Public Act 90-0333 of the 90th General Assembly
Public Act 90-0333
HB1117 Enrolled LRB9002571RCks
AN ACT to amend the Criminal Code of 1961 by changing the
heading of Article 46, changing Sections 46-1, 46-2, 46-3,
46-4, and 46-5, and adding Section 46-1.1.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Criminal Code of 1961 is amended by
changing the heading of Article 46, changing Sections 46-1,
46-2, 46-3, 46-4, and 46-5, and adding Section 46-1.1 as
follows:
(720 ILCS 5/Art. 46 heading)
ARTICLE 46. INSURANCE FRAUD, FRAUD ON THE GOVERNMENT,
AND RELATED OFFENSES
(720 ILCS 5/46-1)
Sec. 46-1. Insurance fraud.
(a) A person commits the offense of insurance fraud when
he or she who knowingly obtains, attempts to obtain, or
causes to be obtained, by deception, control over the
property of an insurance company or self-insured entity by
the making of a false claim on any policy of insurance issued
by an insurance company or by the making of a false claim to
a self-insured entity, intending to deprive an insurance
company or self-insured entity permanently of the use and
benefit of that property, commits insurance fraud.
(b) Sentence.
(1) A violation of this Section in which the value
of the property obtained or attempted to be obtained is
$300 or less is a Class A misdemeanor.
(2) A violation of the Section in which the value
of the property obtained or attempted to be obtained is
more than $300 but not more than $10,000 is a Class 3
felony.
(3) A violation of this Section in which the value
of the property obtained or attempted to be obtained is
more than $10,000 but not more than $100,000 is a Class 2
felony.
(4) A violation of this Section in which the value
of the property obtained or attempted to be obtained is
more than $100,000 is a Class 1 felony.
(c) For the purposes of this Article Section, where the
exact value of property obtained or attempted to be obtained
is either not alleged by the accused or not specifically set
by the terms of a the policy of insurance, the value of the
property shall be the fair market replacement value of the
property claimed to be lost, the reasonable costs of
reimbursing a vendor or other claimant for services to be
rendered, or both.
(d) Definitions. For the purposes of this Article:
(1) "Insurance company" means "company" as defined
under Section 2 of the Illinois Insurance Code.
(2) "Self-insured entity" means any person,
business, partnership, corporation, or organization that
sets aside funds to meet his, her, or its losses or to
absorb fluctuations in the amount of loss, the losses
being charged against the funds set aside or accumulated.
(3) "Obtain", "obtains control", "deception",
"property" and "permanent deprivation" have the meanings
ascribed to those terms in Article 15 of this Code.
(4) "Governmental entity" means each officer,
board, commission, and agency created by the
constitution, whether in the executive, legislative, or
judicial branch of State government; each officer,
department, board, commission, agency, institution,
authority, university, and body politic and corporate of
the State; each administrative unit or corporate
outgrowth of State government that is created by or
pursuant to statute, including units of local government
and their officers, school districts, and boards of
election commissioners; and each administrative unit or
corporate outgrowth of the above and as may be created by
executive order of the Governor.
(Source: P.A. 87-1134; 88-45.)
(720 ILCS 5/46-1.1 new)
Sec. 46-1.1. Fraud on a governmental entity.
(a) A person commits the offense of fraud on a
governmental entity when he or she knowingly obtains,
attempts to obtain, or causes to be obtained, by deception,
control over the property of any governmental entity by the
making of a false claim of bodily injury or of damage to or
loss or theft of property against the governmental entity,
intending to deprive the governmental entity permanently of
the use and benefit of that property.
(b) Sentence.
(1) A violation of this Section in which the value
of the property obtained or attempted to be obtained is
$300 or less is a Class A misdemeanor.
(2) A violation of this Section in which the value
of the property obtained or attempted to be obtained is
more than $300 but not more than $10,000 is a Class 3
felony.
(3) A violation of this Section in which the value
of the property obtained or attempted to be obtained is
more than $10,000 but not more than $100,000 is a Class 2
felony.
(4) A violation of this Section in which the value
of the property obtained or attempted to be obtained is
more than $100,000 is a Class 1 felony.
(720 ILCS 5/46-2)
Sec. 46-2. Aggravated insurance fraud.
(a) A person commits the offense of aggravated insurance
fraud when he or she, within an 18 month period, obtains,
attempts to obtain, or causes to be obtained, by deception,
control over the property of an insurance company or
insurance companies, a self-insured entity or self-insured
entities, or any governmental entity or governmental entities
by the making of 3 or more false claims allegedly arising out
of separate incidents or transactions in violation of Section
46-1 or 46-1.1 of this Code on any policy or policies issued
by an insurance company or insurance companies intending to
deprive an insurance company or insurance companies
permanently of the use and benefit of that property.
(b) Sentence. A violation of this Section is a Class 1
felony, regardless of the value of the property obtained,
attempted to be obtained, or caused to be obtained.
(Source: P.A. 87-1134; 88-45.)
(720 ILCS 5/46-3)
Sec. 46-3. Insurance fraud Conspiracy to commit fraud.
