(625 ILCS 5/6-1002) Sec. 6-1002. Enhanced skills driving school qualifications. In order to qualify for a license to operate an enhanced skills driving school, each applicant must: (1) be of good moral character; (2) be at least 21 years of age; (3) maintain bodily injury and property damage |
| liability insurance on motor vehicles while used in driving instruction, insuring the liability of the driving school, the driving instructors and any person taking instruction in at least the following amounts: $500,000 for bodily injury to or death of one person in any one crash and, subject to said limit for one person, $1,000,000 for bodily injury to or death of 2 or more persons in any one crash and the amount of $100,000 for damage to property of others in any one crash. Evidence of such insurance coverage in the form of a certificate from the insurance carrier shall be filed with the Secretary of State, and such certificate shall stipulate that the insurance shall not be cancelled except upon 10 days' prior written notice to the Secretary of State;
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(4) have the equipment necessary to the giving of
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| proper instruction in the operation of motor vehicles; and
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(5) pay to the Secretary of State an application fee
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| of $500 and $50 for each branch application.
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(Source: P.A. 102-982, eff. 7-1-23 .)
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(625 ILCS 5/6-1009) Sec. 6-1009. Denial, cancellation, suspension, revocation, and failure to renew license. The Secretary may deny, cancel, suspend or revoke, or refuse to renew any enhanced skills driving school license or any enhanced skills driving school instructor license: (1) When the Secretary is satisfied that the licensee |
| fails to meet the requirements to receive or hold a license under this Code;
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(2) Whenever the licensee fails to keep records
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| required by this Code or by any rule prescribed by the Secretary;
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(3) Whenever the licensee fails to comply with any
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| provision of this Code or any rule of the Secretary made pursuant thereto;
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(4) Whenever the licensee represents himself or
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| herself as an agent or employee of the Secretary or uses advertising designed to lead or which would reasonably have the effect of leading persons to believe that such licensee is in fact an employee or representative of the Secretary;
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(5) Whenever the licensee or any employee or agent of
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| the licensee solicits driver training or instruction in an office of any department of the Secretary of State having to do with the administration of any law relating to motor vehicles, or within 1,500 feet of any such office; or
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(6) Whenever the licensee is convicted of driving
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| while under the influence of alcohol, other drugs, or a combination thereof; leaving the scene of a crash; reckless homicide or reckless driving.
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(Source: P.A. 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-202) (from Ch. 95 1/2, par. 7-202)
Sec. 7-202. Exceptions to requirements of security. (a) The requirements
as to security and suspension as provided by Sections 7-201 and 7-205 shall not apply:
1. To the driver or owner if such owner had in |
| effect at the time of such motor vehicle crash a liability policy covering such driver and owner with respect to the vehicle involved in such motor vehicle crash;
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2. To the driver, if not the owner of such vehicle,
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| if there was in effect at the time of such motor vehicle crash a liability policy or bond with respect to the operation of motor vehicles not owned by the driver;
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3. To the driver or owner if the liability of such
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| driver or owner for damages resulting from such motor vehicle crash is covered by any other form of liability insurance policy or bond;
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4. To the driver or owner, if such owner is qualified
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| as a self-insurer as provided in Section 7-502;
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5. To the owner if such owner at the time of such
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| motor vehicle crash was in compliance with Section 8-101 or Section 9-101;
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6. To the driver or owner if such owner at the time
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| of such motor vehicle crash was in compliance with the Federal Revised Interstate Commerce Act (P.L. 95-473), as now or hereafter amended;
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7. To the owner if the vehicle involved in such motor
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| vehicle crash was owned by the United States, this State or any political sub-division of this State, any municipality therein, or any local Mass Transit District;
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8. To the driver or the owner of a vehicle involved
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| in a motor vehicle crash wherein no injury or damage was caused to the person or property of any one other than such driver or owner;
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9. To the driver or the owner of a vehicle which at
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| the time of the motor vehicle crash was parked, unless such vehicle was parked at a place where parking was at the time of the crash prohibited under any applicable law or ordinance;
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10. To the owner of a vehicle if at the time of the
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| motor vehicle crash the vehicle was being operated without his permission, express or implied, or was parked by a person who had been operating such motor vehicle without such permission;
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11. To the driver, if not the owner, of a commercial
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| motor vehicle on which there was no liability policy or bond with respect to the operation of such vehicle in effect at the time of the motor vehicle crash when the driver was operating the vehicle in the course of the driver's employment and had no actual knowledge of such lack of a liability policy or bond prior to the motor vehicle crash.
