Chapter 215 — INSURANCE

(215 ILCS 5/167) (from Ch. 73, par. 779) Sec. 167. Rights of dissenting shareholders of domestic company. (1) If a shareholder entitled to vote of (a) a domestic company which is a party to a merger or consolidation or (b) a domestic insurance company to be acquired under a plan …

(215 ILCS 5/168) (from Ch. 73, par. 780) Sec. 168. Rights of dissenting policyholder of domestic company. (1) If not less than five per centum of all the policyholders in any domestic company who were entitled to vote with respect to any merger or consolidation and who did not vo…

(215 ILCS 5/169) (from Ch. 73, par. 781) Sec. 169. Rights of dissenting shareholders and policyholders of foreign or alien company. The rights of any dissenting shareholder, member or policyholder of any foreign or alien company party to a merger or consolidation, shall be those …

(215 ILCS 5/169.1) (from Ch. 73, par. 781.1) Sec. 169.1. Effect of exchange under plan of exchange. (1) Upon a plan of exchange becoming effective, the exchange provided for therein is considered to have been consummated and each shareholder of the domestic stock insurance compan…

(215 ILCS 5/169.2) (from Ch. 73, par. 781.2) Sec. 169.2. Acquiring and acquired corporations under a plan of exchange to be separate. The domestic stock insurance company acquired under a plan of exchange and the acquiring corporation are in all respects separate and distinct cor…

(215 ILCS 5/17) (from Ch. 73, par. 629) (Section scheduled to be repealed on January 1, 2027) Sec. 17. Publication of intention. (1) Upon complying with the provisions of Section 15, the incorporators shall cause to be published in a newspaper of general circulation in this State…

(215 ILCS 5/170) (from Ch. 73, par. 782) Sec. 170. Transfer of deposits. (1) If the surviving or new company shall be a foreign or alien company and the laws of the state or country under which such surviving or new company is incorporated or organized shall require the maintenan…

(215 ILCS 5/1701) Sec. 1701. Short title. This Article may be cited as the Insurance Business Transfer Law. (Source: P.A. 103-75, eff. 1-1-25.)

(215 ILCS 5/1703) Sec. 1703. Purpose and intent. The purpose of this Article is to provide a mechanism for insurers to transfer or assume blocks of insurance business in an efficient and cost-effective manner that provides needed legal finality for such transfers in order to prov…

(215 ILCS 5/1705) Sec. 1705. Definitions. As used in this Article: "Affiliate" means a person that directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with the person specified. "Applicant" means a transferring insure…

(215 ILCS 5/171) (from Ch. 73, par. 783) Sec. 171. Certificates of fees and commissions paid. Whenever agreements of merger or consolidation or plans of exchange are filed with the Director, there shall also be filed a certificate executed by the president or a vice-president and…

(215 ILCS 5/1710) Sec. 1710. Court authority. Notwithstanding any other provision of law, a court may issue any order, process, or judgment that is necessary or appropriate to carry out the provisions of this Article. No provision of this Article shall be construed to preclude a …

(215 ILCS 5/1715) Sec. 1715. Notice requirements. (a) Whenever notice is required to be given by an applicant under this Article, except as otherwise permitted by a court or the Director, the applicant shall within 15 days after the event triggering the requirement transmit the n…

(215 ILCS 5/172) (from Ch. 73, par. 784) Sec. 172. Payment of fees to officer or director prohibited. (1) No director or officer of any company party to a merger or consolidation or plan of exchange, except as fully expressed in the agreement of merger or consolidation or plan of…

(215 ILCS 5/1720) Sec. 1720. Application procedure. (a) Before filing an insurance business transfer plan, the applicant shall file with the Department a notice of its intention to file a plan and shall pay the required fee. Upon request, the applicant and the assuming insurer sh…

(215 ILCS 5/1725) Sec. 1725. Application to the court for approval of a plan. (a) Within 30 days after notice from the Director that the applicant may proceed with the court filing, the applicant shall apply to the court for approval of the insurance business transfer plan. Upon …

(215 ILCS 5/173) (from Ch. 73, par. 785) Sec. 173. Reinsurance authorized. (a) Subject to the provisions of this Article, any domestic company may, by a reinsurance agreement, accept any part or all of any risks of the kind which it is authorized to insure and it may cede all or …

