Public Act 102-0775
 
HB4493 EnrolledLRB102 22845 BMS 31996 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 Motor Vehicle Theft Prevention and
Insurance Verification Act is amended by changing Sections 8.5
and 8.6 as follows:
 
    (20 ILCS 4005/8.5)
    (Section scheduled to be repealed on January 1, 2025)
    Sec. 8.5. State Police Motor Vehicle Theft Prevention
Trust Fund. The State Police Motor Vehicle Theft Prevention
Trust Fund is created as a trust fund in the State treasury.
The State Treasurer shall be the custodian of the Trust Fund.
The State Police Motor Vehicle Theft Prevention Trust Fund is
established to receive funds from the Illinois Motor Vehicle
Theft Prevention and Insurance Verification Council. All
interest earned from the investment or deposit of moneys
accumulated in the Trust Fund shall be deposited into the
Trust Fund. Moneys in the Trust Fund shall be used by the
Illinois State Police for motor vehicle theft prevention
purposes.
(Source: P.A. 102-538, eff. 8-20-21.)
 
    (20 ILCS 4005/8.6)
    Sec. 8.6. State Police Training and Academy Fund; Law
Enforcement Training Fund. Before April 1 of each year, each
insurer engaged in writing private passenger motor vehicle
insurance coverage that is included in Class 2 and Class 3 of
Section 4 of the Illinois Insurance Code, as a condition of its
authority to transact business in this State, may collect and
shall pay shall collect and remit to the Department of
Insurance an amount equal to $4, or a lesser amount determined
by the Illinois Law Enforcement Training Board by rule,
multiplied by the insurer's total earned car years of private
passenger motor vehicle insurance policies providing physical
damage insurance coverage written in this State during the
preceding calendar year. Of the amounts collected under this
Section, the Department of Insurance shall deposit 10% into
the State Police Training and Academy Fund and 90% into the Law
Enforcement Training Fund.
(Source: P.A. 102-16, eff. 6-17-21.)
 
    Section 10. The Illinois Insurance Code is amended by
changing Sections 35B-30, 143, 143a, 229.4a, 353a, 355a, 408,
412, and 416 and by adding Section 355c as follows:
 
    (215 ILCS 5/35B-30)
    Sec. 35B-30. Certificate of division.
    (a) After a plan of division has been adopted and
approved, an officer or duly authorized representative of the
dividing company shall sign a certificate of division.
    (b) The certificate of division shall set forth:
        (1) the name of the dividing company;
        (2) a statement disclosing whether the dividing
    company will survive the division;
        (3) the name of each new company that will be created
    by the division;
        (4) the kinds of insurance business enumerated in
    Section 4 that the new company will be authorized to
    conduct;
        (5) the date that the division is to be effective,
    which shall not be more than 90 days after the dividing
    company has filed the certificate of division with the
    recorder, with a concurrent copy to the Director;
        (6) a statement that the division was approved by the
    Director in accordance with Section 35B-25;
        (7) (6) a statement that the dividing company
    provided, no later than 10 business days after the
    dividing company filed the plan of division with the
    Director, reasonable notice to each reinsurer that is
    party to a reinsurance contract that is applicable to the
    policies included in the plan of division;
        (8) (7) if the dividing company will survive the
    division, an amendment to its articles of incorporation or
    bylaws approved as part of the plan of division;
        (9) (8) for each new company created by the division,
    its articles of incorporation and bylaws, provided that
    the articles of incorporation and bylaws need not state
    the name or address of an incorporator; and
        (10) (9) a reasonable description of the capital,
    surplus, other assets and liabilities, including policy
    liabilities, of the dividing company that are to be
    allocated to each resulting company.
    (c) The articles of incorporation and bylaws of each new
company must satisfy the requirements of the laws of this
State, provided that the documents need not be signed or
include a provision that need not be included in a restatement
of the document.
    (d) A certificate of division is effective when filed with
the recorder, with a concurrent copy to the Director, as
provided in this Section or on another date specified in the
plan of division, whichever is later, provided that a
certificate of division shall become effective not more than
90 days after it is filed with the recorder. A division is
effective when the relevant certificate of division is
effective.
(Source: P.A. 100-1118, eff. 11-27-18.)
 
    (215 ILCS 5/143)  (from Ch. 73, par. 755)
    Sec. 143. Policy forms.
    (1) Life, accident and health. No company transacting the
kind or kinds of business enumerated in Classes 1 (a), 1 (b)
and 2 (a) of Section 4 shall issue or deliver in this State a
policy or certificate of insurance or evidence of coverage,
attach an endorsement or rider thereto, incorporate by
reference bylaws or other matter therein or use an application
blank in this State until the form and content of such policy,
certificate, evidence of coverage, endorsement, rider, bylaw
or other matter incorporated by reference or application blank
has been filed electronically with the Director, either
through the System for Electronic Rate and Form Filing (SERFF)
or as otherwise prescribed by the Director, and approved by
the Director. Any such endorsement or rider that unilaterally
reduces benefits and is to be attached to a policy subsequent
to the date the policy is issued must be filed with, reviewed,
and formally approved by the Director prior to the date it is
attached to a policy issued or delivered in this State. It
shall be the duty of the Director to disapprove or withdraw
withhold approval of any such policy, certificate,
endorsement, rider, bylaw or other matter incorporated by
reference or application blank filed with him if it contains
deficiencies, provisions which encourage misrepresentation or
are unjust, unfair, inequitable, ambiguous, misleading,
inconsistent, deceptive, contrary to law or to the public
policy of this State, or contains exceptions and conditions
that unreasonably or deceptively affect the risk purported to
be assumed in the general coverage of the policy. In all cases
the Director shall approve, withdraw, or disapprove any such
form within 60 days after submission unless the Director
extends by not more than an additional 30 days the period
within which the he shall approve or disapprove any such form
shall be approved, withdrawn, or disapproved by giving written
notice to the insurer of such extension before expiration of
the initial 60 days period. The Director shall withdraw his
approval of a policy, certificate, evidence of coverage,
endorsement, rider, bylaw, or other matter incorporated by
reference or application blank if it is subsequently
determined he subsequently determines that such policy,
certificate, evidence of coverage, endorsement, rider, bylaw,
other matter, or application blank is misrepresentative,
unjust, unfair, inequitable, ambiguous, misleading,
inconsistent, deceptive, contrary to law or public policy of
this State, or contains exceptions or conditions which
unreasonably or deceptively affect the risk purported to be
assumed in the general coverage of the policy or evidence of
coverage.
    If a previously approved policy, certificate, evidence of
coverage, endorsement, rider, bylaw or other matter
incorporated by reference or application blank is withdrawn
for use, the Director shall serve upon the company an order of
withdrawal of use, either personally or by mail, and if by
mail, such service shall be completed if such notice be
deposited in the post office, postage prepaid, addressed to
the company's last known address specified in the records of
the Department of Insurance. The order of withdrawal of use
shall take effect 30 days from the date of mailing but shall be
stayed if within the 30-day period a written request for
hearing is filed with the Director. Such hearing shall be held
at such time and place as designated in the order given by the
Director. The hearing may be held either in the City of
Springfield, the City of Chicago or in the county where the
principal business address of the company is located. The
action of the Director in disapproving or withdrawing such
form shall be subject to judicial review under the
Administrative Review Law.
    This subsection shall not apply to riders or endorsements
issued or made at the request of the individual policyholder
relating to the manner of distribution of benefits or to the
reservation of rights and benefits under his life insurance
policy.
    (2) Casualty, fire, and marine. The Director shall require
the filing of all policy forms issued or delivered by any
company transacting the kind or kinds of business enumerated
in Classes 2 (except Class 2 (a)) and 3 of Section 4 in an
electronic format either through the System for Electronic
Rate and Form Filing (SERFF) or as otherwise prescribed and
approved by the Director. In addition, he may require the
filing of any generally used riders, endorsements,
certificates, application blanks, and other matter
incorporated by reference in any such policy or contract of
insurance. Companies that are members of an organization,
bureau, or association may have the same filed for them by the
organization, bureau, or association. If the Director shall
find from an examination of any such policy form, rider,
endorsement, certificate, application blank, or other matter
incorporated by reference in any such policy so filed that it
(i) violates any provision of this Code, (ii) contains
inconsistent, ambiguous, or misleading clauses, or (iii)
contains exceptions and conditions that will unreasonably or
deceptively affect the risks that are purported to be assumed
by the policy, he shall order the company or companies issuing
these forms to discontinue their use. Nothing in this
subsection shall require a company transacting the kind or
kinds of business enumerated in Classes 2 (except Class 2 (a))
and 3 of Section 4 to obtain approval of these forms before
they are issued nor in any way affect the legality of any
policy that has been issued and found to be in conflict with
this subsection, but such policies shall be subject to the
provisions of Section 442.
    (3) This Section shall not apply (i) to surety contracts
or fidelity bonds, (ii) to policies issued to an industrial
insured as defined in Section 121-2.08 except for workers'
compensation policies, nor (iii) to riders or endorsements
prepared to meet special, unusual, peculiar, or extraordinary
conditions applying to an individual risk.
(Source: P.A. 97-486, eff. 1-1-12; 98-226, eff. 1-1-14.)
 
    (215 ILCS 5/143a)  (from Ch. 73, par. 755a)
    Sec. 143a. Uninsured and hit and run motor vehicle
coverage.
    (1) No policy insuring against loss resulting from
liability imposed by law for bodily injury or death suffered
by any person arising out of the ownership, maintenance or use
of a motor vehicle that is designed for use on public highways
and that is either required to be registered in this State or
is principally garaged in this State shall be renewed,
delivered, or issued for delivery in this State unless
coverage is provided therein or supplemental thereto, in
limits for bodily injury or death set forth in Section 7-203 of
the Illinois Vehicle Code for the protection of persons
insured thereunder who are legally entitled to recover damages
from owners or operators of uninsured motor vehicles and
hit-and-run motor vehicles because of bodily injury, sickness
or disease, including death, resulting therefrom. Uninsured
motor vehicle coverage does not apply to bodily injury,
sickness, disease, or death resulting therefrom, of an insured
while occupying a motor vehicle owned by, or furnished or
available for the regular use of the insured, a resident
spouse or resident relative, if that motor vehicle is not
described in the policy under which a claim is made or is not a
newly acquired or replacement motor vehicle covered under the
terms of the policy. The limits for any coverage for any
vehicle under the policy may not be aggregated with the limits
for any similar coverage, whether provided by the same insurer
or another insurer, applying to other motor vehicles, for
purposes of determining the total limit of insurance coverage
available for bodily injury or death suffered by a person in
any one accident. No policy shall be renewed, delivered, or
issued for delivery in this State unless it is provided
therein that any dispute with respect to the coverage and the
amount of damages shall be submitted for arbitration to the
American Arbitration Association and be subject to its rules
for the conduct of arbitration hearings as to all matters
except medical opinions. As to medical opinions, if the amount
of damages being sought is equal to or less than the amount
provided for in Section 7-203 of the Illinois Vehicle Code,
then the current American Arbitration Association Rules shall
apply. If the amount being sought in an American Arbitration
Association case exceeds that amount as set forth in Section
7-203 of the Illinois Vehicle Code, then the Rules of Evidence
that apply in the circuit court for placing medical opinions
into evidence shall govern. Alternatively, disputes with
respect to damages and the coverage shall be determined in the
following manner: Upon the insured requesting arbitration,
each party to the dispute shall select an arbitrator and the 2
arbitrators so named shall select a third arbitrator. If such
arbitrators are not selected within 45 days from such request,
either party may request that the arbitration be submitted to
the American Arbitration Association. Any decision made by the
arbitrators shall be binding for the amount of damages not
exceeding $75,000 for bodily injury to or death of any one
person, $150,000 for bodily injury to or death of 2 or more
persons in any one motor vehicle accident, or the
corresponding policy limits for bodily injury or death,
whichever is less. All 3-person arbitration cases proceeding
in accordance with any uninsured motorist coverage conducted
in this State in which the claimant is only seeking monetary
damages up to the limits set forth in Section 7-203 of the
Illinois Vehicle Code shall be subject to the following rules:
        (A) If at least 60 days' written notice of the
    intention to offer the following documents in evidence is
    given to every other party, accompanied by a copy of the
    document, a party may offer in evidence, without
    foundation or other proof:
            (1) bills, records, and reports of hospitals,
        doctors, dentists, registered nurses, licensed
        practical nurses, physical therapists, and other
        healthcare providers;
            (2) bills for drugs, medical appliances, and
        prostheses;
            (3) property repair bills or estimates, when
        identified and itemized setting forth the charges for
        labor and material used or proposed for use in the
        repair of the property;
            (4) a report of the rate of earnings and time lost
        from work or lost compensation prepared by an
        employer;
            (5) the written opinion of an opinion witness, the
        deposition of a witness, and the statement of a
        witness that the witness would be allowed to express
        if testifying in person, if the opinion or statement
        is made by affidavit or by certification as provided
        in Section 1-109 of the Code of Civil Procedure;
            (6) any other document not specifically covered by
        any of the foregoing provisions that is otherwise
        admissible under the rules of evidence.
        Any party receiving a notice under this paragraph (A)
    may apply to the arbitrator or panel of arbitrators, as
    the case may be, for the issuance of a subpoena directed to
    the author or maker or custodian of the document that is
    the subject of the notice, requiring the person subpoenaed
    to produce copies of any additional documents as may be
    related to the subject matter of the document that is the
    subject of the notice. Any such subpoena shall be issued
    in substantially similar form and served by notice as
    provided by Illinois Supreme Court Rule 204(a)(4). Any
    such subpoena shall be returnable not less than 5 days
    before the arbitration hearing.
        (B) Notwithstanding the provisions of Supreme Court
    Rule 213(g), a party who proposes to use a written opinion
    of an expert or opinion witness or the testimony of an
    expert or opinion witness at the hearing may do so
    provided a written notice of that intention is given to
    every other party not less than 60 days prior to the date
    of hearing, accompanied by a statement containing the
    identity of the witness, his or her qualifications, the
    subject matter, the basis of the witness's conclusions,
    and his or her opinion.
        (C) Any other party may subpoena the author or maker
    of a document admissible under this subsection, at that
    party's expense, and examine the author or maker as if
    under cross-examination. The provisions of Section 2-1101
    of the Code of Civil Procedure shall be applicable to
    arbitration hearings, and it shall be the duty of a party
    requesting the subpoena to modify the form to show that
    the appearance is set before an arbitration panel and to
    give the time and place set for the hearing.
        (D) The provisions of Section 2-1102 of the Code of
    Civil Procedure shall be applicable to arbitration
    hearings under this subsection.
    (2) No policy insuring against loss resulting from
liability imposed by law for property damage arising out of
the ownership, maintenance, or use of a motor vehicle shall be
renewed, delivered, or issued for delivery in this State with
respect to any private passenger or recreational motor vehicle
that is designed for use on public highways and that is either
required to be registered in this State or is principally
garaged in this State and is not covered by collision
insurance under the provisions of such policy, unless coverage
is made available in the amount of the actual cash value of the
motor vehicle described in the policy or the corresponding
policy limit for uninsured motor vehicle property damage
coverage, $15,000 whichever is less, subject to a maximum $250
deductible, for the protection of persons insured thereunder
who are legally entitled to recover damages from owners or
operators of uninsured motor vehicles and hit-and-run motor
vehicles because of property damage to the motor vehicle
described in the policy.
    There shall be no liability imposed under the uninsured
motorist property damage coverage required by this subsection
if the owner or operator of the at-fault uninsured motor
vehicle or hit-and-run motor vehicle cannot be identified.
This subsection shall not apply to any policy which does not
provide primary motor vehicle liability insurance for
liabilities arising from the maintenance, operation, or use of
a specifically insured motor vehicle.
    Each insurance company providing motor vehicle property
damage liability insurance shall advise applicants of the
availability of uninsured motor vehicle property damage
coverage, the premium therefor, and provide a brief
description of the coverage. That information need be given
only once and shall not be required in any subsequent renewal,
reinstatement or reissuance, substitute, amended, replacement
or supplementary policy. No written rejection shall be
required, and the absence of a premium payment for uninsured
motor vehicle property damage shall constitute conclusive
proof that the applicant or policyholder has elected not to
accept uninsured motorist property damage coverage.
    An insurance company issuing uninsured motor vehicle
property damage coverage may provide that:
        (i) Property damage losses recoverable thereunder
    shall be limited to damages caused by the actual physical
    contact of an uninsured motor vehicle with the insured
    motor vehicle.
        (ii) There shall be no coverage for loss of use of the
    insured motor vehicle and no coverage for loss or damage
    to personal property located in the insured motor vehicle.
        (iii) Any claim submitted shall include the name and
    address of the owner of the at-fault uninsured motor
    vehicle, or a registration number and description of the
    vehicle, or any other available information to establish
    that there is no applicable motor vehicle property damage
    liability insurance.
    Any dispute with respect to the coverage and the amount of
damages shall be submitted for arbitration to the American
Arbitration Association and be subject to its rules for the
conduct of arbitration hearings or for determination in the
following manner: Upon the insured requesting arbitration,
each party to the dispute shall select an arbitrator and the 2
arbitrators so named shall select a third arbitrator. If such
arbitrators are not selected within 45 days from such request,
either party may request that the arbitration be submitted to
the American Arbitration Association. Any arbitration
proceeding under this subsection seeking recovery for property
damages shall be subject to the following rules:
        (A) If at least 60 days' written notice of the
    intention to offer the following documents in evidence is
    given to every other party, accompanied by a copy of the
    document, a party may offer in evidence, without
    foundation or other proof:
            (1) property repair bills or estimates, when
        identified and itemized setting forth the charges for
        labor and material used or proposed for use in the
        repair of the property;
            (2) the written opinion of an opinion witness, the
        deposition of a witness, and the statement of a
        witness that the witness would be allowed to express
        if testifying in person, if the opinion or statement
        is made by affidavit or by certification as provided
        in Section 1-109 of the Code of Civil Procedure;
            (3) any other document not specifically covered by
        any of the foregoing provisions that is otherwise
        admissible under the rules of evidence.
        Any party receiving a notice under this paragraph (A)
    may apply to the arbitrator or panel of arbitrators, as
    the case may be, for the issuance of a subpoena directed to
    the author or maker or custodian of the document that is
    the subject of the notice, requiring the person subpoenaed
    to produce copies of any additional documents as may be
    related to the subject matter of the document that is the
    subject of the notice. Any such subpoena shall be issued
    in substantially similar form and served by notice as
    provided by Illinois Supreme Court Rule 204(a)(4). Any
    such subpoena shall be returnable not less than 5 days
    before the arbitration hearing.
        (B) Notwithstanding the provisions of Supreme Court
    Rule 213(g), a party who proposes to use a written opinion
    of an expert or opinion witness or the testimony of an
    expert or opinion witness at the hearing may do so
    provided a written notice of that intention is given to
    every other party not less than 60 days prior to the date
    of hearing, accompanied by a statement containing the
    identity of the witness, his or her qualifications, the
    subject matter, the basis of the witness's conclusions,
    and his or her opinion.
        (C) Any other party may subpoena the author or maker
    of a document admissible under this subsection, at that
    party's expense, and examine the author or maker as if
    under cross-examination. The provisions of Section 2-1101
    of the Code of Civil Procedure shall be applicable to
    arbitration hearings, and it shall be the duty of a party
    requesting the subpoena to modify the form to show that
    the appearance is set before an arbitration panel and to
    give the time and place set for the hearing.
        (D) The provisions of Section 2-1102 of the Code of
    Civil Procedure shall be applicable to arbitration
    hearings under this subsection.
    (3) For the purpose of the coverage, the term "uninsured
motor vehicle" includes, subject to the terms and conditions
of the coverage, a motor vehicle where on, before or after the
accident date the liability insurer thereof is unable to make
payment with respect to the legal liability of its insured
within the limits specified in the policy because of the entry
by a court of competent jurisdiction of an order of
rehabilitation or liquidation by reason of insolvency on or
after the accident date. An insurer's extension of coverage,
as provided in this subsection, shall be applicable to all
accidents occurring after July 1, 1967 during a policy period
in which its insured's uninsured motor vehicle coverage is in
effect. Nothing in this Section may be construed to prevent
any insurer from extending coverage under terms and conditions
more favorable to its insureds than is required by this
Section.
    (4) In the event of payment to any person under the
coverage required by this Section and subject to the terms and
conditions of the coverage, the insurer making the payment
shall, to the extent thereof, be entitled to the proceeds of
any settlement or judgment resulting from the exercise of any
rights of recovery of the person against any person or
organization legally responsible for the property damage,
bodily injury or death for which the payment is made,
including the proceeds recoverable from the assets of the
insolvent insurer. With respect to payments made by reason of
the coverage described in subsection (3), the insurer making
such payment shall not be entitled to any right of recovery
against the tortfeasor in excess of the proceeds recovered
from the assets of the insolvent insurer of the tortfeasor.
    (5) This amendatory Act of 1967 (Laws of Illinois 1967,
page 875) shall not be construed to terminate or reduce any
insurance coverage or any right of any party under this Code in
effect before July 1, 1967. Public Act 86-1155 shall not be
construed to terminate or reduce any insurance coverage or any
right of any party under this Code in effect before its
effective date.
    (6) Failure of the motorist from whom the claimant is
legally entitled to recover damages to file the appropriate
forms with the Safety Responsibility Section of the Department
of Transportation within 120 days of the accident date shall
create a rebuttable presumption that the motorist was
uninsured at the time of the injurious occurrence.
    (7) An insurance carrier may upon good cause require the
insured to commence a legal action against the owner or
operator of an uninsured motor vehicle before good faith
negotiation with the carrier. If the action is commenced at
the request of the insurance carrier, the carrier shall pay to
the insured, before the action is commenced, all court costs,
jury fees and sheriff's fees arising from the action.
    The changes made by Public Act 90-451 apply to all
policies of insurance amended, delivered, issued, or renewed
on and after January 1, 1998 (the effective date of Public Act
90-451).
    (8) The changes made by Public Act 98-927 apply to all
policies of insurance amended, delivered, issued, or renewed
on and after January 1, 2015 (the effective date of Public Act
98-927).
(Source: P.A. 98-242, eff. 1-1-14; 98-927, eff. 1-1-15;
99-642, eff. 7-28-16.)
 
