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1 | AN ACT concerning insurance.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 5. The Illinois Insurance Code is amended by | |||||||||||||||||||
5 | changing Section 367a as follows:
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6 | (215 ILCS 5/367a) (from Ch. 73, par. 979a)
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7 | Sec. 367a.
Blanket
accident and health insurance.
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8 | (1) Blanket accident and health insurance is that form of | |||||||||||||||||||
9 | accident and
health insurance covering special groups of | |||||||||||||||||||
10 | persons as enumerated in one of
the following paragraphs (a) to | |||||||||||||||||||
11 | (n) (g) , inclusive:
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12 | (a) Under a policy or contract issued to any carrier for | |||||||||||||||||||
13 | hire or to any owner, operator, or lessee of a means of | |||||||||||||||||||
14 | transportation , which
shall be deemed the policyholder, | |||||||||||||||||||
15 | covering a group defined as all persons
who may become | |||||||||||||||||||
16 | passengers on such carrier or means of transportation .
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17 | (b) Under a policy or contract issued to an employer, which | |||||||||||||||||||
18 | who shall be
deemed the policyholder, covering all workers | |||||||||||||||||||
19 | employees or any group of workers, dependents, or guests | |||||||||||||||||||
20 | employees
defined by reference to exceptional hazards incident | |||||||||||||||||||
21 | to an activity or activities or operations of the policy holder | |||||||||||||||||||
22 | such employment .
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23 | (c) Under a policy or contract issued to a college, school, |
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1 | or other
institution of learning or to the head or principal | ||||||
2 | thereof, who or which
shall be deemed the policyholder, | ||||||
3 | covering students or teachers , or employees, and may include | ||||||
4 | dependents .
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5 | (d) Under a policy or contract issued in the name of any | ||||||
6 | volunteer fire
department, first aid, civil defense, or other | ||||||
7 | such volunteer group, or an agency having jurisdiction over | ||||||
8 | these groups, which shall be deemed
the policyholder, covering | ||||||
9 | all or any group of the members of such department , or group , | ||||||
10 | or any group of participants defined by reference to activities | ||||||
11 | or operations sponsored or supervised by the policyholder .
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12 | (e) Under a policy or contract issued to a creditor, who | ||||||
13 | shall be deemed
the policyholder, to insure debtors of the | ||||||
14 | creditors; Provided, however,
that in the case of a loan which | ||||||
15 | is subject to the Small Loans Act, no
insurance premium or | ||||||
16 | other cost shall be directly or indirectly charged or
assessed | ||||||
17 | against, or collected or received from the borrower.
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18 | (f) Under a policy or contract issued to a sports team or | ||||||
19 | to a camp , or to a sponsor of either ,
which team or camp | ||||||
20 | sponsor shall be deemed the policyholder, covering
members , or | ||||||
21 | campers , employees, officials, supervisors, or volunteers .