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(b) If at the time of the motor vehicle crash, an owner or
driver is covered by a motor vehicle liability policy or bond meeting the
requirements of this Code, such owner or driver shall be exempt
from suspension under Section 7-205 as to that motor vehicle crash,
if the company issuing the policy or bond has failed, and such policy or
bond was not effective at the time of the motor vehicle crash or
any time thereafter, provided, that the owner or driver had no knowledge
of the company's failure prior to the motor vehicle crash, and such
owner or driver has secured within 30 days after learning of such failure
another liability policy or bond meeting the requirements of the Code relating
to future occurrences or motor vehicle crashes.
As used in this paragraph, the words "failed" or "failure"
mean that the company has suspended operations by order of a court.
(Source: P.A. 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-203) (from Ch. 95 1/2, par. 7-203)
Sec. 7-203. Requirements as to policy or bond. No such policy or bond referred to in Section 7-202 shall
be effective under this Section unless issued by an insurance company or
surety company authorized to do business in this State, except that if
such motor vehicle was not registered in this State, or was a motor
vehicle which was registered elsewhere than in this State at the
effective date of the policy or bond, or the most recent renewal
thereof, such policy or bond shall not be effective under this Section
unless the insurance company or surety company, if not authorized to do
business in this State, shall execute a power of attorney authorizing
the Secretary of State to accept service on its behalf of notice or
process in any action upon such policy or bond arising out of such
motor vehicle crash. However, every such policy or bond is subject, if
the motor vehicle crash has resulted in bodily injury or death, to
a limit, exclusive of interest and costs, of not less than $25,000 because of
bodily injury to or death of any one person in any one motor vehicle
crash and, subject to said limit for one person, to a limit of not less than
$50,000 because of bodily injury to or death of 2 or more persons
in any one motor vehicle crash, and, if the motor vehicle crash
has resulted in injury to or destruction of property, to a limit of not
less than $20,000 because of injury to or destruction of
property of others
in any one motor vehicle crash. The changes to this Section made by this amendatory Act of the 98th General Assembly apply only to policies issued or renewed on or after January 1, 2015.
Upon receipt of a written motor vehicle crash
report from the Administrator the insurance company or surety company
named in such notice shall notify the Administrator within such time and
in such manner as the Administrator may require, in case such policy or
bond was not in effect at the time of such motor vehicle crash.
(Source: P.A. 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-204) (from Ch. 95 1/2, par. 7-204)
Sec. 7-204. Form and amount of security - Definition.
(A) Any security required to be deposited under this Act shall be in
the form as the Secretary of State may require by administrative rule, and
in the amounts as the
Administrator may determine to be sufficient to satisfy any judgment or
judgments for damages against an operator or owner but in no case in excess
of the limits specified in Section 7-203 of this Act in reference to the
acceptable limits of a policy or bond nor for an amount less than $1,500 (or $500 if any of the vehicles involved in the crash is subject to Section 7-601 but is not covered by a liability insurance policy in accordance with Section 7-601).
(B) The person depositing security shall specify in writing the person
or persons on whose behalf the deposit is made and, while at any time the
deposit is in the custody of the Secretary of State or State Treasurer, the
person depositing it may, in writing, amend the specification of the person
or persons on whose behalf the deposit is made to include an additional
person or persons; provided, however, that a single deposit of security
shall be applicable only on behalf of persons, required to furnish security
because of the same crash.
