Chapter 215, INSURANCE

(215 ILCS 5/123A-3) (from Ch. 73, par. 735A-3) (Section scheduled to be repealed on January 1, 2037) Sec. 123A-3. Scope of Article. The provisions of this Article apply to all classes of insurance in Section 4 of the "Illinois Insurance Code" except Clause (d) of Class 2. This Ar…

(215 ILCS 5/123A-4) (from Ch. 73, par. 735A-4) (Section scheduled to be repealed on January 1, 2037) Sec. 123A-4. Licenses - Application - Fees. (1) An advisory organization must be licensed by the Director before it is authorized to conduct activities in this State. (2) Any advi…

(215 ILCS 5/123A-5) (from Ch. 73, par. 735A-5) (Section scheduled to be repealed on January 1, 2037) Sec. 123A-5. Issuance of License. (1) The Director shall examine each application for license as an advisory organization and the supporting documents and data filed with it and m…

(215 ILCS 5/123A-6) (from Ch. 73, par. 735A-6) (Section scheduled to be repealed on January 1, 2037) Sec. 123A-6. Documents prerequisite to engaging in activities. No advisory organization and no group, association or other organization authorized in 123A-10 of this Code may enga…

(215 ILCS 5/123A-7) (from Ch. 73, par. 735A-7) (Section scheduled to be repealed on January 1, 2037) Sec. 123A-7. Eligibility for membership-activities of Advisory Organization. Subject to the approval of the Director, every advisory organization must make reasonable rules govern…

(215 ILCS 5/123A-8) (from Ch. 73, par. 735A-8) (Section scheduled to be repealed on January 1, 2037) Sec. 123A-8. Common ownership or management organization. If 2 or more companies have common ownership or are operating in this State under common management, the advisory organiz…

(215 ILCS 5/123A-9) (from Ch. 73, par. 735A-9) (Section scheduled to be repealed on January 1, 2037) Sec. 123A-9. Authorization to act. (1) Any advisory organization is authorized to compile statistics and to formulate insurance policies, bond forms and underwriting rules and to …

(215 ILCS 5/123B-1) (from Ch. 73, par. 735B-1) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-1. Purpose. The purpose of this Article is to regulate the formation or operation, or both, of risk retention groups and purchasing groups in Illinois formed pursuant to…

(215 ILCS 5/123B-10) (from Ch. 73, par. 735B-10) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-10. Administrative and procedural authority regarding risk retention groups and purchasing groups. The Director is authorized to make use of any of the powers establis…

(215 ILCS 5/123B-11) (from Ch. 73, par. 735B-11) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-11. Duty on producers to obtain license. A. Any person offering, acting or seeking to solicit, sell, purchase, administer or otherwise service a liability insurance co…

(215 ILCS 5/123B-12) (from Ch. 73, par. 735B-12) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-12. Binding effect of orders issued in U.S. District Court. An order issued by any United States District Court enjoining a risk retention group from soliciting or sel…

(215 ILCS 5/123B-13) (from Ch. 73, par. 735B-13) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-13. Rules and regulations. The Director may establish and from time to time amend such rules relating to risk retention groups as may be necessary or desirable to carr…

(215 ILCS 5/123B-14) (from Ch. 73, par. 735B-14) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-14. Severability. If any clause, sentence, paragraph, Section or part of this Article or the application thereof to any person or circumstances, shall, for any reason,…

(215 ILCS 5/123B-15) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-15. Article repeal. This Article is repealed on January 1, 2057. (Source: P.A. 103-823, eff. 8-9-24.)

(215 ILCS 5/123B-2) (from Ch. 73, par. 735B-2) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-2. Definitions. As used in this Article: (1) "Director" means the Director of the Department of Insurance. (2) "Completed operations liability" means liability arising o…

(215 ILCS 5/123B-3) (from Ch. 73, par. 735B-3) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-3. Risk retention groups organized in this State. A. A risk retention group shall either: (1) pursuant to the provisions of Articles II or III, be organized to write onl…

(215 ILCS 5/123B-4) (from Ch. 73, par. 735B-4) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-4. Risk retention groups not organized in this State. Any risk retention group organized and licensed in a state other than this State and seeking to do business as a ri…

(215 ILCS 5/123B-5) (from Ch. 73, par. 735B-5) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-5. Compulsory associations. A. No risk retention group shall be required or permitted to join or contribute financially to the Illinois Insurance Guaranty Fund, or any o…

(215 ILCS 5/123B-6) (from Ch. 73, par. 735B-6) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-6. Countersignatures not required. Notwithstanding any contrary provision of this Code, a policy of insurance issued to a risk retention group or any member of that grou…

(215 ILCS 5/123B-7) (from Ch. 73, par. 735B-7) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-7. Purchasing groups - exemption from certain laws relating to the group purchase of insurance. Any purchasing group meeting the criteria established under the provision…

(215 ILCS 5/123B-8) (from Ch. 73, par. 735B-8) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-8. Notice and registration requirements of purchasing groups. A. A purchasing group that intends to do business in this State shall, prior to doing business, furnish not…

(215 ILCS 5/123B-9) (from Ch. 73, par. 735B-9) (Section scheduled to be repealed on January 1, 2057) Sec. 123B-9. Restrictions on insurance purchased by purchasing groups. A. A purchasing group may not purchase insurance from a risk retention group that is not organized in a stat…

(215 ILCS 5/123C-1) (from Ch. 73, par. 735C-1) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-1. Definitions. As used in this Article: A. "Affiliate" or "Affiliated company" includes a parent entity that controls a captive insurance company and: (1) is an affilia…

(215 ILCS 5/123C-10) (from Ch. 73, par. 735C-10) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-10. Examinations and investigations; fees. A. The provisions of Sections 132 through 132.7 shall apply to captive insurance companies. The expenses and charges of any …