    (215 ILCS 5/229.4a)
    Sec. 229.4a. Standard Non-forfeiture Law for Individual
Deferred Annuities.
    (1) Title. This Section shall be known as the Standard
Nonforfeiture Law for Individual Deferred Annuities.
    (2) Applicability. This Section shall not apply to any
reinsurance, group annuity purchased under a retirement plan
or plan of deferred compensation established or maintained by
an employer (including a partnership or sole proprietorship)
or by an employee organization, or by both, other than a plan
providing individual retirement accounts or individual
retirement annuities under Section 408 of the Internal Revenue
Code, as now or hereafter amended, premium deposit fund,
variable annuity, investment annuity, immediate annuity, any
deferred annuity contract after annuity payments have
commenced, or reversionary annuity, nor to any contract which
shall be delivered outside this State through an agent or
other representative of the company issuing the contract.
    (3) Nonforfeiture Requirements.
        (A) In the case of contracts issued on or after the
    operative date of this Section as defined in subsection
    (13), no contract of annuity, except as stated in
    subsection (2), shall be delivered or issued for delivery
    in this State unless it contains in substance the
    following provisions, or corresponding provisions which in
    the opinion of the Director of Insurance are at least as
    favorable to the contract holder, upon cessation of
    payment of considerations under the contract:
            (i) That upon cessation of payment of
        considerations under a contract, or upon the written
        request of the contract owner, the company shall grant
        a paid-up annuity benefit on a plan stipulated in the
        contract of such value as is specified in subsections
        (5), (6), (7), (8) and (10);
            (ii) If a contract provides for a lump sum
        settlement at maturity, or at any other time, that
        upon surrender of the contract at or prior to the
        commencement of any annuity payments, the company
        shall pay in lieu of a paid-up annuity benefit a cash
        surrender benefit of such amount as is specified in
        subsections (5), (6), (8) and (10). The company may
        reserve the right to defer the payment of the cash
        surrender benefit for a period not to exceed 6 months
        after demand therefor with surrender of the contract
        after making written request and receiving written
        approval of the Director. The request shall address
        the necessity and equitability to all policyholders of
        the deferral;
            (iii) A statement of the mortality table, if any,
        and interest rates used calculating any minimum
        paid-up annuity, cash surrender, or death benefits
        that are guaranteed under the contract, together with
        sufficient information to determine the amounts of the
        benefits; and
            (iv) A statement that any paid-up annuity, cash
        surrender or death benefits that may be available
        under the contract are not less than the minimum
        benefits required by any statute of the state in which
        the contract is delivered and an explanation of the
        manner in which the benefits are altered by the
        existence of any additional amounts credited by the
        company to the contract, any indebtedness to the
        company on the contract or any prior withdrawals from
        or partial surrenders of the contract.
        (B) Notwithstanding the requirements of this Section,
    a deferred annuity contract may provide that if no
    considerations have been received under a contract for a
    period of 2 full years and the portion of the paid-up
    annuity benefit at maturity on the plan stipulated in the
    contract arising from prior considerations paid would be
    less than $20 monthly, the company may at its option
    terminate the contract by payment in cash of the then
    present value of the portion of the paid-up annuity
    benefit, calculated on the basis on the mortality table,
    if any, and interest rate specified in the contract for
    determining the paid-up annuity benefit, and by this
    payment shall be relieved of any further obligation under
    the contract.
    (4) Minimum values. The minimum values as specified in
subsections (5), (6), (7), (8) and (10) of any paid-up
annuity, cash surrender or death benefits available under an
annuity contract shall be based upon minimum nonforfeiture
amounts as defined in this subsection.
        (A)(i) The minimum nonforfeiture amount at any time at
    or prior to the commencement of any annuity payments shall
    be equal to an accumulation up to such time at rates of
    interest as indicated in subdivision (4)(B) of the net
    considerations (as hereinafter defined) paid prior to such
    time, decreased by the sum of paragraphs (a) through (d)
    below:
            (a) Any prior withdrawals from or partial
        surrenders of the contract accumulated at rates of
        interest as indicated in subdivision (4)(B);
            (b) An annual contract charge of $50, accumulated
        at rates of interest as indicated in subdivision
        (4)(B);
            (c) Any premium tax paid by the company for the
        contract, accumulated at rates of interest as
        indicated in subdivision (4)(B); and
            (d) The amount of any indebtedness to the company
        on the contract, including interest due and accrued.
        (ii) The net considerations for a given contract year
    used to define the minimum nonforfeiture amount shall be
    an amount equal to 87.5% of the gross considerations,
    credited to the contract during that contract year.
        (B) The interest rate used in determining minimum
    nonforfeiture amounts shall be an annual rate of interest
    determined as the lesser of 3% per annum and the
    following, which shall be specified in the contract if the
    interest rate will be reset:
            (i) The five-year Constant Maturity Treasury Rate
        reported by the Federal Reserve as of a date, or
        average over a period, rounded to the nearest 1/20th
        of one percent, specified in the contract no longer
        than 15 months prior to the contract issue date or
        redetermination date under subdivision (4)(B)(iv);
            (ii) Reduced by 125 basis points;
            (iii) Where the resulting interest rate is not
        less than 0.15% 1%; and
            (iv) The interest rate shall apply for an initial
        period and may be redetermined for additional periods.
        The redetermination date, basis and period, if any,
        shall be stated in the contract. The basis is the date
        or average over a specified period that produces the
        value of the 5-year Constant Maturity Treasury Rate to
        be used at each redetermination date.
        (C) During the period or term that a contract provides
    substantive participation in an equity indexed benefit, it
    may increase the reduction described in subdivision
    (4)(B)(ii) above by up to an additional 100 basis points
    to reflect the value of the equity index benefit. The
    present value at the contract issue date, and at each
    redetermination date thereafter, of the additional
    reduction shall not exceed market value of the benefit.
    The Director may require a demonstration that the present
    value of the additional reduction does not exceed the
    market value of the benefit. Lacking such a demonstration
    that is acceptable to the Director, the Director may
    disallow or limit the additional reduction.
        (D) The Director may adopt rules to implement the
    provisions of subdivision (4)(C) and to provide for
    further adjustments to the calculation of minimum
    nonforfeiture amounts for contracts that provide
    substantive participation in an equity index benefit and
    for other contracts that the Director determines
    adjustments are justified.
    (5) Computation of Present Value. Any paid-up annuity
benefit available under a contract shall be such that its
present value on the date annuity payments are to commence is
at least equal to the minimum nonforfeiture amount on that
date. Present value shall be computed using the mortality
table, if any, and the interest rates specified in the
contract for determining the minimum paid-up annuity benefits
guaranteed in the contract.
    (6) Calculation of Cash Surrender Value. For contracts
that provide cash surrender benefits, the cash surrender
benefits available prior to maturity shall not be less than
the present value as of the date of surrender of that portion
of the maturity value of the paid-up annuity benefit that
would be provided under the contract at maturity arising from
considerations paid prior to the time of cash surrender
reduced by the amount appropriate to reflect any prior
withdrawals from or partial surrenders of the contract, such
present value being calculated on the basis of an interest
rate not more than 1% higher than the interest rate specified
in the contract for accumulating the net considerations to
determine maturity value, decreased by the amount of any
indebtedness to the company on the contract, including
interest due and accrued, and increased by any existing
additional amounts credited by the company to the contract. In
no event shall any cash surrender benefit be less than the
minimum nonforfeiture amount at that time. The death benefit
under such contracts shall be at least equal to the cash
surrender benefit.
    (7) Calculation of Paid-up Annuity Benefits. For contracts
that do not provide cash surrender benefits, the present value
of any paid-up annuity benefit available as a nonforfeiture
option at any time prior to maturity shall not be less than the
present value of that portion of the maturity value of the
paid-up annuity benefit provided under the contract arising
from considerations paid prior to the time the contract is
surrendered in exchange for, or changed to, a deferred paid-up
annuity, such present value being calculated for the period
prior to the maturity date on the basis of the interest rate
specified in the contract for accumulating the net
considerations to determine maturity value, and increased by
any additional amounts credited by the company to the
contract. For contracts that do not provide any death benefits
prior to the commencement of any annuity payments, present
values shall be calculated on the basis of such interest rate
and the mortality table specified in the contract for
determining the maturity value of the paid-up annuity benefit.
However, in no event shall the present value of a paid-up
annuity benefit be less than the minimum nonforfeiture amount
at that time.
    (8) Maturity Date. For the purpose of determining the
benefits calculated under subsections (6) and (7), in the case
of annuity contracts under which an election may be made to
have annuity payments commence at optional maturity dates, the
maturity date shall be deemed to be the latest date for which
election shall be permitted by the contract, but shall not be
deemed to be later than the anniversary of the contract next
following the annuitant's seventieth birthday or the tenth
anniversary of the contract, whichever is later.
    (9) Disclosure of Limited Death Benefits. A contract that
does not provide cash surrender benefits or does not provide
death benefits at least equal to the minimum nonforfeiture
amount prior to the commencement of any annuity payments shall
include a statement in a prominent place in the contract that
such benefits are not provided.
    (10) Inclusion of Lapse of Time Considerations. Any
paid-up annuity, cash surrender or death benefits available at
any time, other than on the contract anniversary under any
contract with fixed scheduled considerations, shall be
calculated with allowance for the lapse of time and the
payment of any scheduled considerations beyond the beginning
of the contract year in which cessation of payment of
considerations under the contract occurs.
    (11) Proration of Values; Additional Benefits. For a
contract which provides, within the same contract by rider or
supplemental contract provision, both annuity benefits and
life insurance benefits that are in excess of the greater of
cash surrender benefits or a return of the gross
considerations with interest, the minimum nonforfeiture
benefits shall be equal to the sum of the minimum
nonforfeiture benefits for the annuity portion and the minimum
nonforfeiture benefits, if any, for the life insurance portion
computed as if each portion were a separate contract.
Notwithstanding the provisions of subsections (5), (6), (7),
(8) and (10), additional benefits payable in the event of
total and permanent disability, as reversionary annuity or
deferred reversionary annuity benefits, or as other policy
benefits additional to life insurance, endowment and annuity
benefits, and considerations for all such additional benefits,
shall be disregarded in ascertaining the minimum nonforfeiture
amounts, paid-up annuity, cash surrender and death benefits
that may be required under this Section. The inclusion of such
benefits shall not be required in any paid-up benefits, unless
the additional benefits separately would require minimum
nonforfeiture amounts, paid-up annuity, cash surrender and
death benefits.
    (12) Rules. The Director may adopt rules to implement the
provisions of this Section.
    (13) Effective Date. After the effective date of this
amendatory Act of the 93rd General Assembly, a company may
elect to apply its provisions to annuity contracts on a
contract form-by-contract form basis before July 1, 2006. In
all other instances, this Section shall become operative with
respect to annuity contracts issued by the company on or after
July 1, 2006.
    (14) (Blank).
(Source: P.A. 93-873, eff. 8-6-04; 94-1076, eff. 12-29-06.)
 
    (215 ILCS 5/353a)  (from Ch. 73, par. 965a)
    Sec. 353a. Accident and health reserves.
    The reserves for all accident and health policies issued
after the operative date of this section shall be computed and
maintained on a basis which shall place an actuarially sound
value on the liabilities under such policies. To provide a
basis for the determination of such actuarially sound value,
the Director from time to time shall adopt rules requiring the
use of appropriate tables of morbidity, mortality, interest
rates and valuation methods for such reserves for policies
issued before January 1, 2017. For policies issued on or after
January 1, 2017, Section 223 shall govern the basis for
determining such actuarially sound value. In no event shall
such reserves be less than the pro rata gross unearned premium
reserve for such policies.
    The company shall give the notice required in section 234
on all non-cancellable accident and health policies.
    After this section becomes effective, any company may file
with the Director written notice of its election to comply
with the provisions of this section after a specified date
before January 1, 1967. After the filing of such notice, then
upon such specified date (which shall be the operative date of
this section for such company), this section shall become
operative with respect to the accident and health policies
thereafter issued by such company. If a company makes no such
election, the operative date of this section for such company
shall be January 1, 1967.
    After this section becomes effective, any company may file
with the Director written notice of its election to establish
and maintain reserves upon its accident and health policies
issued prior to the operative date of this section in
accordance with the standards for reserves established by this
section, and thereafter the reserve standards prescribed
pursuant to this section shall be effective with respect to
said accident and health policies issued prior to the
operative date of this section.
(Source: Laws 1965, p. 740.)
 
    (215 ILCS 5/355a)  (from Ch. 73, par. 967a)
    Sec. 355a. Standardization of terms and coverage.
    (1) The purposes of this Section shall be (a) to provide
reasonable standardization and simplification of terms and
coverages of individual accident and health insurance policies
to facilitate public understanding and comparisons; (b) to
eliminate provisions contained in individual accident and
health insurance policies which may be misleading or
unreasonably confusing in connection either with the purchase
of such coverages or with the settlement of claims; and (c) to
provide for reasonable disclosure in the sale of accident and
health coverages.
    (2) Definitions applicable to this Section are as follows:
        (a) "Policy" means all or any part of the forms
    constituting the contract between the insurer and the
    insured, including the policy, certificate, subscriber
    contract, riders, endorsements, and the application if
    attached, which are subject to filing with and approval by
    the Director.
        (b) "Service corporations" means voluntary health and
    dental corporations organized and operating respectively
    under the Voluntary Health Services Plans Act and the
    Dental Service Plan Act.
        (c) "Accident and health insurance" means insurance
    written under Article XX of this Code, other than credit
    accident and health insurance, and coverages provided in
    subscriber contracts issued by service corporations. For
    purposes of this Section such service corporations shall
    be deemed to be insurers engaged in the business of
    insurance.
    (3) The Director shall issue such rules as he shall deem
necessary or desirable to establish specific standards,
including standards of full and fair disclosure that set forth
the form and content and required disclosure for sale, of
individual policies of accident and health insurance, which
rules and regulations shall be in addition to and in
accordance with the applicable laws of this State, and which
may cover but shall not be limited to: (a) terms of
renewability; (b) initial and subsequent conditions of
eligibility; (c) non-duplication of coverage provisions; (d)
coverage of dependents; (e) pre-existing conditions; (f)
termination of insurance; (g) probationary periods; (h)
limitation, exceptions, and reductions; (i) elimination
periods; (j) requirements regarding replacements; (k)
recurrent conditions; and (l) the definition of terms,
including, but not limited to, the following: hospital,
accident, sickness, injury, physician, accidental means, total
disability, partial disability, nervous disorder, guaranteed
renewable, and non-cancellable.
    The Director may issue rules that specify prohibited
policy provisions not otherwise specifically authorized by
statute which in the opinion of the Director are unjust,
unfair or unfairly discriminatory to the policyholder, any
person insured under the policy, or beneficiary.
    (4) The Director shall issue such rules as he shall deem
necessary or desirable to establish minimum standards for
benefits under each category of coverage in individual
accident and health policies, other than conversion policies
issued pursuant to a contractual conversion privilege under a
group policy, including but not limited to the following
categories: (a) basic hospital expense coverage; (b) basic
medical-surgical expense coverage; (c) hospital confinement
indemnity coverage; (d) major medical expense coverage; (e)
disability income protection coverage; (f) accident only
coverage; and (g) specified disease or specified accident
coverage.
    Nothing in this subsection (4) shall preclude the issuance
of any policy which combines two or more of the categories of
coverage enumerated in subparagraphs (a) through (f) of this
subsection.
    No policy shall be delivered or issued for delivery in
this State which does not meet the prescribed minimum
standards for the categories of coverage listed in this
subsection unless the Director finds that such policy is
necessary to meet specific needs of individuals or groups and
such individuals or groups will be adequately informed that
such policy does not meet the prescribed minimum standards,
and such policy meets the requirement that the benefits
provided therein are reasonable in relation to the premium
charged. The standards and criteria to be used by the Director
in approving such policies shall be included in the rules
required under this Section with as much specificity as
practicable.
    The Director shall prescribe by rule the method of
identification of policies based upon coverages provided.
    (5) (a) In order to provide for full and fair disclosure in
the sale of individual accident and health insurance policies,
no such policy shall be delivered or issued for delivery in
this State unless the outline of coverage described in
paragraph (b) of this subsection either accompanies the
policy, or is delivered to the applicant at the time the
application is made, and an acknowledgment signed by the
insured, of receipt of delivery of such outline, is provided
to the insurer. In the event the policy is issued on a basis
other than that applied for, the outline of coverage properly
describing the policy must accompany the policy when it is
delivered and such outline shall clearly state that the policy
differs, and to what extent, from that for which application
was originally made. All policies, except single premium
nonrenewal policies, shall have a notice prominently printed
on the first page of the policy or attached thereto stating in
substance, that the policyholder shall have the right to
return the policy within 10 days of its delivery and to have
the premium refunded if after examination of the policy the
policyholder is not satisfied for any reason.
    (b) The Director shall issue such rules as he shall deem
necessary or desirable to prescribe the format and content of
the outline of coverage required by paragraph (a) of this
subsection. "Format" means style, arrangement, and overall
appearance, including such items as the size, color, and
prominence of type and the arrangement of text and captions.
"Content" shall include without limitation thereto, statements
relating to the particular policy as to the applicable
category of coverage prescribed under subsection (4);
principal benefits; exceptions, reductions and limitations;
and renewal provisions, including any reservation by the
insurer of a right to change premiums. Such outline of
coverage shall clearly state that it constitutes a summary of
the policy issued or applied for and that the policy should be
consulted to determine governing contractual provisions.
    (c) (Blank). Without limiting the generality of paragraph
(b) of this subsection (5), no qualified health plans shall be
offered for sale directly to consumers through the health
insurance marketplace operating in the State in accordance
with Sections 1311 and 1321 of the federal Patient Protection
and Affordable Care Act of 2010 (Public Law 111-148), as
amended by the federal Health Care and Education
Reconciliation Act of 2010 (Public Law 111-152), and any
amendments thereto, or regulations or guidance issued
thereunder (collectively, "the Federal Act"), unless the
following information is made available to the consumer at the
time he or she is comparing policies and their premiums:
        (i) With respect to prescription drug benefits, the
    most recently published formulary where a consumer can
    view in one location covered prescription drugs;
    information on tiering and the cost-sharing structure for
    each tier; and information about how a consumer can obtain
    specific copayment amounts or coinsurance percentages for
    a specific qualified health plan before enrolling in that
    plan. This information shall clearly identify the
    qualified health plan to which it applies.
        (ii) The most recently published provider directory
    where a consumer can view the provider network that
    applies to each qualified health plan and information
    about each provider, including location, contact
    information, specialty, medical group, if any, any
    institutional affiliation, and whether the provider is
    accepting new patients at each of the specific locations
    listing the provider. Dental providers shall notify
    qualified health plans electronically or in writing of any
    changes to their information as listed in the provider
    directory. Qualified health plans shall update their
    directories in a manner consistent with the information
    provided by the provider or dental management service
    organization within 10 business days after being notified
    of the change by the provider. Nothing in this paragraph
    (ii) shall void any contractual relationship between the
    provider and the plan. The information shall clearly
    identify the qualified health plan to which it applies.
    (d) (Blank). Each company that offers qualified health
plans for sale directly to consumers through the health
insurance marketplace operating in the State shall make the
information in paragraph (c) of this subsection (5), for each
qualified health plan that it offers, available and accessible
to the general public on the company's Internet website and
through other means for individuals without access to the
Internet.
    (e) (Blank). The Department shall ensure that
State-operated Internet websites, in addition to the Internet
website for the health insurance marketplace established in
this State in accordance with the Federal Act, prominently
provide links to Internet-based materials and tools to help
consumers be informed purchasers of health insurance.
    (f) (Blank). Nothing in this Section shall be interpreted
or implemented in a manner not consistent with the Federal
Act. This Section shall apply to all qualified health plans
offered for sale directly to consumers through the health
insurance marketplace operating in this State for any coverage
year beginning on or after January 1, 2015.
    (6) Prior to the issuance of rules pursuant to this
Section, the Director shall afford the public, including the
companies affected thereby, reasonable opportunity for
comment. Such rulemaking is subject to the provisions of the
Illinois Administrative Procedure Act.
    (7) When a rule has been adopted, pursuant to this
Section, all policies of insurance or subscriber contracts
which are not in compliance with such rule shall, when so
provided in such rule, be deemed to be disapproved as of a date
specified in such rule not less than 120 days following its
effective date, without any further or additional notice other
than the adoption of the rule.
    (8) When a rule adopted pursuant to this Section so
provides, a policy of insurance or subscriber contract which
does not comply with the rule shall, not less than 120 days
from the effective date of such rule, be construed, and the
insurer or service corporation shall be liable, as if the
policy or contract did comply with the rule.
    (9) Violation of any rule adopted pursuant to this Section
shall be a violation of the insurance law for purposes of
Sections 370 and 446 of this Code.
(Source: P.A. 99-329, eff. 1-1-16; 100-201, eff. 8-18-17.)
 
    (215 ILCS 5/355c new)
    Sec. 355c. Availability of information on qualified health
plans.
    (a) Without limiting the generality of paragraph (b) of
subsection (5) of Section 355a, no qualified health plans
shall be offered for sale directly to consumers through the
health insurance marketplace operating in this State in
accordance with Sections 1311 and 1321 of the federal Patient
Protection and Affordable Care Act of 2010 (Public Law
111-148), as amended by the federal Health Care and Education
Reconciliation Act of 2010 (Public Law 111-152), and any
amendments thereto, or regulations or guidance issued
thereunder (collectively, "the Federal Act"), unless the
following information is made available to the consumer at the
time he or she is comparing policies and their premiums:
        (1) With respect to prescription drug benefits, the
    most recently published formulary where a consumer can
    view in one location covered prescription drugs;
    information on tiering and the cost-sharing structure for
    each tier; and information about how a consumer can obtain
    specific copayment amounts or coinsurance percentages for
    a specific qualified health plan before enrolling in that
    plan. This information shall clearly identify the
    qualified health plan to which it applies.
        (2) The most recently published provider directory
    where a consumer can view the provider network that
    applies to each qualified health plan and information
    about each provider, including location, contact
    information, specialty, medical group, if any, any
    institutional affiliation, and whether the provider is
    accepting new patients at each of the specific locations
    listing the provider. Dental providers shall notify
    qualified health plans electronically or in writing of any
    changes to their information as listed in the provider
    directory. Qualified health plans shall update their
    directories in a manner consistent with the information
    provided by the provider or dental management service
    organization within 10 business days after being notified
    of the change by the provider. Nothing in this paragraph
    (2) shall void any contractual relationship between the
    provider and the plan. The information shall clearly
    identify the qualified health plan to which it applies.
    (b) Each company that offers qualified health plans for
sale directly to consumers through the health insurance
marketplace operating in this State shall make the information
in subsection (a), for each qualified health plan that it
offers, available and accessible to the general public on the
company's website and through other means for individuals
without access to the Internet.
    (c) The Department shall ensure that State-operated
websites, in addition to the website for the health insurance
marketplace established in this State in accordance with the
Federal Act, prominently provide links to Internet-based
materials and tools to help consumers be informed purchasers
of health insurance.
    (d) Nothing in this Section shall be interpreted or
implemented in a manner not consistent with the Federal Act.
This Section shall apply to all qualified health plans offered
for sale directly to consumers through the health insurance
marketplace operating in this State for any coverage year
beginning on or after January 1, 2015.
 