(C) Within 10 days after any security required under the provisions of
this Article is deposited with the Secretary of State, the Secretary shall
send notice of the security deposit to the following, if known:
1. To each owner and operator of any vehicle involved |
| in the crash that sustained damage in excess of $1,500 (or $500 if any of the vehicles involved in the crash is subject to Section 7-601 but is not covered by a liability insurance policy in accordance with Section 7-601);
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2. To any person who sustained damage to personal or
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| real property in excess of $1,500 (or $500 if any of the vehicles involved in the crash is subject to Section 7-601 but is not covered by a liability insurance policy in accordance with Section 7-601);
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3. To any person who was injured as a result of the
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4. To the estate of any person killed as a result of
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(Source: P.A. 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-208) (from Ch. 95 1/2, par. 7-208)
Sec. 7-208. Agreements for payment of damages. (a) Any 2
or more of the persons involved in
a motor vehicle crash subject
to the provisions of Section 7-201 or their authorized representatives,
may at any time enter into a
written agreement for the payment of an agreed amount in installments, with
respect to all claims for injuries or damages resulting from the motor
vehicle crash.
(b) The Secretary of State, to the extent provided by any
such written agreement properly filed with him, shall not require the
deposit of security and shall terminate any prior order of suspension, or,
if security has
previously been deposited, the Secretary of State shall immediately return
such security to the depositor or an appropriate personal representative.
(c) In the event of a default in any payment under such agreement
and upon notice of such default the Secretary of State shall forthwith suspend
the driver's license and registration, or nonresident's
operating privileges, of such person in default which shall not be restored
unless and until:
1. Such person deposits and thereafter maintains |
| security as required under Section 7-201 in such amount as the Secretary of State may then determine,
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2. Two years have elapsed since the acceptance of the
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| notice of default by the Secretary of State and during such period no action upon such agreement has been instituted in any court having jurisdiction, or
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3. The person enters into a second written agreement
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| for the payment of an agreed amount in installments with respect to all claims for injuries or damages resulting from the motor vehicle crash.
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(Source: P.A. 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-211) (from Ch. 95 1/2, par. 7-211)
Sec. 7-211. Duration of suspension.
(a) Unless a suspension is terminated
under other provisions of this Code, the driver's license or registration
and nonresident's operating privilege suspended as provided in Section
7-205 shall remain suspended and shall not be renewed nor shall any
license or registration be issued to the person until:
1. The person deposits or there shall be deposited |
| and filed on the person's behalf the security required under Section 7-201;
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2. Two years have elapsed following the date the
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| driver's license and registrations were suspended and evidence satisfactory to the Secretary of State that during the period no action for damages arising out of a motor vehicle crash has been properly filed;
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3. Receipt of proper notice that the person has filed
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| bankruptcy which would include all claims for personal injury and property damage resulting from the crash;
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4. After the expiration of 5 years from the date of
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| the crash, the Secretary of State has not received documentation that any action at law for damages arising out of the motor vehicle crash has been filed against the person; or
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5. The statute of limitations has expired and the
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| person seeking reinstatement provides evidence satisfactory to the Secretary of State that, during the statute of limitations period, no action for damages arising out of a motor vehicle crash has been properly filed.
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An affidavit that no action at law for damages arising
out of the motor vehicle crash has been filed against the applicant,
or if filed that it is not still pending shall be prima facie evidence
of that fact. The Secretary of State may take whatever steps are necessary
to verify the statement set forth in the applicant's affidavit.
(b) The driver's license or registration and nonresident's operating
privileges suspended as provided in Section 7-205 shall also remain suspended
and shall not be renewed nor shall any license or registration be issued to the
person until the person gives proof of his or her financial responsibility in
the future as provided in Section 1-164.5. The proof is to be
maintained by the
person in a manner satisfactory to the Secretary of State for a period of 3
years after the date the proof is first filed.
(Source: P.A. 102-52, eff. 1-1-22; 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-214) (from Ch. 95 1/2, par. 7-214)
Sec. 7-214. Disposition of security. Such security shall be applicable only to the payment of a judgment or
judgments, rendered against the person or persons on whose behalf the
deposit was made, for damages arising out of the crash in question, in
an action at law, begun not later than the later of
(i)
the expiration of the relevant statute of limitations
or (ii) 2 years after the
date of any default in any payment under an installment agreement for payment
of damages, and such deposit or any balance thereof shall be returned to the
depositor or his or her personal representative when evidence satisfactory to the
Secretary of State has been filed with him:
1. that there has been a release from liability, or |
| a final adjudication of non-liability; or
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2. a duly acknowledged written agreement in
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| accordance with Section 7-208 of this Act; or
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3. whenever after the expiration of the statute of
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| limitations or (ii) 2 years after the date of any default in any payment under an installment agreement for payment of damages, the Secretary of State shall be given reasonable evidence that there is no such action pending and no judgment rendered in such action left unpaid.