(215 ILCS 5/173.1) (from Ch. 73, par. 785.1) Sec. 173.1. Credit allowed a domestic ceding insurer. (1) Except as otherwise provided under Article VIII 1/2 of this Code and related provisions of the Illinois Administrative Code, credit for reinsurance shall be allowed a domestic c…

(215 ILCS 5/173.2) (from Ch. 73, par. 785.2) Sec. 173.2. Reserve credit for liability assumed. No credit shall be allowed as an admitted asset or as a deduction from liability, to any ceding company for reinsurance unless the reinsurance is payable by the assuming company on the …

(215 ILCS 5/173.3) (from Ch. 73, par. 785.3) Sec. 173.3. Payment by assuming company. (1) No such credit shall be allowed for reinsurance unless the reinsurance agreement provides that payments by the assuming company shall be made directly to the ceding company or to its liquida…

(215 ILCS 5/173.4) (from Ch. 73, par. 785.4) Sec. 173.4. Assuming company may defend claims for insolvent ceding company. Such reinsurance agreement may provide that the liquidator or receiver of an insolvent ceding company shall give written notice of the pendency of a claim aga…

(215 ILCS 5/173.5) (from Ch. 73, par. 785.5) Sec. 173.5. Crediting of commissions from cancellable reinsurance. Where the parties to a reinsurance contract cancel such contract within 90 days of its effective date without providing for a runoff of the reinsurance in force at the …

(215 ILCS 5/1730) Sec. 1730. Approval; denial; insurance business transfer plans. (a) After the comment period pursuant to subsection (f) of Section 1725 has ended the insurance business transfer plan shall be presented by the applicant for approval by the court. (b) At any time …

(215 ILCS 5/1735) Sec. 1735. Rules. The Department may adopt rules that are consistent with the provisions of this Article. (Source: P.A. 103-75, eff. 1-1-25.)

(215 ILCS 5/174) (from Ch. 73, par. 786) Sec. 174. Kinds of agreements requiring approval. (1) The following kinds of reinsurance agreements shall not be entered into by any domestic company unless such agreements are approved in writing by the Director: (a) Agreements of reinsur…

(215 ILCS 5/174.1) (from Ch. 73, par. 786.1) Sec. 174.1. Kinds of Agreements Prohibited. No domestic stock company with less than $5,000,000 capital and surplus nor domestic mutual or reciprocal company with less than $5,000,000 surplus may assume as reinsurance any of the kind o…

(215 ILCS 5/1740) Sec. 1740. Confidentiality. The portion of the application for an insurance business transfer that would otherwise be confidential, including any documents, materials, communications, or other information submitted to the Director in contemplation of such applic…

(215 ILCS 5/1745) Sec. 1745. Department oversight. Insurers engaging in an insurance business transfer under this Article consent to the jurisdiction of the Director with regard to any aspect of the transferred business or business transfer plan, including the authority of the Di…

(215 ILCS 5/175) (from Ch. 73, par. 787) Sec. 175. Conditions for approval. Any reinsurance agreement requiring the written approval of the Director under section 174 shall be approved by him if the terms thereof do not injuriously affect the rights of policyholders of any of the…

(215 ILCS 5/1750) Sec. 1750. Fees and costs. (a) All expenses incurred by the Director for the compensation, costs, and expenses of the independent expert and any consultants retained by the independent expert incurred in fulfilling the obligations of the independent expert under…

(215 ILCS 5/176) (from Ch. 73, par. 788) Sec. 176. Pending actions. Whenever a company agrees to assume and carry out directly with the policyholder any of the policy obligations of the ceding company under a reinsurance agreement, any claim existing or action or proceeding pendi…

(215 ILCS 5/177) (from Ch. 73, par. 789) Sec. 177. Transfer of deposits. The provisions of section 170 applicable to the transfer of deposits of legal reserves on policies of merged or consolidated companies shall apply to the transfer of deposits of such reserves of a ceding com…

(215 ILCS 5/178) Sec. 178. (Repealed). (Source: Laws 1937, p. 696. Repealed by P.A. 98-692, eff. 7-1-14; 98-969, eff. 1-1-15.)