    (215 ILCS 5/408)  (from Ch. 73, par. 1020)
    Sec. 408. Fees and charges.
    (1) The Director shall charge, collect and give proper
acquittances for the payment of the following fees and
charges:
        (a) For filing all documents submitted for the
    incorporation or organization or certification of a
    domestic company, except for a fraternal benefit society,
    $2,000.
        (b) For filing all documents submitted for the
    incorporation or organization of a fraternal benefit
    society, $500.
        (c) For filing amendments to articles of incorporation
    and amendments to declaration of organization, except for
    a fraternal benefit society, a mutual benefit association,
    a burial society or a farm mutual, $200.
        (d) For filing amendments to articles of incorporation
    of a fraternal benefit society, a mutual benefit
    association or a burial society, $100.
        (e) For filing amendments to articles of incorporation
    of a farm mutual, $50.
        (f) For filing bylaws or amendments thereto, $50.
        (g) For filing agreement of merger or consolidation:
            (i) for a domestic company, except for a fraternal
        benefit society, a mutual benefit association, a
        burial society, or a farm mutual, $2,000.
            (ii) for a foreign or alien company, except for a
        fraternal benefit society, $600.
            (iii) for a fraternal benefit society, a mutual
        benefit association, a burial society, or a farm
        mutual, $200.
        (h) For filing agreements of reinsurance by a domestic
    company, $200.
        (i) For filing all documents submitted by a foreign or
    alien company to be admitted to transact business or
    accredited as a reinsurer in this State, except for a
    fraternal benefit society, $5,000.
        (j) For filing all documents submitted by a foreign or
    alien fraternal benefit society to be admitted to transact
    business in this State, $500.
        (k) For filing declaration of withdrawal of a foreign
    or alien company, $50.
        (l) For filing annual statement by a domestic company,
    except a fraternal benefit society, a mutual benefit
    association, a burial society, or a farm mutual, $200.
        (m) For filing annual statement by a domestic
    fraternal benefit society, $100.
        (n) For filing annual statement by a farm mutual, a
    mutual benefit association, or a burial society, $50.
        (o) For issuing a certificate of authority or renewal
    thereof except to a foreign fraternal benefit society,
    $400.
        (p) For issuing a certificate of authority or renewal
    thereof to a foreign fraternal benefit society, $200.
        (q) For issuing an amended certificate of authority,
    $50.
        (r) For each certified copy of certificate of
    authority, $20.
        (s) For each certificate of deposit, or valuation, or
    compliance or surety certificate, $20.
        (t) For copies of papers or records per page, $1.
        (u) For each certification to copies of papers or
    records, $10.
        (v) For multiple copies of documents or certificates
    listed in subparagraphs (r), (s), and (u) of paragraph (1)
    of this Section, $10 for the first copy of a certificate of
    any type and $5 for each additional copy of the same
    certificate requested at the same time, unless, pursuant
    to paragraph (2) of this Section, the Director finds these
    additional fees excessive.
        (w) For issuing a permit to sell shares or increase
    paid-up capital:
            (i) in connection with a public stock offering,
        $300;
            (ii) in any other case, $100.
        (x) For issuing any other certificate required or
    permissible under the law, $50.
        (y) For filing a plan of exchange of the stock of a
    domestic stock insurance company, a plan of
    demutualization of a domestic mutual company, or a plan of
    reorganization under Article XII, $2,000.
        (z) For filing a statement of acquisition of a
    domestic company as defined in Section 131.4 of this Code,
    $2,000.
        (aa) For filing an agreement to purchase the business
    of an organization authorized under the Dental Service
    Plan Act or the Voluntary Health Services Plans Act or of a
    health maintenance organization or a limited health
    service organization, $2,000.
        (bb) For filing a statement of acquisition of a
    foreign or alien insurance company as defined in Section
    131.12a of this Code, $1,000.
        (cc) For filing a registration statement as required
    in Sections 131.13 and 131.14, the notification as
    required by Sections 131.16, 131.20a, or 141.4, or an
    agreement or transaction required by Sections 124.2(2),
    141, 141a, or 141.1, $200.
        (dd) For filing an application for licensing of:
            (i) a religious or charitable risk pooling trust
        or a workers' compensation pool, $1,000;
            (ii) a workers' compensation service company,
        $500;
            (iii) a self-insured automobile fleet, $200; or
            (iv) a renewal of or amendment of any license
        issued pursuant to (i), (ii), or (iii) above, $100.
        (ee) For filing articles of incorporation for a
    syndicate to engage in the business of insurance through
    the Illinois Insurance Exchange, $2,000.
        (ff) For filing amended articles of incorporation for
    a syndicate engaged in the business of insurance through
    the Illinois Insurance Exchange, $100.
        (gg) For filing articles of incorporation for a
    limited syndicate to join with other subscribers or
    limited syndicates to do business through the Illinois
    Insurance Exchange, $1,000.
        (hh) For filing amended articles of incorporation for
    a limited syndicate to do business through the Illinois
    Insurance Exchange, $100.
        (ii) For a permit to solicit subscriptions to a
    syndicate or limited syndicate, $100.
        (jj) For the filing of each form as required in
    Section 143 of this Code, $50 per form. Informational and
    advertising filings shall be $25 per filing. The fee for
    advisory and rating organizations shall be $200 per form.
            (i) For the purposes of the form filing fee,
        filings made on insert page basis will be considered
        one form at the time of its original submission.
        Changes made to a form subsequent to its approval
        shall be considered a new filing.
            (ii) Only one fee shall be charged for a form,
        regardless of the number of other forms or policies
        with which it will be used.
            (iii) Fees charged for a policy filed as it will be
        issued regardless of the number of forms comprising
        that policy shall not exceed $1,500. For advisory or
        rating organizations, fees charged for a policy filed
        as it will be issued regardless of the number of forms
        comprising that policy shall not exceed $2,500.
            (iv) The Director may by rule exempt forms from
        such fees.
        (kk) For filing an application for licensing of a
    reinsurance intermediary, $500.
        (ll) For filing an application for renewal of a
    license of a reinsurance intermediary, $200.
        (mm) For filing a plan of division of a domestic stock
    company under Article IIB, $10,000.
        (nn) For filing all documents submitted by a foreign
    or alien company to be a certified reinsurer in this
    State, except for a fraternal benefit society, $1,000.
        (oo) For filing a renewal by a foreign or alien
    company to be a certified reinsurer in this State, except
    for a fraternal benefit society, $400.
        (pp) For filing all documents submitted by a reinsurer
    domiciled in a reciprocal jurisdiction, $1,000.
        (qq) For filing a renewal by a reinsurer domiciled in
    a reciprocal jurisdiction, $400.
        (rr) For registering a captive management company or
    renewal thereof, $50.
    (2) When printed copies or numerous copies of the same
paper or records are furnished or certified, the Director may
reduce such fees for copies if he finds them excessive. He may,
when he considers it in the public interest, furnish without
charge to state insurance departments and persons other than
companies, copies or certified copies of reports of
examinations and of other papers and records.
    (3) The expenses incurred in any performance examination
authorized by law shall be paid by the company or person being
examined. The charge shall be reasonably related to the cost
of the examination including but not limited to compensation
of examiners, electronic data processing costs, supervision
and preparation of an examination report and lodging and
travel expenses. All lodging and travel expenses shall be in
accord with the applicable travel regulations as published by
the Department of Central Management Services and approved by
the Governor's Travel Control Board, except that out-of-state
lodging and travel expenses related to examinations authorized
under Section 132 shall be in accordance with travel rates
prescribed under paragraph 301-7.2 of the Federal Travel
Regulations, 41 C.F.R. 301-7.2, for reimbursement of
subsistence expenses incurred during official travel. All
lodging and travel expenses may be reimbursed directly upon
authorization of the Director. With the exception of the
direct reimbursements authorized by the Director, all
performance examination charges collected by the Department
shall be paid to the Insurance Producer Administration Fund,
however, the electronic data processing costs incurred by the
Department in the performance of any examination shall be
billed directly to the company being examined for payment to
the Technology Management Revolving Fund.
    (4) At the time of any service of process on the Director
as attorney for such service, the Director shall charge and
collect the sum of $40 $20, which may be recovered as taxable
costs by the party to the suit or action causing such service
to be made if he prevails in such suit or action.
    (5) (a) The costs incurred by the Department of Insurance
in conducting any hearing authorized by law shall be assessed
against the parties to the hearing in such proportion as the
Director of Insurance may determine upon consideration of all
relevant circumstances including: (1) the nature of the
hearing; (2) whether the hearing was instigated by, or for the
benefit of a particular party or parties; (3) whether there is
a successful party on the merits of the proceeding; and (4) the
relative levels of participation by the parties.
    (b) For purposes of this subsection (5) costs incurred
shall mean the hearing officer fees, court reporter fees, and
travel expenses of Department of Insurance officers and
employees; provided however, that costs incurred shall not
include hearing officer fees or court reporter fees unless the
Department has retained the services of independent
contractors or outside experts to perform such functions.
    (c) The Director shall make the assessment of costs
incurred as part of the final order or decision arising out of
the proceeding; provided, however, that such order or decision
shall include findings and conclusions in support of the
assessment of costs. This subsection (5) shall not be
construed as permitting the payment of travel expenses unless
calculated in accordance with the applicable travel
regulations of the Department of Central Management Services,
as approved by the Governor's Travel Control Board. The
Director as part of such order or decision shall require all
assessments for hearing officer fees and court reporter fees,
if any, to be paid directly to the hearing officer or court
reporter by the party(s) assessed for such costs. The
assessments for travel expenses of Department officers and
employees shall be reimbursable to the Director of Insurance
for deposit to the fund out of which those expenses had been
paid.
    (d) The provisions of this subsection (5) shall apply in
the case of any hearing conducted by the Director of Insurance
not otherwise specifically provided for by law.
    (6) The Director shall charge and collect an annual
financial regulation fee from every domestic company for
examination and analysis of its financial condition and to
fund the internal costs and expenses of the Interstate
Insurance Receivership Commission as may be allocated to the
State of Illinois and companies doing an insurance business in
this State pursuant to Article X of the Interstate Insurance
Receivership Compact. The fee shall be the greater fixed
amount based upon the combination of nationwide direct premium
income and nationwide reinsurance assumed premium income or
upon admitted assets calculated under this subsection as
follows:
        (a) Combination of nationwide direct premium income
    and nationwide reinsurance assumed premium.
            (i) $150, if the premium is less than $500,000 and
        there is no reinsurance assumed premium;
            (ii) $750, if the premium is $500,000 or more, but
        less than $5,000,000 and there is no reinsurance
        assumed premium; or if the premium is less than
        $5,000,000 and the reinsurance assumed premium is less
        than $10,000,000;
            (iii) $3,750, if the premium is less than
        $5,000,000 and the reinsurance assumed premium is
        $10,000,000 or more;
            (iv) $7,500, if the premium is $5,000,000 or more,
        but less than $10,000,000;
            (v) $18,000, if the premium is $10,000,000 or
        more, but less than $25,000,000;
            (vi) $22,500, if the premium is $25,000,000 or
        more, but less than $50,000,000;
            (vii) $30,000, if the premium is $50,000,000 or
        more, but less than $100,000,000;
            (viii) $37,500, if the premium is $100,000,000 or
        more.
        (b) Admitted assets.
            (i) $150, if admitted assets are less than
        $1,000,000;
            (ii) $750, if admitted assets are $1,000,000 or
        more, but less than $5,000,000;
            (iii) $3,750, if admitted assets are $5,000,000 or
        more, but less than $25,000,000;
            (iv) $7,500, if admitted assets are $25,000,000 or
        more, but less than $50,000,000;
            (v) $18,000, if admitted assets are $50,000,000 or
        more, but less than $100,000,000;
            (vi) $22,500, if admitted assets are $100,000,000
        or more, but less than $500,000,000;
            (vii) $30,000, if admitted assets are $500,000,000
        or more, but less than $1,000,000,000;
            (viii) $37,500, if admitted assets are
        $1,000,000,000 or more.
        (c) The sum of financial regulation fees charged to
    the domestic companies of the same affiliated group shall
    not exceed $250,000 in the aggregate in any single year
    and shall be billed by the Director to the member company
    designated by the group.
    (7) The Director shall charge and collect an annual
financial regulation fee from every foreign or alien company,
except fraternal benefit societies, for the examination and
analysis of its financial condition and to fund the internal
costs and expenses of the Interstate Insurance Receivership
Commission as may be allocated to the State of Illinois and
companies doing an insurance business in this State pursuant
to Article X of the Interstate Insurance Receivership Compact.
The fee shall be a fixed amount based upon Illinois direct
premium income and nationwide reinsurance assumed premium
income in accordance with the following schedule:
        (a) $150, if the premium is less than $500,000 and
    there is no reinsurance assumed premium;
        (b) $750, if the premium is $500,000 or more, but less
    than $5,000,000 and there is no reinsurance assumed
    premium; or if the premium is less than $5,000,000 and the
    reinsurance assumed premium is less than $10,000,000;
        (c) $3,750, if the premium is less than $5,000,000 and
    the reinsurance assumed premium is $10,000,000 or more;
        (d) $7,500, if the premium is $5,000,000 or more, but
    less than $10,000,000;
        (e) $18,000, if the premium is $10,000,000 or more,
    but less than $25,000,000;
        (f) $22,500, if the premium is $25,000,000 or more,
    but less than $50,000,000;
        (g) $30,000, if the premium is $50,000,000 or more,
    but less than $100,000,000;
        (h) $37,500, if the premium is $100,000,000 or more.
    The sum of financial regulation fees under this subsection
(7) charged to the foreign or alien companies within the same
affiliated group shall not exceed $250,000 in the aggregate in
any single year and shall be billed by the Director to the
member company designated by the group.
    (8) Beginning January 1, 1992, the financial regulation
fees imposed under subsections (6) and (7) of this Section
shall be paid by each company or domestic affiliated group
annually. After January 1, 1994, the fee shall be billed by
Department invoice based upon the company's premium income or
admitted assets as shown in its annual statement for the
preceding calendar year. The invoice is due upon receipt and
must be paid no later than June 30 of each calendar year. All
financial regulation fees collected by the Department shall be
paid to the Insurance Financial Regulation Fund. The
Department may not collect financial examiner per diem charges
from companies subject to subsections (6) and (7) of this
Section undergoing financial examination after June 30, 1992.
    (9) In addition to the financial regulation fee required
by this Section, a company undergoing any financial
examination authorized by law shall pay the following costs
and expenses incurred by the Department: electronic data
processing costs, the expenses authorized under Section 131.21
and subsection (d) of Section 132.4 of this Code, and lodging
and travel expenses.
    Electronic data processing costs incurred by the
Department in the performance of any examination shall be
billed directly to the company undergoing examination for
payment to the Technology Management Revolving Fund. Except
for direct reimbursements authorized by the Director or direct
payments made under Section 131.21 or subsection (d) of
Section 132.4 of this Code, all financial regulation fees and
all financial examination charges collected by the Department
shall be paid to the Insurance Financial Regulation Fund.
    All lodging and travel expenses shall be in accordance
with applicable travel regulations published by the Department
of Central Management Services and approved by the Governor's
Travel Control Board, except that out-of-state lodging and
travel expenses related to examinations authorized under
Sections 132.1 through 132.7 shall be in accordance with
travel rates prescribed under paragraph 301-7.2 of the Federal
Travel Regulations, 41 C.F.R. 301-7.2, for reimbursement of
subsistence expenses incurred during official travel. All
lodging and travel expenses may be reimbursed directly upon
the authorization of the Director.
    In the case of an organization or person not subject to the
financial regulation fee, the expenses incurred in any
financial examination authorized by law shall be paid by the
organization or person being examined. The charge shall be
reasonably related to the cost of the examination including,
but not limited to, compensation of examiners and other costs
described in this subsection.
    (10) Any company, person, or entity failing to make any
payment of $150 or more as required under this Section shall be
subject to the penalty and interest provisions provided for in
subsections (4) and (7) of Section 412.
    (11) Unless otherwise specified, all of the fees collected
under this Section shall be paid into the Insurance Financial
Regulation Fund.
    (12) For purposes of this Section:
        (a) "Domestic company" means a company as defined in
    Section 2 of this Code which is incorporated or organized
    under the laws of this State, and in addition includes a
    not-for-profit corporation authorized under the Dental
    Service Plan Act or the Voluntary Health Services Plans
    Act, a health maintenance organization, and a limited
    health service organization.
        (b) "Foreign company" means a company as defined in
    Section 2 of this Code which is incorporated or organized
    under the laws of any state of the United States other than
    this State and in addition includes a health maintenance
    organization and a limited health service organization
    which is incorporated or organized under the laws of any
    state of the United States other than this State.
        (c) "Alien company" means a company as defined in
    Section 2 of this Code which is incorporated or organized
    under the laws of any country other than the United
    States.
        (d) "Fraternal benefit society" means a corporation,
    society, order, lodge or voluntary association as defined
    in Section 282.1 of this Code.
        (e) "Mutual benefit association" means a company,
    association or corporation authorized by the Director to
    do business in this State under the provisions of Article
    XVIII of this Code.
        (f) "Burial society" means a person, firm,
    corporation, society or association of individuals
    authorized by the Director to do business in this State
    under the provisions of Article XIX of this Code.
        (g) "Farm mutual" means a district, county and
    township mutual insurance company authorized by the
    Director to do business in this State under the provisions
    of the Farm Mutual Insurance Company Act of 1986.
(Source: P.A. 100-23, eff. 7-6-17.)
 