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If, after releasing security to a judgment debtor or claimant, the balance of the security posted with the Secretary is $5 or less, the balance shall be transferred to the General Revenue Fund. The
Secretary shall compile a list of all security amounts of $5 or less annually in July and shall certify that amount to the State Comptroller. As soon as possible after receiving the certification, the State Comptroller shall order transferred and the State Treasurer shall transfer the amount certified to the General Revenue Fund.
(Source: P.A. 102-52, eff. 1-1-22; 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-303) (from Ch. 95 1/2, par. 7-303)
Sec. 7-303. Suspension of driver's licenses, registration
certificates, license plates or digital license plates, and registration stickers or digital registration stickers for failure to satisfy
judgment. (a) The Secretary of State shall, except as provided in paragraph
(d), suspend the driver's license issued to any
person upon receiving an authenticated report as hereinafter provided for
in Section 7-307 that the
person has failed for a period of 30 days to satisfy any final
judgment in amounts as hereinafter stated, and shall also suspend the
registration certificate, license plates or digital license plates, and registration
sticker or digital registration sticker of the judgment debtor's motor vehicle involved in the crash as indicated in the authenticated report.
(b) The term "judgment" shall mean: A final judgment of any court of
competent jurisdiction of any State, against a person as defendant for
damages on account of bodily injury to or death of any person or damages to
property resulting from the operation, on and after July 12, 1938, of any
motor vehicle.
(c) The term "State" shall mean: Any State, Territory, or possession of
the United States, the District of Columbia, or any province of the
Dominion of Canada.
(d) The Secretary of State shall not suspend the driver's
license, registration certificates, registration stickers or digital registration stickers, or license
plates or digital license plates of the judgment debtor, nor shall such judgment debtor be subject
to the suspension provisions of Sections 7-308 and 7-309 if all the following
conditions are met:
1. At the time of the motor vehicle crash which gave |
| rise to the unsatisfied judgment the judgment debtor was covered by a motor vehicle liability policy or bond meeting the requirements of this Chapter;
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2. The insurance company which issued the policy or
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| bond has failed and has suspended operations by order of a court;
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3. The judgment debtor had no knowledge of the
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| insurance company's failure prior to the motor vehicle crash;
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4. Within 30 days after learning of the insurance
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| company's failure the judgment debtor secured another liability policy or bond meeting the requirements of this Article relating to future occurrences or crashes;
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5. The insurance company which issued the motor
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| vehicle liability policy or bond that covered the judgment debtor at the time of the motor vehicle crash is unable to satisfy the judgment in the amounts specified in Section 7-311;
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6. The judgment debtor presents to the Secretary of
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| State such certified documents or other proofs as the Secretary of State may require that all of the conditions set forth in this Section have been met.
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(Source: P.A. 101-395, eff. 8-16-19; 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-311) (from Ch. 95 1/2, par. 7-311)
Sec. 7-311. Payments sufficient to satisfy requirements. (a) Judgments herein referred to arising out of motor vehicle crashes
occurring on or after January 1, 2015 (the effective date of Public Act 98-519) shall for the purpose of this
Chapter be deemed satisfied:
1. when $25,000 has been credited upon any judgment |
| or judgments rendered in excess of that amount for bodily injury to or the death of one person as the result of any one motor vehicle crash; or
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2. when, subject to said limit of $25,000 as to any
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| one person, the sum of $50,000 has been credited upon any judgment or judgments rendered in excess of that amount for bodily injury to or the death of more than one person as the result of any one motor vehicle crash; or
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3. when $20,000 has been credited upon any judgment
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| or judgments, rendered in excess of that amount for damages to property of others as a result of any one motor vehicle crash.
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The changes to this subsection made by Public Act 98-519 apply only to policies issued or renewed on or after January 1, 2015.
(b) Credit for such amounts shall be deemed a satisfaction of any such
judgment or judgments in excess of said amounts only for the purposes of
this Chapter.