(215 ILCS 5/179) (from Ch. 73, par. 791) Sec. 179. Payment of fees to officer or director prohibited. (1) No director or officer of any company, party to a reinsurance agreement, except as fully expressed in the reinsurance agreement, shall receive any fee, commission, other comp…

(215 ILCS 5/179A-1) Sec. 179A-1. Short title. This Article may be cited as the Protected Cell Company Law. (Source: P.A. 91-278, eff. 7-23-99.)

(215 ILCS 5/179A-10) Sec. 179A-10. Definitions. "Domestic company" means an insurance company domiciled in the State of Illinois. "Fully funded" means that, with respect to any exposure attributed to a protected cell, the market value of the protected cell assets, on the date on …

(215 ILCS 5/179A-15) Sec. 179A-15. Establishment of protected cells. (a) A domestic company may, with the prior written approval by the Director of a plan of operation submitted by the domestic company with respect to each protected cell, establish one or more protected cells in …

(215 ILCS 5/179A-20) Sec. 179A-20. Use and operation of protected cells. (a) The protected cell assets of any protected cell may not be charged with liabilities arising out of any other business the protected cell company may conduct. All contracts or other documentation reflecti…

(215 ILCS 5/179A-25) Sec. 179A-25. Reach of creditors and other claimants. (a) Protected cell assets are available only to the creditors of the protected cell company who are creditors in respect of that protected cell and entitled, in conformity with the provisions of this Artic…

(215 ILCS 5/179A-30) Sec. 179A-30. Rehabilitation and liquidation of protected cell companies. (a) Notwithstanding any contrary provision in this Code, the rules promulgated under this Code, or any other applicable law or rule, upon any order of rehabilitation, conservation, or l…

(215 ILCS 5/179A-35) Sec. 179A-35. No transaction of an insurance business. A protected cell insurance securitization shall not be deemed to be an insurance or reinsurance contract. An investor in a protected cell company insurance securitization shall not, by sole means of such …

(215 ILCS 5/179A-40) Sec. 179A-40. Rules. The Director may promulgate reasonable rules as may be necessary to effectuate the purposes of this Article. (Source: P.A. 91-278, eff. 7-23-99.)

(215 ILCS 5/179A-5) Sec. 179A-5. Purpose. This Article is adopted to provide a basis for the creation of protected cells by a domestic insurer as one means of accessing alternative sources of capital and achieving the benefits of insurance securitization. Investors in fully funde…

(215 ILCS 5/179E-1) Sec. 179E-1. Short title. This Article may be cited as the Special Purpose Reinsurance Vehicle Law. (Source: P.A. 92-124, eff. 7-20-01.)

(215 ILCS 5/179E-10) Sec. 179E-10. Exemption from insurance laws within limitations. (a) An SPRV is subject to the following: (1) Articles I, XII 1/2, XXIV, XXV (Sections 408 and 412 only), and XXVIII (except for Sections 445, 445.1, 445.2, 445.3, 445.4, and 445.5) of this Code; …

(215 ILCS 5/179E-100) Sec. 179E-100. Authority to adopt rules. The Director may promulgate rules necessary to effectuate the purposes of this Article. Any rules so promulgated will not affect any existing SPRV insurance securitization in effect at the time of the promulgation. (S…

(215 ILCS 5/179E-15) Sec. 179E-15. Definitions. For purposes of this Article, the following terms have the indicated meanings: "Aggregate limit" means the maximum sum payable to the ceding insurer under an SPRV contract. "Ceding insurer" means one or more insurers or reinsurers u…

(215 ILCS 5/179E-20) Sec. 179E-20. Limited certificate of authority. (a) Within 30 days after receipt by the Director of a complete filing by the prospective SPRV organizer for authority to form or acquire an SPRV, which SPRV shall exist and operate expressly for the limited purp…

(215 ILCS 5/179E-25) Sec. 179E-25. Limited purpose of SPRV. This Article authorizes SPRVs to be created for the limited purpose of entering into insurance securitization transactions with investors and into related agreements to pay one or more ceding insurers agreed upon amounts…

(215 ILCS 5/179E-30) Sec. 179E-30. Approved transactions and operation of SPRVs. (a) SPRVs authorized under this Article may at any given time enter into and effectuate SPRV contracts with one or more ceding insurers, provided that the SPRV contracts obligate the SPRV to indemnif…