    (215 ILCS 5/412)  (from Ch. 73, par. 1024)
    Sec. 412. Refunds; penalties; collection.
    (1)(a) Whenever it appears to the satisfaction of the
Director that because of some mistake of fact, error in
calculation, or erroneous interpretation of a statute of this
or any other state, any authorized company, surplus line
producer, or industrial insured has paid to him, pursuant to
any provision of law, taxes, fees, or other charges in excess
of the amount legally chargeable against it, during the 6 year
period immediately preceding the discovery of such
overpayment, he shall have power to refund to such company,
surplus line producer, or industrial insured the amount of the
excess or excesses by applying the amount or amounts thereof
toward the payment of taxes, fees, or other charges already
due, or which may thereafter become due from that company
until such excess or excesses have been fully refunded, or
upon a written request from the authorized company, surplus
line producer, or industrial insured, the Director shall
provide a cash refund within 120 days after receipt of the
written request if all necessary information has been filed
with the Department in order for it to perform an audit of the
tax report for the transaction or period or annual return for
the year in which the overpayment occurred or within 120 days
after the date the Department receives all the necessary
information to perform such audit. The Director shall not
provide a cash refund if there are insufficient funds in the
Insurance Premium Tax Refund Fund to provide a cash refund, if
the amount of the overpayment is less than $100, or if the
amount of the overpayment can be fully offset against the
taxpayer's estimated liability for the year following the year
of the cash refund request. Any cash refund shall be paid from
the Insurance Premium Tax Refund Fund, a special fund hereby
created in the State treasury.
    (b) As determined by the Director pursuant to paragraph
(a) of this subsection Beginning January 1, 2000 and
thereafter, the Department shall deposit an amount of cash
refunds approved by the Director for payment as a result of
overpayment of tax liability a percentage of the amounts
collected under Sections 121-2.08, 409, 444, and 444.1, and
445 of this Code into the Insurance Premium Tax Refund Fund.
The percentage deposited into the Insurance Premium Tax Refund
Fund shall be the annual percentage. The annual percentage
shall be calculated as a fraction, the numerator of which
shall be the amount of cash refunds approved by the Director
for payment and paid during the preceding calendar year as a
result of overpayment of tax liability under Sections
121-2.08, 409, 444, 444.1, and 445 of this Code and the
denominator of which shall be the amounts collected pursuant
to Sections 121-2.08, 409, 444, 444.1, and 445 of this Code
during the preceding calendar year. However, if there were no
cash refunds paid in a preceding calendar year, the Department
shall deposit 5% of the amount collected in that preceding
calendar year pursuant to Sections 121-2.08, 409, 444, 444.1,
and 445 of this Code into the Insurance Premium Tax Refund Fund
instead of an amount calculated by using the annual
percentage.
    (c) Beginning July 1, 1999, moneys in the Insurance
Premium Tax Refund Fund shall be expended exclusively for the
purpose of paying cash refunds resulting from overpayment of
tax liability under Sections 121-2.08, 409, 444, 444.1, and
445 of this Code as determined by the Director pursuant to
subsection 1(a) of this Section. Cash refunds made in
accordance with this Section may be made from the Insurance
Premium Tax Refund Fund only to the extent that amounts have
been deposited and retained in the Insurance Premium Tax
Refund Fund.
    (d) This Section shall constitute an irrevocable and
continuing appropriation from the Insurance Premium Tax Refund
Fund for the purpose of paying cash refunds pursuant to the
provisions of this Section.
    (2)(a) When any insurance company fails to file any tax
return required under Sections 408.1, 409, 444, and 444.1 of
this Code or Section 12 of the Fire Investigation Act on the
date prescribed, including any extensions, there shall be
added as a penalty $400 or 10% of the amount of such tax,
whichever is greater, for each month or part of a month of
failure to file, the entire penalty not to exceed $2,000 or 50%
of the tax due, whichever is greater.
    (b) When any industrial insured or surplus line producer
fails to file any tax return or report required under Sections
121-2.08 and 445 of this Code or Section 12 of the Fire
Investigation Act on the date prescribed, including any
extensions, there shall be added:
        (i) as a late fee, if the return or report is received
    at least one day but not more than 7 days after the
    prescribed due date, $400 or 10% of the tax due, whichever
    is greater, the entire fee not to exceed $1,000;
        (ii) as a late fee, if the return or report is received
    at least 8 days but not more than 14 days after the
    prescribed due date, $400 or 10% of the tax due, whichever
    is greater, the entire fee not to exceed $1,500;
        (iii) as a late fee, if the return or report is
    received at least 15 days but not more than 21 days after
    the prescribed due date, $400 or 10% of the tax due,
    whichever is greater, the entire fee not to exceed $2,000;
    or
        (iv) as a penalty, if the return or report is received
    more than 21 days after the prescribed due date, $400 or
    10% of the tax due, whichever is greater, for each month or
    part of a month of failure to file, the entire penalty not
    to exceed $2,000 or 50% of the tax due, whichever is
    greater.
    A tax return or report shall be deemed received as of the
date mailed as evidenced by a postmark, proof of mailing on a
recognized United States Postal Service form or a form
acceptable to the United States Postal Service or other
commercial mail delivery service, or other evidence acceptable
to the Director.
    (3)(a) When any insurance company fails to pay the full
amount due under the provisions of this Section, Sections
408.1, 409, 444, or 444.1 of this Code, or Section 12 of the
Fire Investigation Act, there shall be added to the amount due
as a penalty an amount equal to 10% of the deficiency.
    (a-5) When any industrial insured or surplus line producer
fails to pay the full amount due under the provisions of this
Section, Sections 121-2.08 or 445 of this Code, or Section 12
of the Fire Investigation Act on the date prescribed, there
shall be added:
        (i) as a late fee, if the payment is received at least
    one day but not more than 7 days after the prescribed due
    date, 10% of the tax due, the entire fee not to exceed
    $1,000;
        (ii) as a late fee, if the payment is received at least
    8 days but not more than 14 days after the prescribed due
    date, 10% of the tax due, the entire fee not to exceed
    $1,500;
        (iii) as a late fee, if the payment is received at
    least 15 days but not more than 21 days after the
    prescribed due date, 10% of the tax due, the entire fee not
    to exceed $2,000; or
        (iv) as a penalty, if the return or report is received
    more than 21 days after the prescribed due date, 10% of the
    tax due.
    A tax payment shall be deemed received as of the date
mailed as evidenced by a postmark, proof of mailing on a
recognized United States Postal Service form or a form
acceptable to the United States Postal Service or other
commercial mail delivery service, or other evidence acceptable
to the Director.
    (b) If such failure to pay is determined by the Director to
be wilful, after a hearing under Sections 402 and 403, there
shall be added to the tax as a penalty an amount equal to the
greater of 50% of the deficiency or 10% of the amount due and
unpaid for each month or part of a month that the deficiency
remains unpaid commencing with the date that the amount
becomes due. Such amount shall be in lieu of any determined
under paragraph (a) or (a-5).
    (4) Any insurance company, industrial insured, or surplus
line producer that fails to pay the full amount due under this
Section or Sections 121-2.08, 408.1, 409, 444, 444.1, or 445
of this Code, or Section 12 of the Fire Investigation Act is
liable, in addition to the tax and any late fees and penalties,
for interest on such deficiency at the rate of 12% per annum,
or at such higher adjusted rates as are or may be established
under subsection (b) of Section 6621 of the Internal Revenue
Code, from the date that payment of any such tax was due,
determined without regard to any extensions, to the date of
payment of such amount.
    (5) The Director, through the Attorney General, may
institute an action in the name of the People of the State of
Illinois, in any court of competent jurisdiction, for the
recovery of the amount of such taxes, fees, and penalties due,
and prosecute the same to final judgment, and take such steps
as are necessary to collect the same.
    (6) In the event that the certificate of authority of a
foreign or alien company is revoked for any cause or the
company withdraws from this State prior to the renewal date of
the certificate of authority as provided in Section 114, the
company may recover the amount of any such tax paid in advance.
Except as provided in this subsection, no revocation or
withdrawal excuses payment of or constitutes grounds for the
recovery of any taxes or penalties imposed by this Code.
    (7) When an insurance company or domestic affiliated group
fails to pay the full amount of any fee of $200 or more due
under Section 408 of this Code, there shall be added to the
amount due as a penalty the greater of $100 or an amount equal
to 10% of the deficiency for each month or part of a month that
the deficiency remains unpaid.
    (8) The Department shall have a lien for the taxes, fees,
charges, fines, penalties, interest, other charges, or any
portion thereof, imposed or assessed pursuant to this Code,
upon all the real and personal property of any company or
person to whom the assessment or final order has been issued or
whenever a tax return is filed without payment of the tax or
penalty shown therein to be due, including all such property
of the company or person acquired after receipt of the
assessment, issuance of the order, or filing of the return.
The company or person is liable for the filing fee incurred by
the Department for filing the lien and the filing fee incurred
by the Department to file the release of that lien. The filing
fees shall be paid to the Department in addition to payment of
the tax, fee, charge, fine, penalty, interest, other charges,
or any portion thereof, included in the amount of the lien.
However, where the lien arises because of the issuance of a
final order of the Director or tax assessment by the
Department, the lien shall not attach and the notice referred
to in this Section shall not be filed until all administrative
proceedings or proceedings in court for review of the final
order or assessment have terminated or the time for the taking
thereof has expired without such proceedings being instituted.
    Upon the granting of Department review after a lien has
attached, the lien shall remain in full force except to the
extent to which the final assessment may be reduced by a
revised final assessment following the rehearing or review.
The lien created by the issuance of a final assessment shall
terminate, unless a notice of lien is filed, within 3 years
after the date all proceedings in court for the review of the
final assessment have terminated or the time for the taking
thereof has expired without such proceedings being instituted,
or (in the case of a revised final assessment issued pursuant
to a rehearing or review by the Department) within 3 years
after the date all proceedings in court for the review of such
revised final assessment have terminated or the time for the
taking thereof has expired without such proceedings being
instituted. Where the lien results from the filing of a tax
return without payment of the tax or penalty shown therein to
be due, the lien shall terminate, unless a notice of lien is
filed, within 3 years after the date when the return is filed
with the Department.
    The time limitation period on the Department's right to
file a notice of lien shall not run during any period of time
in which the order of any court has the effect of enjoining or
restraining the Department from filing such notice of lien. If
the Department finds that a company or person is about to
depart from the State, to conceal himself or his property, or
to do any other act tending to prejudice or to render wholly or
partly ineffectual proceedings to collect the amount due and
owing to the Department unless such proceedings are brought
without delay, or if the Department finds that the collection
of the amount due from any company or person will be
jeopardized by delay, the Department shall give the company or
person notice of such findings and shall make demand for
immediate return and payment of the amount, whereupon the
amount shall become immediately due and payable. If the
company or person, within 5 days after the notice (or within
such extension of time as the Department may grant), does not
comply with the notice or show to the Department that the
findings in the notice are erroneous, the Department may file
a notice of jeopardy assessment lien in the office of the
recorder of the county in which any property of the company or
person may be located and shall notify the company or person of
the filing. The jeopardy assessment lien shall have the same
scope and effect as the statutory lien provided for in this
Section. If the company or person believes that the company or
person does not owe some or all of the tax for which the
jeopardy assessment lien against the company or person has
been filed, or that no jeopardy to the revenue in fact exists,
the company or person may protest within 20 days after being
notified by the Department of the filing of the jeopardy
assessment lien and request a hearing, whereupon the
Department shall hold a hearing in conformity with the
provisions of this Code and, pursuant thereto, shall notify
the company or person of its findings as to whether or not the
jeopardy assessment lien will be released. If not, and if the
company or person is aggrieved by this decision, the company
or person may file an action for judicial review of the final
determination of the Department in accordance with the
Administrative Review Law. If, pursuant to such hearing (or
after an independent determination of the facts by the
Department without a hearing), the Department determines that
some or all of the amount due covered by the jeopardy
assessment lien is not owed by the company or person, or that
no jeopardy to the revenue exists, or if on judicial review the
final judgment of the court is that the company or person does
not owe some or all of the amount due covered by the jeopardy
assessment lien against them, or that no jeopardy to the
revenue exists, the Department shall release its jeopardy
assessment lien to the extent of such finding of nonliability
for the amount, or to the extent of such finding of no jeopardy
to the revenue. The Department shall also release its jeopardy
assessment lien against the company or person whenever the
amount due and owing covered by the lien, plus any interest
which may be due, are paid and the company or person has paid
the Department in cash or by guaranteed remittance an amount
representing the filing fee for the lien and the filing fee for
the release of that lien. The Department shall file that
release of lien with the recorder of the county where that lien
was filed.
    Nothing in this Section shall be construed to give the
Department a preference over the rights of any bona fide
purchaser, holder of a security interest, mechanics
lienholder, mortgagee, or judgment lien creditor arising prior
to the filing of a regular notice of lien or a notice of
jeopardy assessment lien in the office of the recorder in the
county in which the property subject to the lien is located.
For purposes of this Section, "bona fide" shall not include
any mortgage of real or personal property or any other credit
transaction that results in the mortgagee or the holder of the
security acting as trustee for unsecured creditors of the
company or person mentioned in the notice of lien who executed
such chattel or real property mortgage or the document
evidencing such credit transaction. The lien shall be inferior
to the lien of general taxes, special assessments, and special
taxes levied by any political subdivision of this State. In
case title to land to be affected by the notice of lien or
notice of jeopardy assessment lien is registered under the
provisions of the Registered Titles (Torrens) Act, such notice
shall be filed in the office of the Registrar of Titles of the
county within which the property subject to the lien is
situated and shall be entered upon the register of titles as a
memorial or charge upon each folium of the register of titles
affected by such notice, and the Department shall not have a
preference over the rights of any bona fide purchaser,
mortgagee, judgment creditor, or other lienholder arising
prior to the registration of such notice. The regular lien or
jeopardy assessment lien shall not be effective against any
purchaser with respect to any item in a retailer's stock in
trade purchased from the retailer in the usual course of the
retailer's business.
(Source: P.A. 98-158, eff. 8-2-13; 98-978, eff. 1-1-15.)
 
    (215 ILCS 5/416)
    Sec. 416. Illinois Workers' Compensation Commission
Operations Fund Surcharge.
    (a) As of July 30, 2004 (the effective date of Public Act
93-840), every company licensed or authorized by the Illinois
Department of Insurance and insuring employers' liabilities
arising under the Workers' Compensation Act or the Workers'
Occupational Diseases Act shall remit to the Director a
surcharge based upon the annual direct written premium, as
reported under Section 136 of this Act, of the company in the
manner provided in this Section. Such proceeds shall be
deposited into the Illinois Workers' Compensation Commission
Operations Fund as established in the Workers' Compensation
Act. If a company survives or was formed by a merger,
consolidation, reorganization, or reincorporation, the direct
written premiums of all companies party to the merger,
consolidation, reorganization, or reincorporation shall, for
purposes of determining the amount of the fee imposed by this
Section, be regarded as those of the surviving or new company.
    (b)(1) Except as provided in subsection (b)(2) of this
Section, beginning on July 30, 2004 (the effective date of
Public Act 93-840) and on July 1 of each year thereafter, the
Director shall charge an annual Illinois Workers' Compensation
Commission Operations Fund Surcharge from every company
subject to subsection (a) of this Section equal to 1.01% of its
direct written premium for insuring employers' liabilities
arising under the Workers' Compensation Act or Workers'
Occupational Diseases Act as reported in each company's annual
statement filed for the previous year as required by Section
136. The Illinois Workers' Compensation Commission Operations
Fund Surcharge shall be collected by companies subject to
subsection (a) of this Section as a separately stated
surcharge on insured employers at the rate of 1.01% of direct
written premium. The Illinois Workers' Compensation Commission
Operations Fund Surcharge shall not be collected by companies
subject to subsection (a) of this Section from any employer
that self-insures its liabilities arising under the Workers'
Compensation Act or Workers' Occupational Diseases Act,
provided that the employer has paid the Illinois Workers'
Compensation Commission Operations Fund Fee pursuant to
Section 4d of the Workers' Compensation Act. All sums
collected by the Department of Insurance under the provisions
of this Section shall be paid promptly after the receipt of the
same, accompanied by a detailed statement thereof, into the
Illinois Workers' Compensation Commission Operations Fund in
the State treasury.
    (b)(2) The surcharge due pursuant to Public Act 93-840
shall be collected instead of the surcharge due on July 1, 2004
under Public Act 93-32. Payment of the surcharge due under
Public Act 93-840 shall discharge the employer's obligations
due on July 1, 2004.
    (c) In addition to the authority specifically granted
under Article XXV of this Code, the Director shall have such
authority to adopt rules or establish forms as may be
reasonably necessary for purposes of enforcing this Section.
The Director shall also have authority to defer, waive, or
abate the surcharge or any penalties imposed by this Section
if in the Director's opinion the company's solvency and
ability to meet its insured obligations would be immediately
threatened by payment of the surcharge due.
    (d) When a company fails to pay the full amount of any
annual Illinois Workers' Compensation Commission Operations
Fund Surcharge of $100 or more due under this Section, there
shall be added to the amount due as a penalty the greater of
$1,000 or an amount equal to 10% 5% of the deficiency for each
month or part of a month that the deficiency remains unpaid.
    (e) The Department of Insurance may enforce the collection
of any delinquent payment, penalty, or portion thereof by
legal action or in any other manner by which the collection of
debts due the State of Illinois may be enforced under the laws
of this State.
    (f) Whenever it appears to the satisfaction of the
Director that a company has paid pursuant to this Act an
Illinois Workers' Compensation Commission Operations Fund
Surcharge in an amount in excess of the amount legally
collectable from the company, the Director shall issue a
credit memorandum for an amount equal to the amount of such
overpayment. A credit memorandum may be applied for the 2-year
period from the date of issuance, against the payment of any
amount due during that period under the surcharge imposed by
this Section or, subject to reasonable rule of the Department
of Insurance including requirement of notification, may be
assigned to any other company subject to regulation under this
Act. Any application of credit memoranda after the period
provided for in this Section is void.
    (g) Annually, the Governor may direct a transfer of up to
2% of all moneys collected under this Section to the Insurance
Financial Regulation Fund.
(Source: P.A. 95-331, eff. 8-21-07.)
 
    (215 ILCS 5/356z.27 rep.)
    Section 15. The Illinois Insurance Code is amended by
repealing Section 356z.27.
 
    Section 20. The Illinois Health Insurance Portability and
Accountability Act is amended by changing Section 20 as
follows:
 
    (215 ILCS 97/20)
    Sec. 20. Increased portability through prohibition of
limitation on preexisting condition exclusions.
    (A) No health insurance coverage issued, amended,
delivered, or renewed on or after the effective date of this
amendatory Act of the 102nd General Assembly may impose any
preexisting condition exclusion with respect to the plan or
coverage. This provision does not apply to the provision of
excepted benefits as described in paragraph (2) of subsection
(C). Limitation of preexisting condition exclusion period;
crediting for periods of previous coverage. Subject to
subsection (D), a group health plan, and a health insurance
issuer offering group health insurance coverage, may, with
respect to a participant or beneficiary, impose a preexisting
condition exclusion only if:
        (1) the exclusion relates to a condition (whether
    physical or mental), regardless of the cause of the
    condition, for which medical advice, diagnosis, care, or
    treatment was recommended or received within the 6-month
    period ending on the enrollment date;
        (2) the exclusion extends for a period of not more
    than 12 months (or 18 months in the case of a late
    enrollee) after the enrollment date; and
        (3) the period of any such preexisting condition
    exclusion is reduced by the aggregate of the periods of
    creditable coverage (if any, as defined in subsection
    (C)(1)) applicable to the participant or beneficiary as of
    the enrollment date.
    (B) (Blank). Preexisting condition exclusion. A group
health plan, and health insurance issuer offering group health
insurance coverage, may not impose any preexisting condition
exclusion relating to pregnancy as a preexisting condition.
    Genetic information shall not be treated as a condition
described in subsection (A)(1) in the absence of a diagnosis
of the condition related to such information.
    (C) Rules relating to crediting previous coverage.
        (1) Creditable coverage defined. For purposes of this
    Act, the term "creditable coverage" means, with respect to
    an individual, coverage of the individual under any of the
    following:
            (a) A group health plan.
            (b) Health insurance coverage.
            (c) Part A or part B of title XVIII of the Social
        Security Act.
            (d) Title XIX of the Social Security Act, other
        than coverage consisting solely of benefits under
        Section 1928.
            (e) Chapter 55 of title 10, United States Code.
            (f) A medical care program of the Indian Health
        Service or of a tribal organization.
            (g) A State health benefits risk pool.
            (h) A health plan offered under chapter 89 of
        title 5, United States Code.
            (i) A public health plan (as defined in
        regulations).
            (j) A health benefit plan under Section 5(e) of
        the Peace Corps Act (22 U.S.C. 2504(e)).
            (k) Title XXI of the federal Social Security Act,
        State Children's Health Insurance Program.
        Such term does not include coverage consisting solely
    of coverage of excepted benefits.
        (2) Excepted benefits. For purposes of this Act, the
    term "excepted benefits" means benefits under one or more
    of the following:
            (a) Benefits not subject to requirements:
                (i) Coverage only for accident, or disability
            income insurance, or any combination thereof.
                (ii) Coverage issued as a supplement to
            liability insurance.
                (iii) Liability insurance, including general
            liability insurance and automobile liability
            insurance.
                (iv) Workers' compensation or similar
            insurance.
                (v) Automobile medical payment insurance.
                (vi) Credit-only insurance.
                (vii) Coverage for on-site medical clinics.
                (viii) Other similar insurance coverage,
            specified in regulations, under which benefits for
            medical care are secondary or incidental to other
            insurance benefits.
            (b) Benefits not subject to requirements if
        offered separately:
                (i) Limited scope dental or vision benefits.
                (ii) Benefits for long-term care, nursing home
            care, home health care, community-based care, or
            any combination thereof.
                (iii) Such other similar, limited benefits as
            are specified in rules.
            (c) Benefits not subject to requirements if
        offered, as independent, noncoordinated benefits:
                (i) Coverage only for a specified disease or
            illness.
                (ii) Hospital indemnity or other fixed
            indemnity insurance.
            (d) Benefits not subject to requirements if
        offered as separate insurance policy. Medicare
        supplemental health insurance (as defined under
        Section 1882(g)(1) of the Social Security Act),
        coverage supplemental to the coverage provided under
        chapter 55 of title 10, United States Code, and
        similar supplemental coverage provided to coverage
        under a group health plan.
        (3) Not counting periods before significant breaks in
    coverage.
            (a) In general. A period of creditable coverage
        shall not be counted, with respect to enrollment of an
        individual under a group health plan, if, after such
        period and before the enrollment date, there was a
        63-day period during all of which the individual was
        not covered under any creditable coverage.
            (b) Waiting period not treated as a break in
        coverage. For purposes of subparagraph (a) and
        subsection (D)(3), any period that an individual is in
        a waiting period for any coverage under a group health
        plan (or for group health insurance coverage) or is in
        an affiliation period (as defined in subsection
        (G)(2)) shall not be taken into account in determining
        the continuous period under subparagraph (a).
        (4) (Blank). Method of crediting coverage.
            (a) Standard method. Except as otherwise provided
        under subparagraph (b), for purposes of applying
        subsection (A)(3), a group health plan, and a health
        insurance issuer offering group health insurance
        coverage, shall count a period of creditable coverage
        without regard to the specific benefits covered during
        the period.
            (b) Election of alternative method. A group health
        plan, or a health insurance issuer offering group
        health insurance, may elect to apply subsection (A)(3)
        based on coverage of benefits within each of several
        classes or categories of benefits specified in
        regulations rather than as provided under subparagraph
        (a). Such election shall be made on a uniform basis for
        all participants and beneficiaries. Under such
        election a group health plan or issuer shall count a
        period of creditable coverage with respect to any
        class or category of benefits if any level of benefits
        is covered within such class or category.
            (c) Plan notice. In the case of an election with
        respect to a group health plan under subparagraph (b)
        (whether or not health insurance coverage is provided
        in connection with such plan), the plan shall:
                (i) prominently state in any disclosure
            statements concerning the plan, and state to each
            enrollee at the time of enrollment under the plan,
            that the plan has made such election; and
                (ii) include in such statements a description
            of the effect of this election.
            (d) Issuer notice. In the case of an election
        under subparagraph (b) with respect to health
        insurance coverage offered by an issuer in the small
        or large group market, the issuer:
                (i) shall prominently state in any disclosure
            statements concerning the coverage, and to each
            employer at the time of the offer or sale of the
            coverage, that the issuer has made such election;
            and
                (ii) shall include in such statements a
            description of the effect of such election.
        (5) Establishment of period. Periods of creditable
    coverage with respect to an individual shall be
    established through presentation or certifications
    described in subsection (E) or in such other manner as may
    be specified in regulations.
    (D) (Blank). Exceptions:
        (1) Exclusion not applicable to certain newborns.
    Subject to paragraph (3), a group health plan, and a
    health insurance issuer offering group health insurance
    coverage, may not impose any preexisting condition
    exclusion in the case of an individual who, as of the last
    day of the 30-day period beginning with the date of birth,
    is covered under creditable coverage.
        (2) Exclusion not applicable to certain adopted
    children. Subject to paragraph (3), a group health plan,
    and a health insurance issuer offering group health
    insurance coverage, may not impose any preexisting
    condition exclusion in the case of a child who is adopted
    or placed for adoption before attaining 18 years of age
    and who, as of the last day of the 30-day period beginning
    on the date of the adoption or placement for adoption, is
    covered under creditable coverage.
        The previous sentence shall not apply to coverage
    before the date of such adoption or placement for
    adoption.
        (3) Loss if break in coverage. Paragraphs (1) and (2)
    shall no longer apply to an individual after the end of the
    first 63-day period during all of which the individual was
    not covered under any creditable coverage.
    (E) Certifications and disclosure of coverage.
        (1) Requirement for Certification of Period of
    Creditable Coverage.
            (a) A group health plan, and a health insurance
        issuer offering group health insurance coverage, shall
        provide the certification described in subparagraph
        (b):
                (i) at the time an individual ceases to be
            covered under the plan or otherwise becomes
            covered under a COBRA continuation provision;
                (ii) in the case of an individual becoming
            covered under such a provision, at the time the
            individual ceases to be covered under such
            provision; and
                (iii) on the request on behalf of an
            individual made not later than 24 months after the
            date of cessation of the coverage described in
            clause (i) or (ii), whichever is later.
        The certification under clause (i) may be provided, to
        the extent practicable, at a time consistent with
        notices required under any applicable COBRA
        continuation provision.
            (b) The certification described in this
        subparagraph is a written certification of:
                (i) the period of creditable coverage of the
            individual under such plan and the coverage (if
            any) under such COBRA continuation provision; and
                (ii) the waiting period (if any) (and
            affiliation period, if applicable) imposed with
            respect to the individual for any coverage under
            such plan.
            (c) To the extent that medical care under a group
        health plan consists of group health insurance
        coverage, the plan is deemed to have satisfied the
        certification requirement under this paragraph if the
        health insurance issuer offering the coverage provides
        for such certification in accordance with this
        paragraph.
        (2) (Blank). Disclosure of information on previous
    benefits. In the case of an election described in
    subsection (C)(4)(b) by a group health plan or health
    insurance issuer, if the plan or issuer enrolls an
    individual for coverage under the plan and the individual
    provides a certification of coverage of the individual
    under paragraph (1):
            (a) upon request of such plan or issuer, the
        entity which issued the certification provided by the
        individual shall promptly disclose to such requesting
        plan or issuer information on coverage of classes and
        categories of health benefits available under such
        entity's plan or coverage; and
            (b) such entity may charge the requesting plan or
        issuer for the reasonable cost of disclosing such
        information.
        (3) Rules. The Department shall establish rules to
    prevent an entity's failure to provide information under
    paragraph (1) or (2) with respect to previous coverage of
    an individual from adversely affecting any subsequent
    coverage of the individual under another group health plan
    or health insurance coverage.
        (4) Treatment of certain plans as group health plan
    for notice provision. A program under which creditable
    coverage described in subparagraph (c), (d), (e), or (f)
    of Section 20(C)(1) is provided shall be treated as a
    group health plan for purposes of this Section.
    (F) Special enrollment periods.
        (1) Individuals losing other coverage. A group health
    plan, and a health insurance issuer offering group health
    insurance coverage in connection with a group health plan,
    shall permit an employee who is eligible, but not
    enrolled, for coverage under the terms of the plan (or a
    dependent of such an employee if the dependent is
    eligible, but not enrolled, for coverage under such terms)
    to enroll for coverage under the terms of the plan if each
    of the following conditions is met:
            (a) The employee or dependent was covered under a
        group health plan or had health insurance coverage at
        the time coverage was previously offered to the
        employee or dependent.
            (b) The employee stated in writing at such time
        that coverage under a group health plan or health
        insurance coverage was the reason for declining
        enrollment, but only if the plan sponsor or issuer (if
        applicable) required such a statement at such time and
        provided the employee with notice of such requirement
        (and the consequences of such requirement) at such
        time.
            (c) The employee's or dependent's coverage
        described in subparagraph (a):
                (i) was under a COBRA continuation provision
            and the coverage under such provision was
            exhausted; or
                (ii) was not under such a provision and either
            the coverage was terminated as a result of loss of
            eligibility for the coverage (including as a
            result of legal separation, divorce, death,
            termination of employment, or reduction in the
            number of hours of employment) or employer
            contributions towards such coverage were
            terminated.
            (d) Under the terms of the plan, the employee
        requests such enrollment not later than 30 days after
        the date of exhaustion of coverage described in
        subparagraph (c)(i) or termination of coverage or
        employer contributions described in subparagraph
        (c)(ii).
        (2) For dependent beneficiaries.
            (a) In general. If:
                (i) a group health plan makes coverage
            available with respect to a dependent of an
            individual,
                (ii) the individual is a participant under the
            plan (or has met any waiting period applicable to
            becoming a participant under the plan and is
            eligible to be enrolled under the plan but for a
            failure to enroll during a previous enrollment
            period), and
                (iii) a person becomes such a dependent of the
            individual through marriage, birth, or adoption or
            placement for adoption,
        then the group health plan shall provide for a
        dependent special enrollment period described in
        subparagraph (b) during which the person (or, if not
        otherwise enrolled, the individual) may be enrolled
        under the plan as a dependent of the individual, and in
        the case of the birth or adoption of a child, the
        spouse of the individual may be enrolled as a
        dependent of the individual if such spouse is
        otherwise eligible for coverage.
            (b) Dependent special enrollment period. A
        dependent special enrollment period under this
        subparagraph shall be a period of not less than 30 days
        and shall begin on the later of:
                (i) the date dependent coverage is made
            available; or
                (ii) the date of the marriage, birth, or
            adoption or placement for adoption (as the case
            may be) described in subparagraph (a)(iii).
            (c) No waiting period. If an individual seeks to
        enroll a dependent during the first 30 days of such a
        dependent special enrollment period, the coverage of
        the dependent shall become effective:
                (i) in the case of marriage, not later than
            the first day of the first month beginning after
            the date the completed request for enrollment is
            received;
                (ii) in the case of a dependent's birth, as of
            the date of such birth; or
                (iii) in the case of a dependent's adoption or
            placement for adoption, the date of such adoption
            or placement for adoption.
    (G) Use of affiliation period by HMOs as alternative to
preexisting condition exclusion.
        (1) In general. A health maintenance organization
    which offers health insurance coverage in connection with
    a group health plan and which does not impose any
    pre-existing condition exclusion allowed under subsection
    (A) with respect to any particular coverage option may
    impose an affiliation period for such coverage option, but
    only if:
            (a) such period is applied uniformly without
        regard to any health status-related factors; and
            (b) such period does not exceed 2 months (or 3
        months in the case of a late enrollee).
        (2) Affiliation period.
            (a) Defined. For purposes of this Act, the term
        "affiliation period" means a period which, under the
        terms of the health insurance coverage offered by the
        health maintenance organization, must expire before
        the health insurance coverage becomes effective. The
        organization is not required to provide health care
        services or benefits during such period and no premium
        shall be charged to the participant or beneficiary for
        any coverage during the period.
            (b) Beginning. Such period shall begin on the
        enrollment date.
            (c) Runs concurrently with waiting periods. An
        affiliation period under a plan shall run concurrently
        with any waiting period under the plan.
        (3) Alternative methods. A health maintenance
    organization described in paragraph (1) may use
    alternative methods, from those described in such
    paragraph, to address adverse selection as approved by the
    Department.
(Source: P.A. 90-30, eff. 7-1-97; 90-736, eff. 8-12-98.)
 