(c) Whenever payment has been made in settlement of any claim for bodily
injury, death, or property damage arising from a motor vehicle crash
resulting in injury, death, or property damage to two or more persons in
such crash, any such payment shall be credited in reduction of the
amounts provided for in this Section.
(Source: P.A. 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-316) (from Ch. 95 1/2, par. 7-316)
Sec. 7-316. Certificate furnished by nonresident
as proof. Any nonresident owner of a motor vehicle
not registered in this State may give proof of financial responsibility
by filing with the Secretary of State a certificate or certificates of an
insurance carrier authorized to transact business in the state or province
of the Dominion of Canada in
which the motor vehicle or motor vehicles described in such certificate
are registered, or if such nonresident does
not own a motor vehicle then in the state or province of the Dominion of
Canada in which the insured resides, and otherwise conforming to the provisions
of this Code, and the Secretary of State shall accept the same
if such carrier shall:
1. Execute a power of attorney authorizing the |
| Secretary of State to accept service on its behalf of notice of process in any action arising out of a motor vehicle crash in this State;
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2. Duly adopt a resolution which shall be binding
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| upon it declaring that its policies shall be deemed to be varied to comply with the laws of this State relating to the terms of motor vehicle liability policies as required by Section 7-317; and
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3. Agree to accept as final and binding any final
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| judgment duly rendered in any action arising out of a motor vehicle crash in any court of competent jurisdiction in this State.
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(Source: P.A. 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-317) (from Ch. 95 1/2, par. 7-317)
Sec. 7-317. "Motor vehicle liability policy" defined. (a)
Certification. -A "motor vehicle liability policy", as that term is
used in this Act, means an "owner's policy" or an "operator's policy" of
liability insurance, certified as provided in Section 7-315 or Section
7-316 as proof of financial responsibility for the future, and issued,
except as otherwise provided in Section 7-316, by an insurance carrier
duly authorized to transact business in this State, to or for the
benefit of the person named therein as insured.
(b) Owner's Policy. --Such owner's policy of liability insurance:
1. Shall designate by explicit description or by |
| appropriate reference, all motor vehicles with respect to which coverage is thereby intended to be granted;
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2. Shall insure the person named therein and any
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| other person using or responsible for the use of such motor vehicle or vehicles with the express or implied permission of the insured;
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3. Shall insure every named insured and any other
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| person using or responsible for the use of any motor vehicle owned by the named insured and used by such other person with the express or implied permission of the named insured on account of the maintenance, use or operation of any motor vehicle owned by the named insured, within the continental limits of the United States or the Dominion of Canada against loss from liability imposed by law arising from such maintenance, use or operation, to the extent and aggregate amount, exclusive of interest and cost, with respect to each motor vehicle, of $25,000 for bodily injury to or death of one person as a result of any one crash and, subject to such limit as to one person, the amount of $50,000 for bodily injury to or death of all persons as a result of any one crash and the amount of $20,000 for damage to property of others as a result of any one crash. The changes to this paragraph made by this amendatory Act of the 98th General Assembly apply only to policies issued or renewed on or after January 1, 2015.
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(c) Operator's Policy. --When an operator's policy is required, it
shall insure the person named therein as insured against the liability
imposed by law upon the insured for bodily injury to or death of any
person or damage to property to the amounts and limits above set forth
and growing out of the use or operation by the insured within the
continental limits of the United States or the Dominion of Canada of any
motor vehicle not owned by him.
(d) Required Statements in Policies. --Every motor vehicle liability
policy must specify the name and address of the insured, the coverage
afforded by the policy, the premium charged therefor, the policy period,
and the limits of liability, and shall contain an agreement that the
insurance thereunder is provided in accordance with the coverage defined
in this Act, as respects bodily injury and death or property damage or
both, and is subject to all the provisions of this Act.
(e) Policy Need Not Insure Workers' Compensation. --Any liability
policy or policies issued hereunder need not cover any liability of the
insured assumed by or imposed upon the insured under any workers'
compensation law nor any liability for damage to property in charge of
the insured or the insured's employees.
(f) Provisions Incorporated in Policy. --Every motor vehicle
liability policy is subject to the following provisions which need not
be contained therein:
1. The liability of the insurance carrier under any
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| such policy shall become absolute whenever loss or damage covered by the policy occurs and the satisfaction by the insured of a final judgment for such loss or damage shall not be a condition precedent to the right or obligation of the carrier to make payment on account of such loss or damage.