(215 ILCS 5/123C-11) (from Ch. 73, par. 735C-11) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-11. Grounds and procedures for suspension or revocation of certificate of authority. A. The certificate of authority of a captive insurance company to do an insurance …

(215 ILCS 5/123C-12) (from Ch. 73, par. 735C-12) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-12. Legal investments. A. The provisions of Article VIII and of Sections 131.2 and 131.3 shall apply to association captive insurance companies. B. No pure captive ins…

(215 ILCS 5/123C-13) (from Ch. 73, par. 735C-13) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-13. Reinsurance. A. Any captive insurance company may provide reinsurance on risks ceded by any other insurer; provided, however, that the risks so assumed are the sam…

(215 ILCS 5/123C-14) (from Ch. 73, par. 735C-14) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-14. Rating organizations; memberships; rate or policy filing. No captive insurance company shall be required to join a rating organization. No captive insurance compan…

(215 ILCS 5/123C-15) (from Ch. 73, par. 735C-15) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-15. Exemption from compulsory associations. No captive insurance company shall be permitted or required to join or contribute financially to any plan, pool, associatio…

(215 ILCS 5/123C-16) (from Ch. 73, par. 735C-16) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-16. Tax. A. Every captive insurance company organized under the provisions of this Article and doing business in this State shall, for the privilege of doing business …

(215 ILCS 5/123C-17) (from Ch. 73, par. 735C-17) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-17. Fees. A. The Director shall charge, collect, and give proper acquittances for the payment of the following fees and charges with respect to a captive insurance com…

(215 ILCS 5/123C-18) (from Ch. 73, par. 735C-18) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-18. Additional powers, rights, and obligations. In addition to the powers and duties set forth in the other provisions of this Article VIIC and to the extent not incon…

(215 ILCS 5/123C-19) (from Ch. 73, par. 735C-19) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-19. Letters of credit. A. Any letter of credit used to meet the requirements set forth in Sections 123C-3 and 123C-4: (1) (blank); (2) may not be allowed to expire wit…

(215 ILCS 5/123C-2) (from Ch. 73, par. 735C-2) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-2. Authority of captives; restrictions. A. (Blank). A-5. A captive insurance company may not issue: (1) life insurance; (2) annuities; (3) accident and health insurance …

(215 ILCS 5/123C-20) (from Ch. 73, par. 735C-20) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-20. Laws applicable. No provisions of this Code, other than those contained in this Article or contained in specific references contained in this Article, shall apply …

(215 ILCS 5/123C-21) (from Ch. 73, par. 735C-21) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-21. Severability. If any clause, sentence, paragraph, Section or part of this Article or the application thereof to any person or circumstances, shall, for any reason,…

(215 ILCS 5/123C-22) (from Ch. 73, par. 735C-22) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-22. Subordinated indebtedness. A captive insurance company organized under this Article may borrow or assume a liability for the repayment of a sum of money upon a wri…

(215 ILCS 5/123C-23) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-23. Approval of captive reinsurance pools. Before determining whether to approve a captive insurance company's participation in a captive reinsurance pool under Section 123C-13 of this Code, the …

(215 ILCS 5/123C-24) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-24. Standards for risk management of controlled unaffiliated business. The Director may adopt rules establishing standards to ensure that an affiliated company is able to exercise control of the …

(215 ILCS 5/123C-25) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-25. Captive managers. Before providing captive management services to a licensed captive insurance company, a captive management company shall register with the Director by providing the informat…

(215 ILCS 5/123C-26) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-26. Dividends. A. A captive insurance company shall notify the Director in writing when issuing policyholder dividends. B. A captive insurance company, with the Director's approval, may issue div…

(215 ILCS 5/123C-27) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-27. Rulemaking authority. The Director may adopt reasonable rules as necessary to implement the purposes and provisions of this Article. (Source: P.A. 100-1118, eff. 11-27-18.)

(215 ILCS 5/123C-28) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-28. Confidentiality. A. Any information filed by an applicant or captive insurance company under this Article is confidential and privileged for all purposes, including for purposes of the Freedo…

(215 ILCS 5/123C-3) (from Ch. 73, par. 735C-3) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-3. Minimum capital and surplus. A. The Department may not issue a certificate of authority to a captive insurance company unless the company possesses and maintains unen…

(215 ILCS 5/123C-5) (from Ch. 73, par. 735C-5) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-5. Formation of captive insurance companies in this State; certificate of authority. A. A pure captive insurance company shall be incorporated as a stock insurer with it…

(215 ILCS 5/123C-6) (from Ch. 73, par. 735C-6) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-6. Change in plan of operation; violations. Any material change in items (i) through (v) of the captive insurance company's plan of operations described in subparagraph …

(215 ILCS 5/123C-7) (from Ch. 73, par. 735C-7) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-7. Directors - conflicts of interest. A. The provisions of Section 10 shall apply to stock captive insurance companies and all those having dealings therewith and the pr…

(215 ILCS 5/123C-8) (from Ch. 73, par. 735C-8) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-8. Merger, consolidation, plans of exchange and reorganization. A. The provisions of Article X shall apply to captive insurance companies; provided, however, that: (1) i…

(215 ILCS 5/123C-9) (from Ch. 73, par. 735C-9) (Section scheduled to be repealed on January 1, 2037) Sec. 123C-9. Reports, statements and mandatory reserves. A. Captive insurance companies shall not be required to make any annual report except as provided in this Article. B. (1) …

(215 ILCS 5/123D-1) Sec. 123D-1. Purpose; construction. The purpose of this Article is to provide for the organization of and issuance of a certificate of authority to nonprofit risk organizations that insure nonprofit organizations and that will qualify, and continue to qualify,…