    Section 25. The Health Maintenance Organization Act is
amended by changing Section 5-3 as follows:
 
    (215 ILCS 125/5-3)  (from Ch. 111 1/2, par. 1411.2)
    Sec. 5-3. Insurance Code provisions.
    (a) Health Maintenance Organizations shall be subject to
the provisions of Sections 133, 134, 136, 137, 139, 140,
141.1, 141.2, 141.3, 143, 143c, 147, 148, 149, 151, 152, 153,
154, 154.5, 154.6, 154.7, 154.8, 155.04, 155.22a, 355.2,
355.3, 355b, 355c, 356g.5-1, 356m, 356q, 356v, 356w, 356x,
356y, 356z.2, 356z.4, 356z.4a, 356z.5, 356z.6, 356z.8, 356z.9,
356z.10, 356z.11, 356z.12, 356z.13, 356z.14, 356z.15, 356z.17,
356z.18, 356z.19, 356z.21, 356z.22, 356z.25, 356z.26, 356z.29,
356z.30, 356z.30a, 356z.32, 356z.33, 356z.35, 356z.36,
356z.40, 356z.41, 356z.43, 356z.46, 356z.47, 356z.48, 356z.50,
356z.51, 364, 364.01, 364.3, 367.2, 367.2-5, 367i, 368a, 368b,
368c, 368d, 368e, 370c, 370c.1, 401, 401.1, 402, 403, 403A,
408, 408.2, 409, 412, 444, and 444.1, paragraph (c) of
subsection (2) of Section 367, and Articles IIA, VIII 1/2,
XII, XII 1/2, XIII, XIII 1/2, XXV, XXVI, and XXXIIB of the
Illinois Insurance Code.
    (b) For purposes of the Illinois Insurance Code, except
for Sections 444 and 444.1 and Articles XIII and XIII 1/2,
Health Maintenance Organizations in the following categories
are deemed to be "domestic companies":
        (1) a corporation authorized under the Dental Service
    Plan Act or the Voluntary Health Services Plans Act;
        (2) a corporation organized under the laws of this
    State; or
        (3) a corporation organized under the laws of another
    state, 30% or more of the enrollees of which are residents
    of this State, except a corporation subject to
    substantially the same requirements in its state of
    organization as is a "domestic company" under Article VIII
    1/2 of the Illinois Insurance Code.
    (c) In considering the merger, consolidation, or other
acquisition of control of a Health Maintenance Organization
pursuant to Article VIII 1/2 of the Illinois Insurance Code,
        (1) the Director shall give primary consideration to
    the continuation of benefits to enrollees and the
    financial conditions of the acquired Health Maintenance
    Organization after the merger, consolidation, or other
    acquisition of control takes effect;
        (2)(i) the criteria specified in subsection (1)(b) of
    Section 131.8 of the Illinois Insurance Code shall not
    apply and (ii) the Director, in making his determination
    with respect to the merger, consolidation, or other
    acquisition of control, need not take into account the
    effect on competition of the merger, consolidation, or
    other acquisition of control;
        (3) the Director shall have the power to require the
    following information:
            (A) certification by an independent actuary of the
        adequacy of the reserves of the Health Maintenance
        Organization sought to be acquired;
            (B) pro forma financial statements reflecting the
        combined balance sheets of the acquiring company and
        the Health Maintenance Organization sought to be
        acquired as of the end of the preceding year and as of
        a date 90 days prior to the acquisition, as well as pro
        forma financial statements reflecting projected
        combined operation for a period of 2 years;
            (C) a pro forma business plan detailing an
        acquiring party's plans with respect to the operation
        of the Health Maintenance Organization sought to be
        acquired for a period of not less than 3 years; and
            (D) such other information as the Director shall
        require.
    (d) The provisions of Article VIII 1/2 of the Illinois
Insurance Code and this Section 5-3 shall apply to the sale by
any health maintenance organization of greater than 10% of its
enrollee population (including without limitation the health
maintenance organization's right, title, and interest in and
to its health care certificates).
    (e) In considering any management contract or service
agreement subject to Section 141.1 of the Illinois Insurance
Code, the Director (i) shall, in addition to the criteria
specified in Section 141.2 of the Illinois Insurance Code,
take into account the effect of the management contract or
service agreement on the continuation of benefits to enrollees
and the financial condition of the health maintenance
organization to be managed or serviced, and (ii) need not take
into account the effect of the management contract or service
agreement on competition.
    (f) Except for small employer groups as defined in the
Small Employer Rating, Renewability and Portability Health
Insurance Act and except for medicare supplement policies as
defined in Section 363 of the Illinois Insurance Code, a
Health Maintenance Organization may by contract agree with a
group or other enrollment unit to effect refunds or charge
additional premiums under the following terms and conditions:
        (i) the amount of, and other terms and conditions with
    respect to, the refund or additional premium are set forth
    in the group or enrollment unit contract agreed in advance
    of the period for which a refund is to be paid or
    additional premium is to be charged (which period shall
    not be less than one year); and
        (ii) the amount of the refund or additional premium
    shall not exceed 20% of the Health Maintenance
    Organization's profitable or unprofitable experience with
    respect to the group or other enrollment unit for the
    period (and, for purposes of a refund or additional
    premium, the profitable or unprofitable experience shall
    be calculated taking into account a pro rata share of the
    Health Maintenance Organization's administrative and
    marketing expenses, but shall not include any refund to be
    made or additional premium to be paid pursuant to this
    subsection (f)). The Health Maintenance Organization and
    the group or enrollment unit may agree that the profitable
    or unprofitable experience may be calculated taking into
    account the refund period and the immediately preceding 2
    plan years.
    The Health Maintenance Organization shall include a
statement in the evidence of coverage issued to each enrollee
describing the possibility of a refund or additional premium,
and upon request of any group or enrollment unit, provide to
the group or enrollment unit a description of the method used
to calculate (1) the Health Maintenance Organization's
profitable experience with respect to the group or enrollment
unit and the resulting refund to the group or enrollment unit
or (2) the Health Maintenance Organization's unprofitable
experience with respect to the group or enrollment unit and
the resulting additional premium to be paid by the group or
enrollment unit.
    In no event shall the Illinois Health Maintenance
Organization Guaranty Association be liable to pay any
contractual obligation of an insolvent organization to pay any
refund authorized under this Section.
    (g) Rulemaking authority to implement Public Act 95-1045,
if any, is conditioned on the rules being adopted in
accordance with all provisions of the Illinois Administrative
Procedure Act and all rules and procedures of the Joint
Committee on Administrative Rules; any purported rule not so
adopted, for whatever reason, is unauthorized.
(Source: P.A. 101-13, eff. 6-12-19; 101-81, eff. 7-12-19;
101-281, eff. 1-1-20; 101-371, eff. 1-1-20; 101-393, eff.
1-1-20; 101-452, eff. 1-1-20; 101-461, eff. 1-1-20; 101-625,
eff. 1-1-21; 102-30, eff. 1-1-22; 102-34, eff. 6-25-21;
102-203, eff. 1-1-22; 102-306, eff. 1-1-22; 102-443, eff.
1-1-22; 102-589, eff. 1-1-22; 102-642, eff. 1-1-22; 102-665,
eff. 10-8-21; revised 10-27-21.)
 
    Section 30. The Limited Health Service Organization Act is
amended by changing Section 4003 as follows:
 
    (215 ILCS 130/4003)  (from Ch. 73, par. 1504-3)
    Sec. 4003. Illinois Insurance Code provisions. Limited
health service organizations shall be subject to the
provisions of Sections 133, 134, 136, 137, 139, 140, 141.1,
141.2, 141.3, 143, 143c, 147, 148, 149, 151, 152, 153, 154,
154.5, 154.6, 154.7, 154.8, 155.04, 155.37, 355.2, 355.3,
355b, 356q, 356v, 356z.10, 356z.21, 356z.22, 356z.25, 356z.26,
356z.29, 356z.30a, 356z.32, 356z.33, 356z.41, 356z.46,
356z.47, 356z.51, 364.3, 356z.43, 368a, 401, 401.1, 402, 403,
403A, 408, 408.2, 409, 412, 444, and 444.1 and Articles IIA,
VIII 1/2, XII, XII 1/2, XIII, XIII 1/2, XXV, and XXVI of the
Illinois Insurance Code. For purposes of the Illinois
Insurance Code, except for Sections 444 and 444.1 and Articles
XIII and XIII 1/2, limited health service organizations in the
following categories are deemed to be domestic companies:
        (1) a corporation under the laws of this State; or
        (2) a corporation organized under the laws of another
    state, 30% or more of the enrollees of which are residents
    of this State, except a corporation subject to
    substantially the same requirements in its state of
    organization as is a domestic company under Article VIII
    1/2 of the Illinois Insurance Code.
(Source: P.A. 101-81, eff. 7-12-19; 101-281, eff. 1-1-20;
101-393, eff. 1-1-20; 101-625, eff. 1-1-21; 102-30, eff.
1-1-22; 102-203, eff. 1-1-22; 102-306, eff. 1-1-22; 102-642,
eff. 1-1-22; revised 10-27-21.)
 
    Section 35. The Voluntary Health Services Plans Act is
amended by changing Section 10 as follows:
 
    (215 ILCS 165/10)  (from Ch. 32, par. 604)
    Sec. 10. Application of Insurance Code provisions. Health
services plan corporations and all persons interested therein
or dealing therewith shall be subject to the provisions of
Articles IIA and XII 1/2 and Sections 3.1, 133, 136, 139, 140,
143, 143c, 149, 155.22a, 155.37, 354, 355.2, 355.3, 355b,
356g, 356g.5, 356g.5-1, 356q, 356r, 356t, 356u, 356v, 356w,
356x, 356y, 356z.1, 356z.2, 356z.4, 356z.4a, 356z.5, 356z.6,
356z.8, 356z.9, 356z.10, 356z.11, 356z.12, 356z.13, 356z.14,
356z.15, 356z.18, 356z.19, 356z.21, 356z.22, 356z.25, 356z.26,
356z.29, 356z.30, 356z.30a, 356z.32, 356z.33, 356z.40,
356z.41, 356z.46, 356z.47, 356z.51, 356z.43, 364.01, 364.3,
367.2, 368a, 401, 401.1, 402, 403, 403A, 408, 408.2, and 412,
and paragraphs (7) and (15) of Section 367 of the Illinois
Insurance Code.
    Rulemaking authority to implement Public Act 95-1045, if
any, is conditioned on the rules being adopted in accordance
with all provisions of the Illinois Administrative Procedure
Act and all rules and procedures of the Joint Committee on
Administrative Rules; any purported rule not so adopted, for
whatever reason, is unauthorized.
(Source: P.A. 101-13, eff. 6-12-19; 101-81, eff. 7-12-19;
101-281, eff. 1-1-20; 101-393, eff. 1-1-20; 101-625, eff.
1-1-21; 102-30, eff. 1-1-22; 102-203, eff. 1-1-22; 102-306,
eff. 1-1-22; 102-642, eff. 1-1-22; 102-665, eff. 10-8-21;
revised 10-27-21.)
 
    Section 40. The Workers' Compensation Act is amended by
changing Section 19 as follows:
 