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2. No such policy may be cancelled or annulled as
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| respects any loss or damage, by any agreement between the carrier and the insured after the insured has become responsible for such loss or damage, and any such cancellation or annulment shall be void.
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3. The insurance carrier shall, however, have the
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| right to settle any claim covered by the policy, and if such settlement is made in good faith, the amount thereof shall be deductible from the limits of liability specified in the policy.
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4. The policy, the written application therefor, if
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| any, and any rider or endorsement which shall not conflict with the provisions of this Act shall constitute the entire contract between the parties.
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(g) Excess or Additional Coverage. --Any motor vehicle liability
policy may, however, grant any lawful coverage in excess of or in
addition to the coverage herein specified or contain any agreements,
provisions, or stipulations not in conflict with the provisions of this
Act and not otherwise contrary to law.
(h) Reimbursement Provision Permitted. --The policy may provide that
the insured, or any other person covered by the policy shall reimburse
the insurance carrier for payment made on account of any loss or damage
claim or suit involving a breach of the terms, provisions or conditions
of the policy; and further, if the policy shall provide for limits in
excess of the limits specified in this Act, the insurance carrier may
plead against any plaintiff, with respect to the amount of such excess
limits of liability, any defense which it may be entitled to plead
against the insured.
(i) Proration of Insurance Permitted. --The policy may provide for
the pro-rating of the insurance thereunder with other applicable valid
and collectible insurance.
(j) Binders. --Any binder pending the issuance of any policy, which
binder contains or by reference includes the provisions hereunder shall
be sufficient proof of ability to respond in damages.
(k) Copy of Policy to Be Filed with Department of
Insurance--Approval. --A copy of the form of every motor vehicle
liability policy which is to be used to meet the requirements of this
Act must be filed, by the company offering such policy, with the
Department of Insurance, which shall approve or disapprove the policy
within 30 days of its filing. If the Department approves the policy in
writing within such 30 day period or fails to take action for 30 days,
the form of policy shall be deemed approved as filed. If within the 30
days the Department disapproves the form of policy filed upon the ground
that it does not comply with the requirements of this Act, the
Department shall give written notice of its decision and its reasons
therefor to the carrier and the policy shall not be accepted as proof of
financial responsibility under this Act.
(l) Insurance Carrier Required to File Certificate. --An insurance
carrier who has issued a motor vehicle liability policy or policies or
an operator's policy meeting the requirements of this Act shall, upon
the request of the insured therein, deliver to the insured for filing,
or at the request of the insured, shall file direct, with the Secretary
of State a certificate, as required by this Act, which shows that such
policy or policies have been issued. No insurance carrier may require
the payment of any extra fee or surcharge, in addition to the insurance
premium, for the execution, delivery or filing of such certificate.
(m) Proof When Made By Endorsement. --Any motor vehicle liability
policy which by endorsement contains the provisions required hereunder
shall be sufficient proof of ability to respond in damages.
(Source: P.A. 102-982, eff. 7-1-23 .)
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(625 ILCS 5/7-320) (from Ch. 95 1/2, par. 7-320)
Sec. 7-320.
Bond as Proof.
A person required to give proof of financial responsibility may file
with the Secretary of State a bond, executed by the person giving such
proof and by a surety company, duly authorized to transact business within
the State; or by the person, giving such proof and by 2 individual
sureties, each owning real estate within this State and having an equity
therein in the amount of such bond, which real estate shall be scheduled
therein.
1. The Secretary of State shall not accept any such real estate bond
unless it is first approved by a judge of a court.
2. The Secretary of State shall not accept any such bond unless it is
conditioned for payment in amounts and under the same circumstances as
would be required in a motor vehicle liability policy furnished by the
person giving such proof under this Act.
3. No such bond shall be cancelled unless 10 days' prior written
notice is given to the Secretary of State, but cancellation of such bond
shall not prevent recovery thereon with respect to any right or cause of
action arising prior to the date of cancellation.