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22 | (g) Under a policy or contract issued to any religious, | ||||||
23 | charitable, recreational, educational, or civic organization, | ||||||
24 | or branch thereof, which organization shall be deemed the | ||||||
25 | policyholder, covering any group of persons while engaged in | ||||||
26 | any activity, activities, or operations sponsored or |
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1 | supervised by or on the premises of the policyholder. | ||||||
2 | (h) Under a policy or contract issued to a newspaper or | ||||||
3 | other publisher, which shall be deemed the policyholder, | ||||||
4 | covering its carriers. | ||||||
5 | (i) Under a policy or contract issued to a restaurant, | ||||||
6 | hotel, motel, innkeeper, or other group with a high degree of | ||||||
7 | customer liability, which shall be deemed the policyholder, | ||||||
8 | covering patrons or guests. | ||||||
9 | (j) Under a policy or contract issued to a health | ||||||
10 | maintenance organization, health care provider, or other | ||||||
11 | arranger of health services, which shall be deemed the | ||||||
12 | policyholder, covering subscribers, patients, donors, or | ||||||
13 | surrogates, provided that this coverage is not made a condition | ||||||
14 | of receiving care. | ||||||
15 | (k) Under a policy or contract issued to a bank, savings | ||||||
16 | and loan association, credit union, or other similar financial | ||||||
17 | institution or vendor, to a parent holding company, or to the | ||||||
18 | trustee, trustees, or agents designated by one or more banks, | ||||||
19 | savings and loan associations, credit unions, or other similar | ||||||
20 | financial institutions or vendors, which shall be deemed the | ||||||
21 | policyholder, covering account holders, depositors, members, | ||||||
22 | debtors, or guarantors. | ||||||
23 | (l) Under a policy or contract issued to an incorporated or | ||||||
24 | unincorporated association of persons having a common interest | ||||||
25 | or calling, which association shall be deemed the policyholder, | ||||||
26 | formed for purposes other than obtaining insurance, covering |
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1 | members of the association. | ||||||
2 | (m) Under a policy or contract issued to a travel agency or | ||||||
3 | other organization that provides travel-related services, | ||||||
4 | which agency or organization shall be deemed the policyholder, | ||||||
5 | to cover all persons for which travel-related services are | ||||||
6 | provided. | ||||||
7 | (n) (g) Under a policy or contract issued to any other | ||||||
8 | individual risk or class of risk that substantially similar
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9 | group which , in the discretion of the Director, may be subject | ||||||
10 | to the
issuance of a blanket accident and health policy or | ||||||
11 | contract.
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12 | (2) Any insurance company authorized to write accident and | ||||||
13 | health
insurance in this state shall have the power to issue | ||||||
14 | blanket accident and
health insurance. No such blanket policy | ||||||
15 | may be issued or delivered in this
State unless a copy of the | ||||||
16 | form thereof shall have been filed in accordance
with Section | ||||||
17 | 355, and it contains in substance such of those provisions
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18 | contained in Sections 357.1 through 357.30 as may be applicable | ||||||
19 | to blanket accident and
health insurance and the following | ||||||
20 | provisions:
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21 | (a) A provision that the policy and the application shall | ||||||
22 | constitute the
entire contract between the parties, and that | ||||||
23 | all statements made by the
policyholder shall, in absence of | ||||||
24 | fraud, be deemed representations and not
warranties, and that | ||||||
25 | no such statements shall be used in defense to a claim
under | ||||||
26 | the policy, unless it is contained in a written application.
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1 | (b) A provision that to the group or class thereof | ||||||
2 | originally insured
shall be added from time to time all new | ||||||
3 | persons or individuals eligible
for coverage.
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4 | (3) An individual application shall not be required from a | ||||||
5 | person
covered under a blanket accident or health policy or | ||||||
6 | contract, nor shall it
be necessary for the insurer to furnish | ||||||
7 | each person a certificate.
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8 | (4) All benefits under any blanket accident and health | ||||||
9 | policy shall be
payable to the person insured, or to his | ||||||
10 | designated beneficiary or
beneficiaries, or to his or her | ||||||
11 | estate, except that if the person insured be a
minor or person | ||||||
12 | under legal disability, such
benefits may be made payable to | ||||||
13 | his or her
parent, guardian, or other person actually | ||||||
14 | supporting him or her. Provided
further, however, that the | ||||||
15 | policy may provide that all or any portion of
any indemnities | ||||||
16 | provided by any such policy on account of hospital,
nursing, | ||||||
17 | medical or surgical services may, at the insurer's option, be | ||||||
18 | paid
directly to the hospital or person rendering such | ||||||
19 | services; but the policy
may not require that the service be | ||||||
20 | rendered by a particular hospital or
person. Payment so made | ||||||
21 | shall discharge the insurer's obligation with
respect to the | ||||||
22 | amount of insurance so paid.
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23 | (5) Nothing contained in this section shall be deemed to | ||||||
24 | affect the
legal liability of policyholders for the death of or | ||||||
25 | injury to, any such
member of such group.
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26 | (Source: P.A. 83-1362.)
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