    (820 ILCS 305/19)  (from Ch. 48, par. 138.19)
    Sec. 19. Any disputed questions of law or fact shall be
determined as herein provided.
    (a) It shall be the duty of the Commission upon
notification that the parties have failed to reach an
agreement, to designate an Arbitrator.
        1. Whenever any claimant misconceives his remedy and
    files an application for adjustment of claim under this
    Act and it is subsequently discovered, at any time before
    final disposition of such cause, that the claim for
    disability or death which was the basis for such
    application should properly have been made under the
    Workers' Occupational Diseases Act, then the provisions of
    Section 19, paragraph (a-1) of the Workers' Occupational
    Diseases Act having reference to such application shall
    apply.
        2. Whenever any claimant misconceives his remedy and
    files an application for adjustment of claim under the
    Workers' Occupational Diseases Act and it is subsequently
    discovered, at any time before final disposition of such
    cause that the claim for injury or death which was the
    basis for such application should properly have been made
    under this Act, then the application so filed under the
    Workers' Occupational Diseases Act may be amended in form,
    substance or both to assert claim for such disability or
    death under this Act and it shall be deemed to have been so
    filed as amended on the date of the original filing
    thereof, and such compensation may be awarded as is
    warranted by the whole evidence pursuant to this Act. When
    such amendment is submitted, further or additional
    evidence may be heard by the Arbitrator or Commission when
    deemed necessary. Nothing in this Section contained shall
    be construed to be or permit a waiver of any provisions of
    this Act with reference to notice but notice if given
    shall be deemed to be a notice under the provisions of this
    Act if given within the time required herein.
    (b) The Arbitrator shall make such inquiries and
investigations as he or they shall deem necessary and may
examine and inspect all books, papers, records, places, or
premises relating to the questions in dispute and hear such
proper evidence as the parties may submit.
    The hearings before the Arbitrator shall be held in the
vicinity where the injury occurred after 10 days' notice of
the time and place of such hearing shall have been given to
each of the parties or their attorneys of record.
    The Arbitrator may find that the disabling condition is
temporary and has not yet reached a permanent condition and
may order the payment of compensation up to the date of the
hearing, which award shall be reviewable and enforceable in
the same manner as other awards, and in no instance be a bar to
a further hearing and determination of a further amount of
temporary total compensation or of compensation for permanent
disability, but shall be conclusive as to all other questions
except the nature and extent of said disability.
    The decision of the Arbitrator shall be filed with the
Commission which Commission shall immediately send to each
party or his attorney a copy of such decision, together with a
notification of the time when it was filed. As of the effective
date of this amendatory Act of the 94th General Assembly, all
decisions of the Arbitrator shall set forth in writing
findings of fact and conclusions of law, separately stated, if
requested by either party. Unless a petition for review is
filed by either party within 30 days after the receipt by such
party of the copy of the decision and notification of time when
filed, and unless such party petitioning for a review shall
within 35 days after the receipt by him of the copy of the
decision, file with the Commission either an agreed statement
of the facts appearing upon the hearing before the Arbitrator,
or if such party shall so elect a correct transcript of
evidence of the proceedings at such hearings, then the
decision shall become the decision of the Commission and in
the absence of fraud shall be conclusive. The Petition for
Review shall contain a statement of the petitioning party's
specific exceptions to the decision of the arbitrator. The
jurisdiction of the Commission to review the decision of the
arbitrator shall not be limited to the exceptions stated in
the Petition for Review. The Commission, or any member
thereof, may grant further time not exceeding 30 days, in
which to file such agreed statement or transcript of evidence.
Such agreed statement of facts or correct transcript of
evidence, as the case may be, shall be authenticated by the
signatures of the parties or their attorneys, and in the event
they do not agree as to the correctness of the transcript of
evidence it shall be authenticated by the signature of the
Arbitrator designated by the Commission.
    Whether the employee is working or not, if the employee is
not receiving or has not received medical, surgical, or
hospital services or other services or compensation as
provided in paragraph (a) of Section 8, or compensation as
provided in paragraph (b) of Section 8, the employee may at any
time petition for an expedited hearing by an Arbitrator on the
issue of whether or not he or she is entitled to receive
payment of the services or compensation. Provided the employer
continues to pay compensation pursuant to paragraph (b) of
Section 8, the employer may at any time petition for an
expedited hearing on the issue of whether or not the employee
is entitled to receive medical, surgical, or hospital services
or other services or compensation as provided in paragraph (a)
of Section 8, or compensation as provided in paragraph (b) of
Section 8. When an employer has petitioned for an expedited
hearing, the employer shall continue to pay compensation as
provided in paragraph (b) of Section 8 unless the arbitrator
renders a decision that the employee is not entitled to the
benefits that are the subject of the expedited hearing or
unless the employee's treating physician has released the
employee to return to work at his or her regular job with the
employer or the employee actually returns to work at any other
job. If the arbitrator renders a decision that the employee is
not entitled to the benefits that are the subject of the
expedited hearing, a petition for review filed by the employee
shall receive the same priority as if the employee had filed a
petition for an expedited hearing by an Arbitrator. Neither
party shall be entitled to an expedited hearing when the
employee has returned to work and the sole issue in dispute
amounts to less than 12 weeks of unpaid compensation pursuant
to paragraph (b) of Section 8.
    Expedited hearings shall have priority over all other
petitions and shall be heard by the Arbitrator and Commission
with all convenient speed. Any party requesting an expedited
hearing shall give notice of a request for an expedited
hearing under this paragraph. A copy of the Application for
Adjustment of Claim shall be attached to the notice. The
Commission shall adopt rules and procedures under which the
final decision of the Commission under this paragraph is filed
not later than 180 days from the date that the Petition for
Review is filed with the Commission.
    Where 2 or more insurance carriers, private self-insureds,
or a group workers' compensation pool under Article V 3/4 of
the Illinois Insurance Code dispute coverage for the same
injury, any such insurance carrier, private self-insured, or
group workers' compensation pool may request an expedited
hearing pursuant to this paragraph to determine the issue of
coverage, provided coverage is the only issue in dispute and
all other issues are stipulated and agreed to and further
provided that all compensation benefits including medical
benefits pursuant to Section 8(a) continue to be paid to or on
behalf of petitioner. Any insurance carrier, private
self-insured, or group workers' compensation pool that is
determined to be liable for coverage for the injury in issue
shall reimburse any insurance carrier, private self-insured,
or group workers' compensation pool that has paid benefits to
or on behalf of petitioner for the injury.
    (b-1) If the employee is not receiving medical, surgical
or hospital services as provided in paragraph (a) of Section 8
or compensation as provided in paragraph (b) of Section 8, the
employee, in accordance with Commission Rules, may file a
petition for an emergency hearing by an Arbitrator on the
issue of whether or not he is entitled to receive payment of
such compensation or services as provided therein. Such
petition shall have priority over all other petitions and
shall be heard by the Arbitrator and Commission with all
convenient speed.
    Such petition shall contain the following information and
shall be served on the employer at least 15 days before it is
filed:
        (i) the date and approximate time of accident;
        (ii) the approximate location of the accident;
        (iii) a description of the accident;
        (iv) the nature of the injury incurred by the
    employee;
        (v) the identity of the person, if known, to whom the
    accident was reported and the date on which it was
    reported;
        (vi) the name and title of the person, if known,
    representing the employer with whom the employee conferred
    in any effort to obtain compensation pursuant to paragraph
    (b) of Section 8 of this Act or medical, surgical or
    hospital services pursuant to paragraph (a) of Section 8
    of this Act and the date of such conference;
        (vii) a statement that the employer has refused to pay
    compensation pursuant to paragraph (b) of Section 8 of
    this Act or for medical, surgical or hospital services
    pursuant to paragraph (a) of Section 8 of this Act;
        (viii) the name and address, if known, of each witness
    to the accident and of each other person upon whom the
    employee will rely to support his allegations;
        (ix) the dates of treatment related to the accident by
    medical practitioners, and the names and addresses of such
    practitioners, including the dates of treatment related to
    the accident at any hospitals and the names and addresses
    of such hospitals, and a signed authorization permitting
    the employer to examine all medical records of all
    practitioners and hospitals named pursuant to this
    paragraph;
        (x) a copy of a signed report by a medical
    practitioner, relating to the employee's current inability
    to return to work because of the injuries incurred as a
    result of the accident or such other documents or
    affidavits which show that the employee is entitled to
    receive compensation pursuant to paragraph (b) of Section
    8 of this Act or medical, surgical or hospital services
    pursuant to paragraph (a) of Section 8 of this Act. Such
    reports, documents or affidavits shall state, if possible,
    the history of the accident given by the employee, and
    describe the injury and medical diagnosis, the medical
    services for such injury which the employee has received
    and is receiving, the physical activities which the
    employee cannot currently perform as a result of any
    impairment or disability due to such injury, and the
    prognosis for recovery;
        (xi) complete copies of any reports, records,
    documents and affidavits in the possession of the employee
    on which the employee will rely to support his
    allegations, provided that the employer shall pay the
    reasonable cost of reproduction thereof;
        (xii) a list of any reports, records, documents and
    affidavits which the employee has demanded by subpoena and
    on which he intends to rely to support his allegations;
        (xiii) a certification signed by the employee or his
    representative that the employer has received the petition
    with the required information 15 days before filing.
    Fifteen days after receipt by the employer of the petition
with the required information the employee may file said
petition and required information and shall serve notice of
the filing upon the employer. The employer may file a motion
addressed to the sufficiency of the petition. If an objection
has been filed to the sufficiency of the petition, the
arbitrator shall rule on the objection within 2 working days.
If such an objection is filed, the time for filing the final
decision of the Commission as provided in this paragraph shall
be tolled until the arbitrator has determined that the
petition is sufficient.
    The employer shall, within 15 days after receipt of the
notice that such petition is filed, file with the Commission
and serve on the employee or his representative a written
response to each claim set forth in the petition, including
the legal and factual basis for each disputed allegation and
the following information: (i) complete copies of any reports,
records, documents and affidavits in the possession of the
employer on which the employer intends to rely in support of
his response, (ii) a list of any reports, records, documents
and affidavits which the employer has demanded by subpoena and
on which the employer intends to rely in support of his
response, (iii) the name and address of each witness on whom
the employer will rely to support his response, and (iv) the
names and addresses of any medical practitioners selected by
the employer pursuant to Section 12 of this Act and the time
and place of any examination scheduled to be made pursuant to
such Section.
    Any employer who does not timely file and serve a written
response without good cause may not introduce any evidence to
dispute any claim of the employee but may cross examine the
employee or any witness brought by the employee and otherwise
be heard.
    No document or other evidence not previously identified by
either party with the petition or written response, or by any
other means before the hearing, may be introduced into
evidence without good cause. If, at the hearing, material
information is discovered which was not previously disclosed,
the Arbitrator may extend the time for closing proof on the
motion of a party for a reasonable period of time which may be
more than 30 days. No evidence may be introduced pursuant to
this paragraph as to permanent disability. No award may be
entered for permanent disability pursuant to this paragraph.
Either party may introduce into evidence the testimony taken
by deposition of any medical practitioner.
    The Commission shall adopt rules, regulations and
procedures whereby the final decision of the Commission is
filed not later than 90 days from the date the petition for
review is filed but in no event later than 180 days from the
date the petition for an emergency hearing is filed with the
Illinois Workers' Compensation Commission.
    All service required pursuant to this paragraph (b-1) must
be by personal service or by certified mail and with evidence
of receipt. In addition for the purposes of this paragraph,
all service on the employer must be at the premises where the
accident occurred if the premises are owned or operated by the
employer. Otherwise service must be at the employee's
principal place of employment by the employer. If service on
the employer is not possible at either of the above, then
service shall be at the employer's principal place of
business. After initial service in each case, service shall be
made on the employer's attorney or designated representative.
    (c)(1) At a reasonable time in advance of and in
connection with the hearing under Section 19(e) or 19(h), the
Commission may on its own motion order an impartial physical
or mental examination of a petitioner whose mental or physical
condition is in issue, when in the Commission's discretion it
appears that such an examination will materially aid in the
just determination of the case. The examination shall be made
by a member or members of a panel of physicians chosen for
their special qualifications by the Illinois State Medical
Society. The Commission shall establish procedures by which a
physician shall be selected from such list.
    (2) Should the Commission at any time during the hearing
find that compelling considerations make it advisable to have
an examination and report at that time, the commission may in
its discretion so order.
    (3) A copy of the report of examination shall be given to
the Commission and to the attorneys for the parties.
    (4) Either party or the Commission may call the examining
physician or physicians to testify. Any physician so called
shall be subject to cross-examination.
    (5) The examination shall be made, and the physician or
physicians, if called, shall testify, without cost to the
parties. The Commission shall determine the compensation and
the pay of the physician or physicians. The compensation for
this service shall not exceed the usual and customary amount
for such service.
    (6) The fees and payment thereof of all attorneys and
physicians for services authorized by the Commission under
this Act shall, upon request of either the employer or the
employee or the beneficiary affected, be subject to the review
and decision of the Commission.
    (d) If any employee shall persist in insanitary or
injurious practices which tend to either imperil or retard his
recovery or shall refuse to submit to such medical, surgical,
or hospital treatment as is reasonably essential to promote
his recovery, the Commission may, in its discretion, reduce or
suspend the compensation of any such injured employee.
However, when an employer and employee so agree in writing,
the foregoing provision shall not be construed to authorize
the reduction or suspension of compensation of an employee who
is relying in good faith, on treatment by prayer or spiritual
means alone, in accordance with the tenets and practice of a
recognized church or religious denomination, by a duly
accredited practitioner thereof.
    (e) This paragraph shall apply to all hearings before the
Commission. Such hearings may be held in its office or
elsewhere as the Commission may deem advisable. The taking of
testimony on such hearings may be had before any member of the
Commission. If a petition for review and agreed statement of
facts or transcript of evidence is filed, as provided herein,
the Commission shall promptly review the decision of the
Arbitrator and all questions of law or fact which appear from
the statement of facts or transcript of evidence.
    In all cases in which the hearing before the arbitrator is
held after December 18, 1989, no additional evidence shall be
introduced by the parties before the Commission on review of
the decision of the Arbitrator. In reviewing decisions of an
arbitrator the Commission shall award such temporary
compensation, permanent compensation and other payments as are
due under this Act. The Commission shall file in its office its
decision thereon, and shall immediately send to each party or
his attorney a copy of such decision and a notification of the
time when it was filed. Decisions shall be filed within 60 days
after the Statement of Exceptions and Supporting Brief and
Response thereto are required to be filed or oral argument
whichever is later.
    In the event either party requests oral argument, such
argument shall be had before a panel of 3 members of the
Commission (or before all available members pursuant to the
determination of 7 members of the Commission that such
argument be held before all available members of the
Commission) pursuant to the rules and regulations of the
Commission. A panel of 3 members, which shall be comprised of
not more than one representative citizen of the employing
class and not more than one representative from a labor
organization recognized under the National Labor Relations Act
or an attorney who has represented labor organizations or has
represented employees in workers' compensation cases, shall
hear the argument; provided that if all the issues in dispute
are solely the nature and extent of the permanent partial
disability, if any, a majority of the panel may deny the
request for such argument and such argument shall not be held;
and provided further that 7 members of the Commission may
determine that the argument be held before all available
members of the Commission. A decision of the Commission shall
be approved by a majority of Commissioners present at such
hearing if any; provided, if no such hearing is held, a
decision of the Commission shall be approved by a majority of a
panel of 3 members of the Commission as described in this
Section. The Commission shall give 10 days' notice to the
parties or their attorneys of the time and place of such taking
of testimony and of such argument.
    In any case the Commission in its decision may find
specially upon any question or questions of law or fact which
shall be submitted in writing by either party whether ultimate
or otherwise; provided that on issues other than nature and
extent of the disability, if any, the Commission in its
decision shall find specially upon any question or questions
of law or fact, whether ultimate or otherwise, which are
submitted in writing by either party; provided further that
not more than 5 such questions may be submitted by either
party. Any party may, within 20 days after receipt of notice of
the Commission's decision, or within such further time, not
exceeding 30 days, as the Commission may grant, file with the
Commission either an agreed statement of the facts appearing
upon the hearing, or, if such party shall so elect, a correct
transcript of evidence of the additional proceedings presented
before the Commission, in which report the party may embody a
correct statement of such other proceedings in the case as
such party may desire to have reviewed, such statement of
facts or transcript of evidence to be authenticated by the
signature of the parties or their attorneys, and in the event
that they do not agree, then the authentication of such
transcript of evidence shall be by the signature of any member
of the Commission.
    If a reporter does not for any reason furnish a transcript
of the proceedings before the Arbitrator in any case for use on
a hearing for review before the Commission, within the
limitations of time as fixed in this Section, the Commission
may, in its discretion, order a trial de novo before the
Commission in such case upon application of either party. The
applications for adjustment of claim and other documents in
the nature of pleadings filed by either party, together with
the decisions of the Arbitrator and of the Commission and the
statement of facts or transcript of evidence hereinbefore
provided for in paragraphs (b) and (c) shall be the record of
the proceedings of the Commission, and shall be subject to
review as hereinafter provided.
    At the request of either party or on its own motion, the
Commission shall set forth in writing the reasons for the
decision, including findings of fact and conclusions of law
separately stated. The Commission shall by rule adopt a format
for written decisions for the Commission and arbitrators. The
written decisions shall be concise and shall succinctly state
the facts and reasons for the decision. The Commission may
adopt in whole or in part, the decision of the arbitrator as
the decision of the Commission. When the Commission does so
adopt the decision of the arbitrator, it shall do so by order.
Whenever the Commission adopts part of the arbitrator's
decision, but not all, it shall include in the order the
reasons for not adopting all of the arbitrator's decision.
When a majority of a panel, after deliberation, has arrived at
its decision, the decision shall be filed as provided in this
Section without unnecessary delay, and without regard to the
fact that a member of the panel has expressed an intention to
dissent. Any member of the panel may file a dissent. Any
dissent shall be filed no later than 10 days after the decision
of the majority has been filed.
    Decisions rendered by the Commission and dissents, if any,
shall be published together by the Commission. The conclusions
of law set out in such decisions shall be regarded as
precedents by arbitrators for the purpose of achieving a more
uniform administration of this Act.
    (f) The decision of the Commission acting within its
powers, according to the provisions of paragraph (e) of this
Section shall, in the absence of fraud, be conclusive unless
reviewed as in this paragraph hereinafter provided. However,
the Arbitrator or the Commission may on his or its own motion,
or on the motion of either party, correct any clerical error or
errors in computation within 15 days after the date of receipt
of any award by such Arbitrator or any decision on review of
the Commission and shall have the power to recall the original
award on arbitration or decision on review, and issue in lieu
thereof such corrected award or decision. Where such
correction is made the time for review herein specified shall
begin to run from the date of the receipt of the corrected
award or decision.
        (1) Except in cases of claims against the State of
    Illinois other than those claims under Section 18.1, in
    which case the decision of the Commission shall not be
    subject to judicial review, the Circuit Court of the
    county where any of the parties defendant may be found, or
    if none of the parties defendant can be found in this State
    then the Circuit Court of the county where the accident
    occurred, shall by summons to the Commission have power to
    review all questions of law and fact presented by such
    record.
        A proceeding for review shall be commenced within 20
    days of the receipt of notice of the decision of the
    Commission. The summons shall be issued by the clerk of
    such court upon written request returnable on a designated
    return day, not less than 10 or more than 60 days from the
    date of issuance thereof, and the written request shall
    contain the last known address of other parties in
    interest and their attorneys of record who are to be
    served by summons. Service upon any member of the
    Commission or the Secretary or the Assistant Secretary
    thereof shall be service upon the Commission, and service
    upon other parties in interest and their attorneys of
    record shall be by summons, and such service shall be made
    upon the Commission and other parties in interest by
    mailing notices of the commencement of the proceedings and
    the return day of the summons to the office of the
    Commission and to the last known place of residence of
    other parties in interest or their attorney or attorneys
    of record. The clerk of the court issuing the summons
    shall on the day of issue mail notice of the commencement
    of the proceedings which shall be done by mailing a copy of
    the summons to the office of the Commission, and a copy of
    the summons to the other parties in interest or their
    attorney or attorneys of record and the clerk of the court
    shall make certificate that he has so sent said notices in
    pursuance of this Section, which shall be evidence of
    service on the Commission and other parties in interest.
        The Commission shall not be required to certify the
    record of their proceedings to the Circuit Court, unless
    the party commencing the proceedings for review in the
    Circuit Court as above provided, shall file with the
    Commission notice of intent to file for review in Circuit
    Court. It shall be the duty of the Commission upon such
    filing of notice of intent to file for review in the
    Circuit Court to prepare a true and correct copy of such
    testimony and a true and correct copy of all other matters
    contained in such record and certified to by the Secretary
    or Assistant Secretary thereof. The changes made to this
    subdivision (f)(1) by this amendatory Act of the 98th
    General Assembly apply to any Commission decision entered
    after the effective date of this amendatory Act of the
    98th General Assembly.
        No request for a summons may be filed and no summons
    shall issue unless the party seeking to review the
    decision of the Commission shall exhibit to the clerk of
    the Circuit Court proof of filing with the Commission of
    the notice of the intent to file for review in the Circuit
    Court or an affidavit of the attorney setting forth that
    notice of intent to file for review in the Circuit Court
    has been given in writing to the Secretary or Assistant
    Secretary of the Commission.
        (2) No such summons shall issue unless the one against
    whom the Commission shall have rendered an award for the
    payment of money shall upon the filing of his written
    request for such summons file with the clerk of the court a
    bond conditioned that if he shall not successfully
    prosecute the review, he will pay the award and the costs
    of the proceedings in the courts. The amount of the bond
    shall be fixed by any member of the Commission and the
    surety or sureties of the bond shall be approved by the
    clerk of the court. The acceptance of the bond by the clerk
    of the court shall constitute evidence of his approval of
    the bond.
        The following Every county, city, town, township,
    incorporated village, school district, body politic or
    municipal corporation against whom the Commission shall
    have rendered an award for the payment of money shall not
    be required to file a bond to secure the payment of the
    award and the costs of the proceedings in the court to
    authorize the court to issue such summons: .
            (1) the State Treasurer, for a fund administered
        by the State Treasurer ex officio against whom the
        Commission shall have rendered an award for the
        payment of money; and
            (2) a county, city, town, township, incorporated
        village, school district, body politic, or municipal
        corporation against whom the Commission shall have
        rendered an award for the payment of money.
        The court may confirm or set aside the decision of the
    Commission. If the decision is set aside and the facts
    found in the proceedings before the Commission are
    sufficient, the court may enter such decision as is
    justified by law, or may remand the cause to the
    Commission for further proceedings and may state the
    questions requiring further hearing, and give such other
    instructions as may be proper. Appeals shall be taken to
    the Appellate Court in accordance with Supreme Court Rules
    22(g) and 303. Appeals shall be taken from the Appellate
    Court to the Supreme Court in accordance with Supreme
    Court Rule 315.
        It shall be the duty of the clerk of any court
    rendering a decision affecting or affirming an award of
    the Commission to promptly furnish the Commission with a
    copy of such decision, without charge.
        The decision of a majority of the members of the panel
    of the Commission, shall be considered the decision of the
    Commission.
    (g) Except in the case of a claim against the State of
Illinois, either party may present a certified copy of the
award of the Arbitrator, or a certified copy of the decision of
the Commission when the same has become final, when no
proceedings for review are pending, providing for the payment
of compensation according to this Act, to the Circuit Court of
the county in which such accident occurred or either of the
parties are residents, whereupon the court shall enter a
judgment in accordance therewith. In a case where the employer
refuses to pay compensation according to such final award or
such final decision upon which such judgment is entered the
court shall in entering judgment thereon, tax as costs against
him the reasonable costs and attorney fees in the arbitration
proceedings and in the court entering the judgment for the
person in whose favor the judgment is entered, which judgment
and costs taxed as therein provided shall, until and unless
set aside, have the same effect as though duly entered in an
action duly tried and determined by the court, and shall with
like effect, be entered and docketed. The Circuit Court shall
have power at any time upon application to make any such
judgment conform to any modification required by any
subsequent decision of the Supreme Court upon appeal, or as
the result of any subsequent proceedings for review, as
provided in this Act.
    Judgment shall not be entered until 15 days' notice of the
time and place of the application for the entry of judgment
shall be served upon the employer by filing such notice with
the Commission, which Commission shall, in case it has on file
the address of the employer or the name and address of its
agent upon whom notices may be served, immediately send a copy
of the notice to the employer or such designated agent.
    (h) An agreement or award under this Act providing for
compensation in installments, may at any time within 18 months
after such agreement or award be reviewed by the Commission at
the request of either the employer or the employee, on the
ground that the disability of the employee has subsequently
recurred, increased, diminished or ended.
    However, as to accidents occurring subsequent to July 1,
1955, which are covered by any agreement or award under this
Act providing for compensation in installments made as a
result of such accident, such agreement or award may at any
time within 30 months, or 60 months in the case of an award
under Section 8(d)1, after such agreement or award be reviewed
by the Commission at the request of either the employer or the
employee on the ground that the disability of the employee has
subsequently recurred, increased, diminished or ended.
    On such review, compensation payments may be
re-established, increased, diminished or ended. The Commission
shall give 15 days' notice to the parties of the hearing for
review. Any employee, upon any petition for such review being
filed by the employer, shall be entitled to one day's notice
for each 100 miles necessary to be traveled by him in attending
the hearing of the Commission upon the petition, and 3 days in
addition thereto. Such employee shall, at the discretion of
the Commission, also be entitled to 5 cents per mile
necessarily traveled by him within the State of Illinois in
attending such hearing, not to exceed a distance of 300 miles,
to be taxed by the Commission as costs and deposited with the
petition of the employer.
    When compensation which is payable in accordance with an
award or settlement contract approved by the Commission, is
ordered paid in a lump sum by the Commission, no review shall
be had as in this paragraph mentioned.
    (i) Each party, upon taking any proceedings or steps
whatsoever before any Arbitrator, Commission or court, shall
file with the Commission his address, or the name and address
of any agent upon whom all notices to be given to such party
shall be served, either personally or by registered mail,
addressed to such party or agent at the last address so filed
with the Commission. In the event such party has not filed his
address, or the name and address of an agent as above provided,
service of any notice may be had by filing such notice with the
Commission.
    (j) Whenever in any proceeding testimony has been taken or
a final decision has been rendered and after the taking of such
testimony or after such decision has become final, the injured
employee dies, then in any subsequent proceedings brought by
the personal representative or beneficiaries of the deceased
employee, such testimony in the former proceeding may be
introduced with the same force and effect as though the
witness having so testified were present in person in such
subsequent proceedings and such final decision, if any, shall
be taken as final adjudication of any of the issues which are
the same in both proceedings.
    (k) In case where there has been any unreasonable or
vexatious delay of payment or intentional underpayment of
compensation, or proceedings have been instituted or carried
on by the one liable to pay the compensation, which do not
present a real controversy, but are merely frivolous or for
delay, then the Commission may award compensation additional
to that otherwise payable under this Act equal to 50% of the
amount payable at the time of such award. Failure to pay
compensation in accordance with the provisions of Section 8,
paragraph (b) of this Act, shall be considered unreasonable
delay.
    When determining whether this subsection (k) shall apply,
the Commission shall consider whether an Arbitrator has
determined that the claim is not compensable or whether the
employer has made payments under Section 8(j).
    (l) If the employee has made written demand for payment of
benefits under Section 8(a) or Section 8(b), the employer
shall have 14 days after receipt of the demand to set forth in
writing the reason for the delay. In the case of demand for
payment of medical benefits under Section 8(a), the time for
the employer to respond shall not commence until the
expiration of the allotted 30 days specified under Section
8.2(d). In case the employer or his or her insurance carrier
shall without good and just cause fail, neglect, refuse, or
unreasonably delay the payment of benefits under Section 8(a)
or Section 8(b), the Arbitrator or the Commission shall allow
to the employee additional compensation in the sum of $30 per
day for each day that the benefits under Section 8(a) or
Section 8(b) have been so withheld or refused, not to exceed
$10,000. A delay in payment of 14 days or more shall create a
rebuttable presumption of unreasonable delay.
    (m) If the commission finds that an accidental injury was
directly and proximately caused by the employer's wilful
violation of a health and safety standard under the Health and
Safety Act or the Occupational Safety and Health Act in force
at the time of the accident, the arbitrator or the Commission
shall allow to the injured employee or his dependents, as the
case may be, additional compensation equal to 25% of the
amount which otherwise would be payable under the provisions
of this Act exclusive of this paragraph. The additional
compensation herein provided shall be allowed by an
appropriate increase in the applicable weekly compensation
rate.
    (n) After June 30, 1984, decisions of the Illinois
Workers' Compensation Commission reviewing an award of an
arbitrator of the Commission shall draw interest at a rate
equal to the yield on indebtedness issued by the United States
Government with a 26-week maturity next previously auctioned
on the day on which the decision is filed. Said rate of
interest shall be set forth in the Arbitrator's Decision.
Interest shall be drawn from the date of the arbitrator's
award on all accrued compensation due the employee through the
day prior to the date of payments. However, when an employee
appeals an award of an Arbitrator or the Commission, and the
appeal results in no change or a decrease in the award,
interest shall not further accrue from the date of such
appeal.
    The employer or his insurance carrier may tender the
payments due under the award to stop the further accrual of
interest on such award notwithstanding the prosecution by
either party of review, certiorari, appeal to the Supreme
Court or other steps to reverse, vacate or modify the award.
    (o) By the 15th day of each month each insurer providing
coverage for losses under this Act shall notify each insured
employer of any compensable claim incurred during the
preceding month and the amounts paid or reserved on the claim
including a summary of the claim and a brief statement of the
reasons for compensability. A cumulative report of all claims
incurred during a calendar year or continued from the previous
year shall be furnished to the insured employer by the insurer
within 30 days after the end of that calendar year.
    The insured employer may challenge, in proceeding before
the Commission, payments made by the insurer without
arbitration and payments made after a case is determined to be
noncompensable. If the Commission finds that the case was not
compensable, the insurer shall purge its records as to that
employer of any loss or expense associated with the claim,
reimburse the employer for attorneys' fees arising from the
challenge and for any payment required of the employer to the
Rate Adjustment Fund or the Second Injury Fund, and may not
reflect the loss or expense for rate making purposes. The
employee shall not be required to refund the challenged
payment. The decision of the Commission may be reviewed in the
same manner as in arbitrated cases. No challenge may be
initiated under this paragraph more than 3 years after the
payment is made. An employer may waive the right of challenge
under this paragraph on a case by case basis.
    (p) After filing an application for adjustment of claim
but prior to the hearing on arbitration the parties may
voluntarily agree to submit such application for adjustment of
claim for decision by an arbitrator under this subsection (p)
where such application for adjustment of claim raises only a
dispute over temporary total disability, permanent partial
disability or medical expenses. Such agreement shall be in
writing in such form as provided by the Commission.
Applications for adjustment of claim submitted for decision by
an arbitrator under this subsection (p) shall proceed
according to rule as established by the Commission. The
Commission shall promulgate rules including, but not limited
to, rules to ensure that the parties are adequately informed
of their rights under this subsection (p) and of the voluntary
nature of proceedings under this subsection (p). The findings
of fact made by an arbitrator acting within his or her powers
under this subsection (p) in the absence of fraud shall be
conclusive. However, the arbitrator may on his own motion, or
the motion of either party, correct any clerical errors or
errors in computation within 15 days after the date of receipt
of such award of the arbitrator and shall have the power to
recall the original award on arbitration, and issue in lieu
thereof such corrected award. The decision of the arbitrator
under this subsection (p) shall be considered the decision of
the Commission and proceedings for review of questions of law
arising from the decision may be commenced by either party
pursuant to subsection (f) of Section 19. The Advisory Board
established under Section 13.1 shall compile a list of
certified Commission arbitrators, each of whom shall be
approved by at least 7 members of the Advisory Board. The
chairman shall select 5 persons from such list to serve as
arbitrators under this subsection (p). By agreement, the
parties shall select one arbitrator from among the 5 persons
selected by the chairman except that if the parties do not
agree on an arbitrator from among the 5 persons, the parties
may, by agreement, select an arbitrator of the American
Arbitration Association, whose fee shall be paid by the State
in accordance with rules promulgated by the Commission.
Arbitration under this subsection (p) shall be voluntary.
(Source: P.A. 101-384, eff. 1-1-20.)
 