4. The principal and sureties of every such real estate bond shall
execute and deliver an original and one copy of the bond and schedule and
in addition, when the real property or any part thereof, listed or
described in the schedule, shall lie in more than one county, then as many
extra copies as there are counties in which the real property, or any part
thereof, shall lie, to the judge to whom such bond is presented for
approval, who shall, if he approved the bond, endorse upon the original
and each copy of the bond the date of the approval thereof; and the clerk
of the court shall immediately file one of the copies with the recorder
in each county in which is situated any of the non-registered real
property so scheduled.
5. If any of the lands so scheduled shall have been registered under "An
Act concerning land titles", approved May 1, 1897, as amended, the clerk
of the court in which the bond is approved shall immediately file with the
registrar of titles in and for each county in which any of the registered
land so scheduled is situated, a notice stating that such land has been so
scheduled, and the registrar shall thereupon enter a memorial of such fact
upon the record.
6. The clerk of the court in which the bond is approved shall endorse
upon the original of each such real estate bond approved the date upon
which he or she filed a copy of such bond with the recorder in each
county in which is situated any of the non-registered real property so
scheduled or the notice with the registrar of titles in and for each
county in which any of the registered land scheduled is situated and shall
deliver such original bond to the principal thereon.
(Source: P.A. 83-1362.)
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(625 ILCS 5/7-328) (from Ch. 95 1/2, par. 7-328)
Sec. 7-328. Duration of proof; when proof may be canceled or returned.
The Secretary of State shall upon request cancel any bond or return any
certificate of insurance, or the Secretary of State shall direct and the
State Treasurer shall return to the person entitled thereto any money or
securities, deposited pursuant to this Chapter as proof of financial
responsibility or waive the requirements of filing proof of financial
responsibility in any of the following events:
1. In the event of the death of the person on whose |
| behalf such proof was filed, or the permanent incapacity of such person to operate a motor vehicle.
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2. In the event the person who has given proof of
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| financial responsibility surrenders such person's driver's license, registration certificates, license plates and registration stickers, but the Secretary of State shall not release such proof in the event any action for damages upon a liability referred to in this Article is then pending or any judgment upon any such liability is then outstanding and unsatisfied or in the event the Secretary of State has received notice that such person has, within the period of 3 months immediately preceding, been involved as a driver in any motor vehicle crash. An affidavit of the applicant of the nonexistence of such facts shall be sufficient evidence thereof in the absence of evidence to the contrary in the records of the Secretary of State. Any person who has not completed the required 3-year period of proof of financial responsibility pursuant to Section 7-304, and to whom proof has been surrendered as provided in this paragraph applies for a driver's license or the registration of a motor vehicle shall have the application denied unless the applicant reestablishes such proof for the remainder of such period.
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3. In the event that proof of financial
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| responsibility has been deposited voluntarily, at any time upon request of the person entitled thereto, provided that the person on whose behalf such proof was given has not, during the period between the date of the original deposit thereof and the date of such request, been convicted of any offense for which revocation is mandatory as provided in Section 6-205; provided, further, that no action for damages is pending against such person on whose behalf such proof of financial responsibility was furnished and no judgment against such person is outstanding and unsatisfied in respect to bodily injury, or in respect to damage to property resulting from the ownership, maintenance, use, or operation hereafter of a motor vehicle. An affidavit of the applicant under this Section shall be sufficient evidence of the facts in the absence of evidence to the contrary in the records of the Secretary of State.
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(Source: P.A. 102-982, eff. 7-1-23; 103-154, eff. 6-30-23.)
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(625 ILCS 5/7-601) (from Ch. 95 1/2, par. 7-601)
Sec. 7-601. Required liability insurance policy.
(a) No person shall operate, register or maintain registration of, and no
owner shall permit another person to operate, register or maintain registration
of, a motor vehicle designed to be used on a public highway in this State unless the motor
vehicle is covered by a liability insurance policy.
The insurance policy shall be issued in amounts no less than the minimum
amounts set for bodily injury or death and for destruction of property under
Section 7-203 of this Code, and shall be issued in accordance with the
requirements of Sections 143a and 143a-2 of the Illinois Insurance Code, as
amended. No insurer other than an insurer authorized to do business in this
State shall issue a policy pursuant to this Section for any vehicle subject to
registration under this Code. Nothing herein shall deprive an insurer of any
policy defense available at common law.