(a) A person commits insurance fraud conspiracy to
commit fraud when, with the intent that a violation of
Section 46-1, 46-1.1, or 46-2 of this Code be committed, he
agrees with another to violate either Section 46-1, 46-1.1,
or 46-2. No person may be convicted of insurance fraud
conspiracy to commit fraud unless an overt act or acts in
furtherance of the agreement is alleged and proved to have
been committed by him or by a co-conspirator and the accused
is a part of a common scheme or plan to engage in the
unlawful activity. Where the offense agreed intended to be
committed is a violation of Section 46-2, the person or
persons with whom the accused is alleged to have agreed to
commit the 3 or more violations of Section 46-1 or 46-1.1
need not be the same person or persons for each violation, as
long as the accused was a part of the common scheme or plan
to engage in each of the 3 or more alleged violations.
(b) It is not a defense to insurance fraud conspiracy to
commit fraud that the person or persons with whom the accused
is alleged to have conspired:
(1) have not been prosecuted or convicted;
(2) have been convicted of a different offense;
(3) are not amenable to justice;
(4) have been acquitted; or
(5) lacked the capacity to commit an offense.
(c) Notwithstanding Section 8-5 of this Code, a person
may be convicted and sentenced both for the offense of
insurance fraud conspiracy to commit fraud and for any other
offense that is the object of the conspiracy.
(d) Insurance fraud Conspiracy to commit fraud involving
a violation of Section 46-1 or 46-1.1 of this Code is a Class
2 felony. Insurance fraud conspiracy involving a violation
of Section 46-2 of this Code is a Class 1 felony.
(Source: P.A. 87-1134; 88-45.)
(720 ILCS 5/46-4)
Sec. 46-4. Organizer of an aggravated insurance fraud
conspiracy.
(a) A person commits organizer of an aggravated
insurance fraud conspiracy when he:
(1) with the intent that a violation of Section
46-2 of this Code be committed, agrees with another to
the commission of that offense; and
(2) with respect to other persons within the
conspiracy, occupies a position of organizer, supervisor,
financer, or other position of management.
No person may be convicted of organizer of an aggravated
insurance fraud conspiracy unless an overt act or acts in
furtherance of the agreement is alleged and proved to have
been committed by him or by a co-conspirator and the accused
is part of a common scheme or plan to engage in the unlawful
activity. For the purposes of this Section, the person or
persons with whom the accused is alleged to have agreed to
commit the 3 or more violations of Section 46-1 or 46-1.1 of
this Code need not be the same person or persons for each
violation, as long as the accused occupied a position of
organizer, supervisor, financer, or other position of
management in each of the 3 or more alleged violations.
(b) It is not a defense to organizer of an aggravated
insurance fraud conspiracy that the person or persons with
whom the accused is alleged to have conspired:
(1) have not been prosecuted or convicted;
(2) have been convicted of a different offense;
(3) are not amenable to justice;
(4) have been acquitted; or
(5) lacked the capacity to commit an offense.
(c) Notwithstanding Section 8-5 of this Code, a person
may be convicted and sentenced both for the offense of
organizer of an aggravated insurance fraud conspiracy and for
any other offense that is the object of the conspiracy.
(d) Organizer of an aggravated insurance fraud
conspiracy is a Class X 1 felony.
(Source: P.A. 87-1134; 88-45.)
(720 ILCS 5/46-5)
Sec. 46-5. Civil damages for insurance fraud or fraud on
a governmental entity.
(a) A person who knowingly obtains, attempts to obtain,
or causes to be obtained, by deception, control over the
property of any insurance company by the making of a false
claim on a policy of insurance issued by an insurance
company, or by the making of a false claim to a self-insured
entity intending to deprive an insurance company or
self-insured entity permanently of the use and benefit of
that property, shall be civilly liable to the insurance
company or self-insured entity that paid the claim or against
whom the claim was made or to the subrogee of that insurance
company or self-insured entity in an amount equal to either 3
times the value of the property wrongfully obtained or, if no
property was wrongfully obtained, twice the value of the
property attempted to be obtained, whichever amount is
greater, plus reasonable attorneys fees. A person who
knowingly obtains, attempts to obtain, or causes to be
obtained, by deception, control over the property of a
governmental entity by the making of a false claim of bodily
injury or of damage to or loss or theft of property,
intending to deprive the governmental entity permanently of
the use and benefit of that property, shall be civilly liable
to the governmental entity that paid the claim or against
whom the claim was made or to the subrogee of the
governmental entity in an amount equal to either 3 times the
value of the property wrongfully obtained or, if property was
not wrongfully obtained, twice the value of the property
attempted to be obtained, whichever amount is greater, plus
reasonable attorneys fees.
(b) An insurance company or self-insured entity that
brings an action against a person under subsection (a) of
this Section in bad faith shall be liable to that person for
twice the value of the property claimed, plus reasonable
attorneys fees. In determining whether an insurance company
or self-insured entity acted in bad faith, the court shall
relax the rules of evidence to allow for the introduction of
any facts or other information on which the insurance company
or self-insured entity may have relied in bringing an action
under subsection (a) of this Section.
(c) For the purposes of this Section, where the exact
value of the property attempted to be obtained is either not
alleged by the claimant or not specifically set by the terms
of a the policy of insurance, the value of the property shall
be the fair market replacement value of the property claimed
to be lost, the reasonable costs of reimbursing a vendor or
other claimant for services to be rendered, or both.
(Source: P.A. 87-1134; 88-45.)