    Section 45. The Workers' Occupational Diseases Act is
amended by changing Section 19 as follows:
 
    (820 ILCS 310/19)  (from Ch. 48, par. 172.54)
    Sec. 19. Any disputed questions of law or fact shall be
determined as herein provided.
    (a) It shall be the duty of the Commission upon
notification that the parties have failed to reach an
agreement to designate an Arbitrator.
        (1) The application for adjustment of claim filed with
    the Commission shall state:
            A. The approximate date of the last day of the last
        exposure and the approximate date of the disablement.
            B. The general nature and character of the illness
        or disease claimed.
            C. The name and address of the employer by whom
        employed on the last day of the last exposure and if
        employed by any other employer after such last
        exposure and before disablement the name and address
        of such other employer or employers.
            D. In case of death, the date and place of death.
        (2) Amendments to applications for adjustment of claim
    which relate to the same disablement or disablement
    resulting in death originally claimed upon may be allowed
    by the Commissioner or an Arbitrator thereof, in their
    discretion, and in the exercise of such discretion, they
    may in proper cases order a trial de novo; such amendment
    shall relate back to the date of the filing of the original
    application so amended.
        (3) Whenever any claimant misconceives his remedy and
    files an application for adjustment of claim under this
    Act and it is subsequently discovered, at any time before
    final disposition of such cause, that the claim for
    disability or death which was the basis for such
    application should properly have been made under the
    Workers' Compensation Act, then the provisions of Section
    19 paragraph (a-1) of the Workers' Compensation Act having
    reference to such application shall apply.
        Whenever any claimant misconceives his remedy and
    files an application for adjustment of claim under the
    Workers' Compensation Act and it is subsequently
    discovered, at any time before final disposition of such
    cause that the claim for injury or death which was the
    basis for such application should properly have been made
    under this Act, then the application so filed under the
    Workers' Compensation Act may be amended in form,
    substance or both to assert claim for such disability or
    death under this Act and it shall be deemed to have been so
    filed as amended on the date of the original filing
    thereof, and such compensation may be awarded as is
    warranted by the whole evidence pursuant to the provisions
    of this Act. When such amendment is submitted, further or
    additional evidence may be heard by the Arbitrator or
    Commission when deemed necessary; provided, that nothing
    in this Section contained shall be construed to be or
    permit a waiver of any provisions of this Act with
    reference to notice, but notice if given shall be deemed
    to be a notice under the provisions of this Act if given
    within the time required herein.
    (b) The Arbitrator shall make such inquiries and
investigations as he shall deem necessary and may examine and
inspect all books, papers, records, places, or premises
relating to the questions in dispute and hear such proper
evidence as the parties may submit.
    The hearings before the Arbitrator shall be held in the
vicinity where the last exposure occurred, after 10 days'
notice of the time and place of such hearing shall have been
given to each of the parties or their attorneys of record.
    The Arbitrator may find that the disabling condition is
temporary and has not yet reached a permanent condition and
may order the payment of compensation up to the date of the
hearing, which award shall be reviewable and enforceable in
the same manner as other awards, and in no instance be a bar to
a further hearing and determination of a further amount of
temporary total compensation or of compensation for permanent
disability, but shall be conclusive as to all other questions
except the nature and extent of such disability.
    The decision of the Arbitrator shall be filed with the
Commission which Commission shall immediately send to each
party or his attorney a copy of such decision, together with a
notification of the time when it was filed. As of the effective
date of this amendatory Act of the 94th General Assembly, all
decisions of the Arbitrator shall set forth in writing
findings of fact and conclusions of law, separately stated, if
requested by either party. Unless a petition for review is
filed by either party within 30 days after the receipt by such
party of the copy of the decision and notification of time when
filed, and unless such party petitioning for a review shall
within 35 days after the receipt by him of the copy of the
decision, file with the Commission either an agreed statement
of the facts appearing upon the hearing before the Arbitrator,
or if such party shall so elect a correct transcript of
evidence of the proceedings at such hearings, then the
decision shall become the decision of the Commission and in
the absence of fraud shall be conclusive. The Petition for
Review shall contain a statement of the petitioning party's
specific exceptions to the decision of the arbitrator. The
jurisdiction of the Commission to review the decision of the
arbitrator shall not be limited to the exceptions stated in
the Petition for Review. The Commission, or any member
thereof, may grant further time not exceeding 30 days, in
which to file such agreed statement or transcript of evidence.
Such agreed statement of facts or correct transcript of
evidence, as the case may be, shall be authenticated by the
signatures of the parties or their attorneys, and in the event
they do not agree as to the correctness of the transcript of
evidence it shall be authenticated by the signature of the
Arbitrator designated by the Commission.
    Whether the employee is working or not, if the employee is
not receiving or has not received medical, surgical, or
hospital services or other services or compensation as
provided in paragraph (a) of Section 8 of the Workers'
Compensation Act, or compensation as provided in paragraph (b)
of Section 8 of the Workers' Compensation Act, the employee
may at any time petition for an expedited hearing by an
Arbitrator on the issue of whether or not he or she is entitled
to receive payment of the services or compensation. Provided
the employer continues to pay compensation pursuant to
paragraph (b) of Section 8 of the Workers' Compensation Act,
the employer may at any time petition for an expedited hearing
on the issue of whether or not the employee is entitled to
receive medical, surgical, or hospital services or other
services or compensation as provided in paragraph (a) of
Section 8 of the Workers' Compensation Act, or compensation as
provided in paragraph (b) of Section 8 of the Workers'
Compensation Act. When an employer has petitioned for an
expedited hearing, the employer shall continue to pay
compensation as provided in paragraph (b) of Section 8 of the
Workers' Compensation Act unless the arbitrator renders a
decision that the employee is not entitled to the benefits
that are the subject of the expedited hearing or unless the
employee's treating physician has released the employee to
return to work at his or her regular job with the employer or
the employee actually returns to work at any other job. If the
arbitrator renders a decision that the employee is not
entitled to the benefits that are the subject of the expedited
hearing, a petition for review filed by the employee shall
receive the same priority as if the employee had filed a
petition for an expedited hearing by an arbitrator. Neither
party shall be entitled to an expedited hearing when the
employee has returned to work and the sole issue in dispute
amounts to less than 12 weeks of unpaid compensation pursuant
to paragraph (b) of Section 8 of the Workers' Compensation
Act.
    Expedited hearings shall have priority over all other
petitions and shall be heard by the Arbitrator and Commission
with all convenient speed. Any party requesting an expedited
hearing shall give notice of a request for an expedited
hearing under this paragraph. A copy of the Application for
Adjustment of Claim shall be attached to the notice. The
Commission shall adopt rules and procedures under which the
final decision of the Commission under this paragraph is filed
not later than 180 days from the date that the Petition for
Review is filed with the Commission.
    Where 2 or more insurance carriers, private self-insureds,
or a group workers' compensation pool under Article V 3/4 of
the Illinois Insurance Code dispute coverage for the same
disease, any such insurance carrier, private self-insured, or
group workers' compensation pool may request an expedited
hearing pursuant to this paragraph to determine the issue of
coverage, provided coverage is the only issue in dispute and
all other issues are stipulated and agreed to and further
provided that all compensation benefits including medical
benefits pursuant to Section 8(a) of the Workers' Compensation
Act continue to be paid to or on behalf of petitioner. Any
insurance carrier, private self-insured, or group workers'
compensation pool that is determined to be liable for coverage
for the disease in issue shall reimburse any insurance
carrier, private self-insured, or group workers' compensation
pool that has paid benefits to or on behalf of petitioner for
the disease.
    (b-1) If the employee is not receiving, pursuant to
Section 7, medical, surgical or hospital services of the type
provided for in paragraph (a) of Section 8 of the Workers'
Compensation Act or compensation of the type provided for in
paragraph (b) of Section 8 of the Workers' Compensation Act,
the employee, in accordance with Commission Rules, may file a
petition for an emergency hearing by an Arbitrator on the
issue of whether or not he is entitled to receive payment of
such compensation or services as provided therein. Such
petition shall have priority over all other petitions and
shall be heard by the Arbitrator and Commission with all
convenient speed.
    Such petition shall contain the following information and
shall be served on the employer at least 15 days before it is
filed:
        (i) the date and approximate time of the last
    exposure;
        (ii) the approximate location of the last exposure;
        (iii) a description of the last exposure;
        (iv) the nature of the disability incurred by the
    employee;
        (v) the identity of the person, if known, to whom the
    disability was reported and the date on which it was
    reported;
        (vi) the name and title of the person, if known,
    representing the employer with whom the employee conferred
    in any effort to obtain pursuant to Section 7 compensation
    of the type provided for in paragraph (b) of Section 8 of
    the Workers' Compensation Act or medical, surgical or
    hospital services of the type provided for in paragraph
    (a) of Section 8 of the Workers' Compensation Act and the
    date of such conference;
        (vii) a statement that the employer has refused to pay
    compensation pursuant to Section 7 of the type provided
    for in paragraph (b) of Section 8 of the Workers'
    Compensation Act or for medical, surgical or hospital
    services pursuant to Section 7 of the type provided for in
    paragraph (a) of Section 8 of the Workers' Compensation
    Act;
        (viii) the name and address, if known, of each witness
    to the last exposure and of each other person upon whom the
    employee will rely to support his allegations;
        (ix) the dates of treatment related to the disability
    by medical practitioners, and the names and addresses of
    such practitioners, including the dates of treatment
    related to the disability at any hospitals and the names
    and addresses of such hospitals, and a signed
    authorization permitting the employer to examine all
    medical records of all practitioners and hospitals named
    pursuant to this paragraph;
        (x) a copy of a signed report by a medical
    practitioner, relating to the employee's current inability
    to return to work because of the disability incurred as a
    result of the exposure or such other documents or
    affidavits which show that the employee is entitled to
    receive pursuant to Section 7 compensation of the type
    provided for in paragraph (b) of Section 8 of the Workers'
    Compensation Act or medical, surgical or hospital services
    of the type provided for in paragraph (a) of Section 8 of
    the Workers' Compensation Act. Such reports, documents or
    affidavits shall state, if possible, the history of the
    exposure given by the employee, and describe the
    disability and medical diagnosis, the medical services for
    such disability which the employee has received and is
    receiving, the physical activities which the employee
    cannot currently perform as a result of such disability,
    and the prognosis for recovery;
        (xi) complete copies of any reports, records,
    documents and affidavits in the possession of the employee
    on which the employee will rely to support his
    allegations, provided that the employer shall pay the
    reasonable cost of reproduction thereof;
        (xii) a list of any reports, records, documents and
    affidavits which the employee has demanded by subpoena and
    on which he intends to rely to support his allegations;
        (xiii) a certification signed by the employee or his
    representative that the employer has received the petition
    with the required information 15 days before filing.
    Fifteen days after receipt by the employer of the petition
with the required information the employee may file said
petition and required information and shall serve notice of
the filing upon the employer. The employer may file a motion
addressed to the sufficiency of the petition. If an objection
has been filed to the sufficiency of the petition, the
arbitrator shall rule on the objection within 2 working days.
If such an objection is filed, the time for filing the final
decision of the Commission as provided in this paragraph shall
be tolled until the arbitrator has determined that the
petition is sufficient.
    The employer shall, within 15 days after receipt of the
notice that such petition is filed, file with the Commission
and serve on the employee or his representative a written
response to each claim set forth in the petition, including
the legal and factual basis for each disputed allegation and
the following information: (i) complete copies of any reports,
records, documents and affidavits in the possession of the
employer on which the employer intends to rely in support of
his response, (ii) a list of any reports, records, documents
and affidavits which the employer has demanded by subpoena and
on which the employer intends to rely in support of his
response, (iii) the name and address of each witness on whom
the employer will rely to support his response, and (iv) the
names and addresses of any medical practitioners selected by
the employer pursuant to Section 12 of this Act and the time
and place of any examination scheduled to be made pursuant to
such Section.
    Any employer who does not timely file and serve a written
response without good cause may not introduce any evidence to
dispute any claim of the employee but may cross examine the
employee or any witness brought by the employee and otherwise
be heard.
    No document or other evidence not previously identified by
either party with the petition or written response, or by any
other means before the hearing, may be introduced into
evidence without good cause. If, at the hearing, material
information is discovered which was not previously disclosed,
the Arbitrator may extend the time for closing proof on the
motion of a party for a reasonable period of time which may be
more than 30 days. No evidence may be introduced pursuant to
this paragraph as to permanent disability. No award may be
entered for permanent disability pursuant to this paragraph.
Either party may introduce into evidence the testimony taken
by deposition of any medical practitioner.
    The Commission shall adopt rules, regulations and
procedures whereby the final decision of the Commission is
filed not later than 90 days from the date the petition for
review is filed but in no event later than 180 days from the
date the petition for an emergency hearing is filed with the
Illinois Workers' Compensation Commission.
    All service required pursuant to this paragraph (b-1) must
be by personal service or by certified mail and with evidence
of receipt. In addition, for the purposes of this paragraph,
all service on the employer must be at the premises where the
accident occurred if the premises are owned or operated by the
employer. Otherwise service must be at the employee's
principal place of employment by the employer. If service on
the employer is not possible at either of the above, then
service shall be at the employer's principal place of
business. After initial service in each case, service shall be
made on the employer's attorney or designated representative.
    (c)(1) At a reasonable time in advance of and in
connection with the hearing under Section 19(e) or 19(h), the
Commission may on its own motion order an impartial physical
or mental examination of a petitioner whose mental or physical
condition is in issue, when in the Commission's discretion it
appears that such an examination will materially aid in the
just determination of the case. The examination shall be made
by a member or members of a panel of physicians chosen for
their special qualifications by the Illinois State Medical
Society. The Commission shall establish procedures by which a
physician shall be selected from such list.
    (2) Should the Commission at any time during the hearing
find that compelling considerations make it advisable to have
an examination and report at that time, the Commission may in
its discretion so order.
    (3) A copy of the report of examination shall be given to
the Commission and to the attorneys for the parties.
    (4) Either party or the Commission may call the examining
physician or physicians to testify. Any physician so called
shall be subject to cross-examination.
    (5) The examination shall be made, and the physician or
physicians, if called, shall testify, without cost to the
parties. The Commission shall determine the compensation and
the pay of the physician or physicians. The compensation for
this service shall not exceed the usual and customary amount
for such service.
    The fees and payment thereof of all attorneys and
physicians for services authorized by the Commission under
this Act shall, upon request of either the employer or the
employee or the beneficiary affected, be subject to the review
and decision of the Commission.
    (d) If any employee shall persist in insanitary or
injurious practices which tend to either imperil or retard his
recovery or shall refuse to submit to such medical, surgical,
or hospital treatment as is reasonably essential to promote
his recovery, the Commission may, in its discretion, reduce or
suspend the compensation of any such employee; provided, that
when an employer and employee so agree in writing, the
foregoing provision shall not be construed to authorize the
reduction or suspension of compensation of an employee who is
relying in good faith, on treatment by prayer or spiritual
means alone, in accordance with the tenets and practice of a
recognized church or religious denomination, by a duly
accredited practitioner thereof.
    (e) This paragraph shall apply to all hearings before the
Commission. Such hearings may be held in its office or
elsewhere as the Commission may deem advisable. The taking of
testimony on such hearings may be had before any member of the
Commission. If a petition for review and agreed statement of
facts or transcript of evidence is filed, as provided herein,
the Commission shall promptly review the decision of the
Arbitrator and all questions of law or fact which appear from
the statement of facts or transcripts of evidence. In all
cases in which the hearing before the arbitrator is held after
the effective date of this amendatory Act of 1989, no
additional evidence shall be introduced by the parties before
the Commission on review of the decision of the Arbitrator.
The Commission shall file in its office its decision thereon,
and shall immediately send to each party or his attorney a copy
of such decision and a notification of the time when it was
filed. Decisions shall be filed within 60 days after the
Statement of Exceptions and Supporting Brief and Response
thereto are required to be filed or oral argument whichever is
later.
    In the event either party requests oral argument, such
argument shall be had before a panel of 3 members of the
Commission (or before all available members pursuant to the
determination of 7 members of the Commission that such
argument be held before all available members of the
Commission) pursuant to the rules and regulations of the
Commission. A panel of 3 members, which shall be comprised of
not more than one representative citizen of the employing
class and not more than one representative from a labor
organization recognized under the National Labor Relations Act
or an attorney who has represented labor organizations or has
represented employees in workers' compensation cases, shall
hear the argument; provided that if all the issues in dispute
are solely the nature and extent of the permanent partial
disability, if any, a majority of the panel may deny the
request for such argument and such argument shall not be held;
and provided further that 7 members of the Commission may
determine that the argument be held before all available
members of the Commission. A decision of the Commission shall
be approved by a majority of Commissioners present at such
hearing if any; provided, if no such hearing is held, a
decision of the Commission shall be approved by a majority of a
panel of 3 members of the Commission as described in this
Section. The Commission shall give 10 days' notice to the
parties or their attorneys of the time and place of such taking
of testimony and of such argument.
    In any case the Commission in its decision may in its
discretion find specially upon any question or questions of
law or facts which shall be submitted in writing by either
party whether ultimate or otherwise; provided that on issues
other than nature and extent of the disablement, if any, the
Commission in its decision shall find specially upon any
question or questions of law or fact, whether ultimate or
otherwise, which are submitted in writing by either party;
provided further that not more than 5 such questions may be
submitted by either party. Any party may, within 20 days after
receipt of notice of the Commission's decision, or within such
further time, not exceeding 30 days, as the Commission may
grant, file with the Commission either an agreed statement of
the facts appearing upon the hearing, or, if such party shall
so elect, a correct transcript of evidence of the additional
proceedings presented before the Commission in which report
the party may embody a correct statement of such other
proceedings in the case as such party may desire to have
reviewed, such statement of facts or transcript of evidence to
be authenticated by the signature of the parties or their
attorneys, and in the event that they do not agree, then the
authentication of such transcript of evidence shall be by the
signature of any member of the Commission.
    If a reporter does not for any reason furnish a transcript
of the proceedings before the Arbitrator in any case for use on
a hearing for review before the Commission, within the
limitations of time as fixed in this Section, the Commission
may, in its discretion, order a trial de novo before the
Commission in such case upon application of either party. The
applications for adjustment of claim and other documents in
the nature of pleadings filed by either party, together with
the decisions of the Arbitrator and of the Commission and the
statement of facts or transcript of evidence hereinbefore
provided for in paragraphs (b) and (c) shall be the record of
the proceedings of the Commission, and shall be subject to
review as hereinafter provided.
    At the request of either party or on its own motion, the
Commission shall set forth in writing the reasons for the
decision, including findings of fact and conclusions of law,
separately stated. The Commission shall by rule adopt a format
for written decisions for the Commission and arbitrators. The
written decisions shall be concise and shall succinctly state
the facts and reasons for the decision. The Commission may
adopt in whole or in part, the decision of the arbitrator as
the decision of the Commission. When the Commission does so
adopt the decision of the arbitrator, it shall do so by order.
Whenever the Commission adopts part of the arbitrator's
decision, but not all, it shall include in the order the
reasons for not adopting all of the arbitrator's decision.
When a majority of a panel, after deliberation, has arrived at
its decision, the decision shall be filed as provided in this
Section without unnecessary delay, and without regard to the
fact that a member of the panel has expressed an intention to
dissent. Any member of the panel may file a dissent. Any
dissent shall be filed no later than 10 days after the decision
of the majority has been filed.
    Decisions rendered by the Commission after the effective
date of this amendatory Act of 1980 and dissents, if any, shall
be published together by the Commission. The conclusions of
law set out in such decisions shall be regarded as precedents
by arbitrators, for the purpose of achieving a more uniform
administration of this Act.
    (f) The decision of the Commission acting within its
powers, according to the provisions of paragraph (e) of this
Section shall, in the absence of fraud, be conclusive unless
reviewed as in this paragraph hereinafter provided. However,
the Arbitrator or the Commission may on his or its own motion,
or on the motion of either party, correct any clerical error or
errors in computation within 15 days after the date of receipt
of any award by such Arbitrator or any decision on review of
the Commission, and shall have the power to recall the
original award on arbitration or decision on review, and issue
in lieu thereof such corrected award or decision. Where such
correction is made the time for review herein specified shall
begin to run from the date of the receipt of the corrected
award or decision.
        (1) Except in cases of claims against the State of
    Illinois, in which case the decision of the Commission
    shall not be subject to judicial review, the Circuit Court
    of the county where any of the parties defendant may be
    found, or if none of the parties defendant be found in this
    State then the Circuit Court of the county where any of the
    exposure occurred, shall by summons to the Commission have
    power to review all questions of law and fact presented by
    such record.
        A proceeding for review shall be commenced within 20
    days of the receipt of notice of the decision of the
    Commission. The summons shall be issued by the clerk of
    such court upon written request returnable on a designated
    return day, not less than 10 or more than 60 days from the
    date of issuance thereof, and the written request shall
    contain the last known address of other parties in
    interest and their attorneys of record who are to be
    served by summons. Service upon any member of the
    Commission or the Secretary or the Assistant Secretary
    thereof shall be service upon the Commission, and service
    upon other parties in interest and their attorneys of
    record shall be by summons, and such service shall be made
    upon the Commission and other parties in interest by
    mailing notices of the commencement of the proceedings and
    the return day of the summons to the office of the
    Commission and to the last known place of residence of
    other parties in interest or their attorney or attorneys
    of record. The clerk of the court issuing the summons
    shall on the day of issue mail notice of the commencement
    of the proceedings which shall be done by mailing a copy of
    the summons to the office of the Commission, and a copy of
    the summons to the other parties in interest or their
    attorney or attorneys of record and the clerk of the court
    shall make certificate that he has so sent such notices in
    pursuance of this Section, which shall be evidence of
    service on the Commission and other parties in interest.
        The Commission shall not be required to certify the
    record of their proceedings in the Circuit Court unless
    the party commencing the proceedings for review in the
    Circuit Court as above provided, shall file with the
    Commission notice of intent to file for review in Circuit
    Court. It shall be the duty of the Commission upon such
    filing of notice of intent to file for review in Circuit
    Court to prepare a true and correct copy of such testimony
    and a true and correct copy of all other matters contained
    in such record and certified to by the Secretary or
    Assistant Secretary thereof. The changes made to this
    subdivision (f)(1) by this amendatory Act of the 98th
    General Assembly apply to any Commission decision entered
    after the effective date of this amendatory Act of the
    98th General Assembly.
        No request for a summons may be filed and no summons
    shall issue unless the party seeking to review the
    decision of the Commission shall exhibit to the clerk of
    the Circuit Court proof of filing with the Commission of
    the notice of the intent to file for review in the Circuit
    Court or an affidavit of the attorney setting forth that
    notice of intent to file for review in Circuit Court has
    been given in writing to the Secretary or Assistant
    Secretary of the Commission.
        (2) No such summons shall issue unless the one against
    whom the Commission shall have rendered an award for the
    payment of money shall upon the filing of his written
    request for such summons file with the clerk of the court a
    bond conditioned that if he shall not successfully
    prosecute the review, he will pay the award and the costs
    of the proceedings in the court. The amount of the bond
    shall be fixed by any member of the Commission and the
    surety or sureties of the bond shall be approved by the
    clerk of the court. The acceptance of the bond by the clerk
    of the court shall constitute evidence of his approval of
    the bond.
        The following Every county, city, town, township,
    incorporated village, school district, body politic or
    municipal corporation having a population of 500,000 or
    more against whom the Commission shall have rendered an
    award for the payment of money shall not be required to
    file a bond to secure the payment of the award and the
    costs of the proceedings in the court to authorize the
    court to issue such summons: .
            (1) the State Treasurer, for a fund administered
        by the State Treasurer ex officio against whom the
        Commission shall have rendered an award for the
        payment of money; and
            (2) a county, city, town, township, incorporated
        village, school district, body politic, or municipal
        corporation having a population of 500,000 or more
        against whom the Commission shall have rendered an
        award for the payment of money.
        The court may confirm or set aside the decision of the
    Commission. If the decision is set aside and the facts
    found in the proceedings before the Commission are
    sufficient, the court may enter such decision as is
    justified by law, or may remand the cause to the
    Commission for further proceedings and may state the
    questions requiring further hearing, and give such other
    instructions as may be proper. Appeals shall be taken to
    the Appellate Court in accordance with Supreme Court Rules
    22(g) and 303. Appeals shall be taken from the Appellate
    Court to the Supreme Court in accordance with Supreme
    Court Rule 315.
        It shall be the duty of the clerk of any court
    rendering a decision affecting or affirming an award of
    the Commission to promptly furnish the Commission with a
    copy of such decision, without charge.
        The decision of a majority of the members of the panel
    of the Commission, shall be considered the decision of the
    Commission.
    (g) Except in the case of a claim against the State of
Illinois, either party may present a certified copy of the
award of the Arbitrator, or a certified copy of the decision of
the Commission when the same has become final, when no
proceedings for review are pending, providing for the payment
of compensation according to this Act, to the Circuit Court of
the county in which such exposure occurred or either of the
parties are residents, whereupon the court shall enter a
judgment in accordance therewith. In case where the employer
refuses to pay compensation according to such final award or
such final decision upon which such judgment is entered, the
court shall in entering judgment thereon, tax as costs against
him the reasonable costs and attorney fees in the arbitration
proceedings and in the court entering the judgment for the
person in whose favor the judgment is entered, which judgment
and costs taxed as herein provided shall, until and unless set
aside, have the same effect as though duly entered in an action
duly tried and determined by the court, and shall with like
effect, be entered and docketed. The Circuit Court shall have
power at any time upon application to make any such judgment
conform to any modification required by any subsequent
decision of the Supreme Court upon appeal, or as the result of
any subsequent proceedings for review, as provided in this
Act.
    Judgment shall not be entered until 15 days' notice of the
time and place of the application for the entry of judgment
shall be served upon the employer by filing such notice with
the Commission, which Commission shall, in case it has on file
the address of the employer or the name and address of its
agent upon whom notices may be served, immediately send a copy
of the notice to the employer or such designated agent.
    (h) An agreement or award under this Act providing for
compensation in installments, may at any time within 18 months
after such agreement or award be reviewed by the Commission at
the request of either the employer or the employee on the
ground that the disability of the employee has subsequently
recurred, increased, diminished or ended.
    However, as to disablements occurring subsequently to July
1, 1955, which are covered by any agreement or award under this
Act providing for compensation in installments made as a
result of such disablement, such agreement or award may at any
time within 30 months after such agreement or award be
reviewed by the Commission at the request of either the
employer or the employee on the ground that the disability of
the employee has subsequently recurred, increased, diminished
or ended.
    On such review compensation payments may be
re-established, increased, diminished or ended. The Commission
shall give 15 days' notice to the parties of the hearing for
review. Any employee, upon any petition for such review being
filed by the employer, shall be entitled to one day's notice
for each 100 miles necessary to be traveled by him in attending
the hearing of the Commission upon the petition, and 3 days in
addition thereto. Such employee shall, at the discretion of
the Commission, also be entitled to 5 cents per mile
necessarily traveled by him within the State of Illinois in
attending such hearing, not to exceed a distance of 300 miles,
to be taxed by the Commission as costs and deposited with the
petition of the employer.
    When compensation which is payable in accordance with an
award or settlement contract approved by the Commission, is
ordered paid in a lump sum by the Commission, no review shall
be had as in this paragraph mentioned.
    (i) Each party, upon taking any proceedings or steps
whatsoever before any Arbitrator, Commission or court, shall
file with the Commission his address, or the name and address
of any agent upon whom all notices to be given to such party
shall be served, either personally or by registered mail,
addressed to such party or agent at the last address so filed
with the Commission. In the event such party has not filed his
address, or the name and address of an agent as above provided,
service of any notice may be had by filing such notice with the
Commission.
    (j) Whenever in any proceeding testimony has been taken or
a final decision has been rendered, and after the taking of
such testimony or after such decision has become final, the
employee dies, then in any subsequent proceeding brought by
the personal representative or beneficiaries of the deceased
employee, such testimony in the former proceeding may be
introduced with the same force and effect as though the
witness having so testified were present in person in such
subsequent proceedings and such final decision, if any, shall
be taken as final adjudication of any of the issues which are
the same in both proceedings.
    (k) In any case where there has been any unreasonable or
vexatious delay of payment or intentional underpayment of
compensation, or proceedings have been instituted or carried
on by one liable to pay the compensation, which do not present
a real controversy, but are merely frivolous or for delay,
then the Commission may award compensation additional to that
otherwise payable under this Act equal to 50% of the amount
payable at the time of such award. Failure to pay compensation
in accordance with the provisions of Section 8, paragraph (b)
of this Act, shall be considered unreasonable delay.
    When determining whether this subsection (k) shall apply,
the Commission shall consider whether an arbitrator has
determined that the claim is not compensable or whether the
employer has made payments under Section 8(j) of the Workers'
Compensation Act.
    (k-1) If the employee has made written demand for payment
of benefits under Section 8(a) or Section 8(b) of the Workers'
Compensation Act, the employer shall have 14 days after
receipt of the demand to set forth in writing the reason for
the delay. In the case of demand for payment of medical
benefits under Section 8(a) of the Workers' Compensation Act,
the time for the employer to respond shall not commence until
the expiration of the allotted 60 days specified under Section
8.2(d) of the Workers' Compensation Act. In case the employer
or his or her insurance carrier shall without good and just
cause fail, neglect, refuse, or unreasonably delay the payment
of benefits under Section 8(a) or Section 8(b) of the Workers'
Compensation Act, the Arbitrator or the Commission shall allow
to the employee additional compensation in the sum of $30 per
day for each day that the benefits under Section 8(a) or
Section 8(b) of the Workers' Compensation Act have been so
withheld or refused, not to exceed $10,000. A delay in payment
of 14 days or more shall create a rebuttable presumption of
unreasonable delay.
    (l) By the 15th day of each month each insurer providing
coverage for losses under this Act shall notify each insured
employer of any compensable claim incurred during the
preceding month and the amounts paid or reserved on the claim
including a summary of the claim and a brief statement of the
reasons for compensability. A cumulative report of all claims
incurred during a calendar year or continued from the previous
year shall be furnished to the insured employer by the insurer
within 30 days after the end of that calendar year.
    The insured employer may challenge, in proceeding before
the Commission, payments made by the insurer without
arbitration and payments made after a case is determined to be
noncompensable. If the Commission finds that the case was not
compensable, the insurer shall purge its records as to that
employer of any loss or expense associated with the claim,
reimburse the employer for attorneys fee arising from the
challenge and for any payment required of the employer to the
Rate Adjustment Fund or the Second Injury Fund, and may not
effect the loss or expense for rate making purposes. The
employee shall not be required to refund the challenged
payment. The decision of the Commission may be reviewed in the
same manner as in arbitrated cases. No challenge may be
initiated under this paragraph more than 3 years after the
payment is made. An employer may waive the right of challenge
under this paragraph on a case by case basis.
    (m) After filing an application for adjustment of claim
but prior to the hearing on arbitration the parties may
voluntarily agree to submit such application for adjustment of
claim for decision by an arbitrator under this subsection (m)
where such application for adjustment of claim raises only a
dispute over temporary total disability, permanent partial
disability or medical expenses. Such agreement shall be in
writing in such form as provided by the Commission.
Applications for adjustment of claim submitted for decision by
an arbitrator under this subsection (m) shall proceed
according to rule as established by the Commission. The
Commission shall promulgate rules including, but not limited
to, rules to ensure that the parties are adequately informed
of their rights under this subsection (m) and of the voluntary
nature of proceedings under this subsection (m). The findings
of fact made by an arbitrator acting within his or her powers
under this subsection (m) in the absence of fraud shall be
conclusive. However, the arbitrator may on his own motion, or
the motion of either party, correct any clerical errors or
errors in computation within 15 days after the date of receipt
of such award of the arbitrator and shall have the power to
recall the original award on arbitration, and issue in lieu
thereof such corrected award. The decision of the arbitrator
under this subsection (m) shall be considered the decision of
the Commission and proceedings for review of questions of law
arising from the decision may be commenced by either party
pursuant to subsection (f) of Section 19. The Advisory Board
established under Section 13.1 of the Workers' Compensation
Act shall compile a list of certified Commission arbitrators,
each of whom shall be approved by at least 7 members of the
Advisory Board. The chairman shall select 5 persons from such
list to serve as arbitrators under this subsection (m). By
agreement, the parties shall select one arbitrator from among
the 5 persons selected by the chairman except, that if the
parties do not agree on an arbitrator from among the 5 persons,
the parties may, by agreement, select an arbitrator of the
American Arbitration Association, whose fee shall be paid by
the State in accordance with rules promulgated by the
Commission. Arbitration under this subsection (m) shall be
voluntary.
(Source: P.A. 101-384, eff. 1-1-20.)
 
