it.

    If the firefighter fireman elects to continue coverage, it 
shall be the obligation
of the firefighter fireman to pay the 
monthly premium directly to the municipality which
shall 
forward it to the insurance company
issuing the group 
insurance policy, or as otherwise directed by the insurance

company; provided, however, that the firefighter fireman shall 
be entitled to designate
on the statement of election required 
to be filed with the insurance company
that the total monthly 
premium, or such portion thereof as is not
contributed by a 
municipality, be deducted by a Firefighter's Pension
Fund from 
any monthly pension payment otherwise payable
to or on behalf 
of the firefighter fireman pursuant to Article 4 of the 
Illinois Pension
Code, and be remitted by such Pension Fund to 
the insurance company.  The
portion, if any, of the monthly 
premium contributed by a
municipality for such continued group 
insurance coverage shall be paid by
the municipality directly 
to the insurance company issuing the group insurance
policy, 
or as otherwise directed by the insurance company.  Such 
continued
group insurance coverage shall relate back to the 
beginning of the firefighter's fireman's
retirement or 
disability period.

    The amendment, renewal or extension of any group insurance 
policy affected
by this Section shall be deemed to be the 
issuance of a new policy of insurance
for purposes of this 
Section.

    In the event that a municipality makes a program of 
accident, health,
hospital or medical benefits available to 
its firefighters firemen through
self-insurance, or by 
participation in a pool or reciprocal insurer, or by
contract 
in a form other than a policy of group insurance with one or 
more
medical service plans, health care service corporations, 
health maintenance
organizations, or any other professional 
corporations or plans under which
health care or reimbursement 
for the costs thereof is
provided, whether the cost of such 
benefits is borne by the municipality or
the firefighters 
firemen or both, such firefighters firemen and their surviving 
spouses shall have
the same right to elect continued coverage 
under such program of benefits
as they would have if such 
benefits were provided by a policy of group
accident and 
health insurance.  In such cases, the notice of right to elect

continued coverage shall be sent by the municipality; the 
statement of
election shall be sent to the municipality; and 
references to the required
premium shall refer to that portion 
of the cost of such benefits which is not
borne by the 
municipality, either voluntarily or pursuant to the provisions

of a collective bargaining agreement.  In the case of a 
municipality
providing such benefits through self-insurance or 
participation in a pool or
reciprocal insurer, the right to 
elect continued coverage which is provided
by this paragraph 
shall be implemented and made available to the firefighters 
firemen of
the municipality and qualifying surviving spouses 
not later than July 1, 1985.

    The amendment, renewal or extension of any such contract 
in a form other
than a policy of group insurance policy shall 
be deemed the formation of a
new contract for the purposes of 
this Section.

    This Section shall not limit the exercise of any 
conversion privileges
available under Section 367e.

    Pursuant to paragraphs (h) and (i) of Section 6 of Article 
VII of the
Illinois Constitution, this Section specifically 
denies and limits the
exercise by a home rule unit of any power 
which is inconsistent with this
Section and all existing laws 
and ordinances which are inconsistent with
this Section are 
hereby superseded.  This Section does not preempt the

concurrent exercise by home rule units of powers consistent 
herewith.
    The Division of Insurance of the Department of Financial 
and Professional Regulation shall enforce the provisions of 
this Section, including provisions relating to municipality 
self-insured benefit plans.


(Source: P.A. 94-858, eff. 6-15-06.)