    Section 50. The Unemployment Insurance Act is amended by
changing Section 1900 as follows:
 
    (820 ILCS 405/1900)  (from Ch. 48, par. 640)
    Sec. 1900. Disclosure of information.
    A. Except as provided in this Section, information
obtained from any individual or employing unit during the
administration of this Act shall:
        1. be confidential,
        2. not be published or open to public inspection,
        3. not be used in any court in any pending action or
    proceeding,
        4. not be admissible in evidence in any action or
    proceeding other than one arising out of this Act.
    B. No finding, determination, decision, ruling, or order
(including any finding of fact, statement or conclusion made
therein) issued pursuant to this Act shall be admissible or
used in evidence in any action other than one arising out of
this Act, nor shall it be binding or conclusive except as
provided in this Act, nor shall it constitute res judicata,
regardless of whether the actions were between the same or
related parties or involved the same facts.
    C. Any officer or employee of this State, any officer or
employee of any entity authorized to obtain information
pursuant to this Section, and any agent of this State or of
such entity who, except with authority of the Director under
this Section or as authorized pursuant to subsection P-1,
shall disclose information shall be guilty of a Class B
misdemeanor and shall be disqualified from holding any
appointment or employment by the State.
    D. An individual or his duly authorized agent may be
supplied with information from records only to the extent
necessary for the proper presentation of his claim for
benefits or with his existing or prospective rights to
benefits. Discretion to disclose this information belongs
solely to the Director and is not subject to a release or
waiver by the individual. Notwithstanding any other provision
to the contrary, an individual or his or her duly authorized
agent may be supplied with a statement of the amount of
benefits paid to the individual during the 18 months preceding
the date of his or her request.
    E. An employing unit may be furnished with information,
only if deemed by the Director as necessary to enable it to
fully discharge its obligations or safeguard its rights under
the Act. Discretion to disclose this information belongs
solely to the Director and is not subject to a release or
waiver by the employing unit.
    F. The Director may furnish any information that he may
deem proper to any public officer or public agency of this or
any other State or of the federal government dealing with:
        1. the administration of relief,
        2. public assistance,
        3. unemployment compensation,
        4. a system of public employment offices,
        5. wages and hours of employment, or
        6. a public works program.
    The Director may make available to the Illinois Workers'
Compensation Commission or the Department of Insurance
information regarding employers for the purpose of verifying
the insurance coverage required under the Workers'
Compensation Act and Workers' Occupational Diseases Act.
    G. The Director may disclose information submitted by the
State or any of its political subdivisions, municipal
corporations, instrumentalities, or school or community
college districts, except for information which specifically
identifies an individual claimant.
    H. The Director shall disclose only that information
required to be disclosed under Section 303 of the Social
Security Act, as amended, including:
        1. any information required to be given the United
    States Department of Labor under Section 303(a)(6); and
        2. the making available upon request to any agency of
    the United States charged with the administration of
    public works or assistance through public employment, the
    name, address, ordinary occupation, and employment status
    of each recipient of unemployment compensation, and a
    statement of such recipient's right to further
    compensation under such law as required by Section
    303(a)(7); and
        3. records to make available to the Railroad
    Retirement Board as required by Section 303(c)(1); and
        4. information that will assure reasonable cooperation
    with every agency of the United States charged with the
    administration of any unemployment compensation law as
    required by Section 303(c)(2); and
        5. information upon request and on a reimbursable
    basis to the United States Department of Agriculture and
    to any State food stamp agency concerning any information
    required to be furnished by Section 303(d); and
        6. any wage information upon request and on a
    reimbursable basis to any State or local child support
    enforcement agency required by Section 303(e); and
        7. any information required under the income
    eligibility and verification system as required by Section
    303(f); and
        8. information that might be useful in locating an
    absent parent or that parent's employer, establishing
    paternity or establishing, modifying, or enforcing child
    support orders for the purpose of a child support
    enforcement program under Title IV of the Social Security
    Act upon the request of and on a reimbursable basis to the
    public agency administering the Federal Parent Locator
    Service as required by Section 303(h); and
        9. information, upon request, to representatives of
    any federal, State, or local governmental public housing
    agency with respect to individuals who have signed the
    appropriate consent form approved by the Secretary of
    Housing and Urban Development and who are applying for or
    participating in any housing assistance program
    administered by the United States Department of Housing
    and Urban Development as required by Section 303(i).
    I. The Director, upon the request of a public agency of
Illinois, of the federal government, or of any other state
charged with the investigation or enforcement of Section 10-5
of the Criminal Code of 2012 (or a similar federal law or
similar law of another State), may furnish the public agency
information regarding the individual specified in the request
as to:
        1. the current or most recent home address of the
    individual, and
        2. the names and addresses of the individual's
    employers.
    J. Nothing in this Section shall be deemed to interfere
with the disclosure of certain records as provided for in
Section 1706 or with the right to make available to the
Internal Revenue Service of the United States Department of
the Treasury, or the Department of Revenue of the State of
Illinois, information obtained under this Act. With respect to
each benefit claim that appears to have been filed other than
by the individual in whose name the claim was filed or by the
individual's authorized agent and with respect to which
benefits were paid during the prior calendar year, the
Director shall annually report to the Department of Revenue
information that is in the Director's possession and may
assist in avoiding negative income tax consequences for the
individual in whose name the claim was filed.
    K. The Department shall make available to the Illinois
Student Assistance Commission, upon request, information in
the possession of the Department that may be necessary or
useful to the Commission in the collection of defaulted or
delinquent student loans which the Commission administers.
    L. The Department shall make available to the State
Employees' Retirement System, the State Universities
Retirement System, the Teachers' Retirement System of the
State of Illinois, and the Department of Central Management
Services, Risk Management Division, upon request, information
in the possession of the Department that may be necessary or
useful to the System or the Risk Management Division for the
purpose of determining whether any recipient of a disability
benefit from the System or a workers' compensation benefit
from the Risk Management Division is gainfully employed.
    M. This Section shall be applicable to the information
obtained in the administration of the State employment
service, except that the Director may publish or release
general labor market information and may furnish information
that he may deem proper to an individual, public officer, or
public agency of this or any other State or the federal
government (in addition to those public officers or public
agencies specified in this Section) as he prescribes by Rule.
    N. The Director may require such safeguards as he deems
proper to insure that information disclosed pursuant to this
Section is used only for the purposes set forth in this
Section.
    O. Nothing in this Section prohibits communication with an
individual or entity through unencrypted e-mail or other
unencrypted electronic means as long as the communication does
not contain the individual's or entity's name in combination
with any one or more of the individual's or entity's entire or
partial social security number; driver's license or State
identification number; credit or debit card number; or any
required security code, access code, or password that would
permit access to further information pertaining to the
individual or entity.
    P. (Blank).
    P-1. With the express written consent of a claimant or
employing unit and an agreement not to publicly disclose, the
Director shall provide requested information related to a
claim to an elected official performing constituent services
or his or her agent.
    Q. The Director shall make available to an elected federal
official the name and address of an individual or entity that
is located within the jurisdiction from which the official was
elected and that, for the most recently completed calendar
year, has reported to the Department as paying wages to
workers, where the information will be used in connection with
the official duties of the official and the official requests
the information in writing, specifying the purposes for which
it will be used. For purposes of this subsection, the use of
information in connection with the official duties of an
official does not include use of the information in connection
with the solicitation of contributions or expenditures, in
money or in kind, to or on behalf of a candidate for public or
political office or a political party or with respect to a
public question, as defined in Section 1-3 of the Election
Code, or in connection with any commercial solicitation. Any
elected federal official who, in submitting a request for
information covered by this subsection, knowingly makes a
false statement or fails to disclose a material fact, with the
intent to obtain the information for a purpose not authorized
by this subsection, shall be guilty of a Class B misdemeanor.
    R. The Director may provide to any State or local child
support agency, upon request and on a reimbursable basis,
information that might be useful in locating an absent parent
or that parent's employer, establishing paternity, or
establishing, modifying, or enforcing child support orders.
    S. The Department shall make available to a State's
Attorney of this State or a State's Attorney's investigator,
upon request, the current address or, if the current address
is unavailable, current employer information, if available, of
a victim of a felony or a witness to a felony or a person
against whom an arrest warrant is outstanding.
    T. The Director shall make available to the Illinois State
Police, a county sheriff's office, or a municipal police
department, upon request, any information concerning the
current address and place of employment or former places of
employment of a person who is required to register as a sex
offender under the Sex Offender Registration Act that may be
useful in enforcing the registration provisions of that Act.
    U. The Director shall make information available to the
Department of Healthcare and Family Services and the
Department of Human Services for the purpose of determining
eligibility for public benefit programs authorized under the
Illinois Public Aid Code and related statutes administered by
those departments, for verifying sources and amounts of
income, and for other purposes directly connected with the
administration of those programs.
    V. The Director shall make information available to the
State Board of Elections as may be required by an agreement the
State Board of Elections has entered into with a multi-state
voter registration list maintenance system.
    W. The Director shall make information available to the
State Treasurer's office and the Department of Revenue for the
purpose of facilitating compliance with the Illinois Secure
Choice Savings Program Act, including employer contact
information for employers with 25 or more employees and any
other information the Director deems appropriate that is
directly related to the administration of this program.
    X. The Director shall make information available, upon
request, to the Illinois Student Assistance Commission for the
purpose of determining eligibility for the adult vocational
community college scholarship program under Section 65.105 of
the Higher Education Student Assistance Act.
    Y. Except as required under State or federal law, or
unless otherwise provided for in this Section, the Department
shall not disclose an individual's entire social security
number in any correspondence physically mailed to an
individual or entity.
(Source: P.A. 101-315, eff. 1-1-20; 102-26, eff. 6-25-21;
102-538, eff. 8-20-21; revised 11-8-21.)
 
    Section 99. Effective date. This Act takes effect upon
becoming law.