(b) The following vehicles are exempt from the requirements of this Section:
(1) vehicles subject to the provisions of Chapters 8 |
| or 18a, Article III or Section 7-609 of Chapter 7, or Sections 12-606 or 12-707.01 of Chapter 12 of this Code;
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(2) vehicles required to file proof of liability
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| insurance with the Illinois Commerce Commission;
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(3) vehicles covered by a certificate of
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| self-insurance under Section 7-502 of this Code;
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(4) vehicles owned by the United States, the State of
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| Illinois, or any political subdivision, municipality or local mass transit district;
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(5) implements of husbandry;
(6) other vehicles complying with laws which require
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| them to be insured in amounts meeting or exceeding the minimum amounts required under this Section; and
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(7) inoperable or stored vehicles that are not
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| operated, as defined by rules and regulations of the Secretary.
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(c) Every employee of a State agency, as that term is defined in the
Illinois State Auditing Act,
who is assigned a
specific vehicle owned or leased by the State on an ongoing basis shall provide
the certification described in this Section annually to the director or chief
executive officer of his or her agency.
The certification shall affirm that the employee is duly licensed to
drive the assigned vehicle and that (i) the employee has liability insurance
coverage extending to the employee when the assigned vehicle is used for other
than official State business, or (ii) the employee has filed
a bond with the Secretary of State as proof of financial responsibility, in an
amount equal to, or in excess of the requirements stated within this Section.
Upon request of the agency director or chief executive officer, the employee
shall present evidence to
support
the certification.
The certification shall be provided during the period July 1 through July
31 of each calendar year, or within 30 days of any new assignment of a vehicle
on
an ongoing basis, whichever is later.
The employee's authorization to use the assigned vehicle shall
automatically
be rescinded upon:
(1) the revocation or suspension of the license
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| required to drive the assigned vehicle;
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(2) the cancellation or termination for any reason of
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| the automobile liability insurance coverage as required in item (c)(i); or
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(3) the termination of the bond filed with the
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All State employees providing the required certification shall immediately
notify the agency director or chief executive officer in the event any of these
actions occur.
All peace
officers employed by a State agency who are primarily responsible for
prevention and detection of crime and the enforcement of the criminal, traffic,
or
highway laws of this State, and prohibited by agency rule or policy to use an
assigned vehicle owned or leased by the State for regular personal or off-duty
use, are exempt from the requirements of this Section.
(d) No person shall operate a motor vehicle registered in another state upon the highways of this State unless the vehicle is covered by a liability insurance policy. The operator of the vehicle shall carry within the vehicle evidence of the insurance.
(Source: P.A. 100-202, eff. 1-1-18; 100-828, eff. 1-1-19 .)
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(625 ILCS 5/7-602) (from Ch. 95 1/2, par. 7-602)
Sec. 7-602. Insurance card. Every operator of a motor vehicle subject
to Section 7-601 of this Code shall carry within the vehicle evidence of
insurance. The evidence shall be legible and sufficient to demonstrate
that the motor vehicle currently is covered by a liability insurance policy
as required under Section 7-601 of this Code and may include, but is not
limited to, the following:
(a) an insurance card provided by the insurer under |
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(b) the combination of proof of purchase of the motor
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| vehicle within the previous 60 days and a current insurance card issued for the motor vehicle replaced by such purchase;
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(c) the current declarations page of a liability
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(d) a liability insurance binder, certificate of
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| liability insurance or receipt for payment to an insurer or its authorized representative for a liability insurance premium, provided such document contains all information the Secretary of State by rule and regulation may require;
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(e) a current rental agreement;
(f) registration plates or digital registration
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| plates, registration sticker or digital registration sticker, or other evidence of registration issued by the Secretary only upon submission of proof of liability insurance pursuant to this Code;
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(g) a certificate, decal, or other document or device
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| issued by a governmental agency for a motor vehicle indicating the vehicle is insured for liability pursuant to law;
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(h) the display of electronic images on a cellular
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| phone or other type of portable electronic device. The use of a cellular phone or other type of portable electronic device to display proof of insurance does not constitute consent for a law enforcement officer, court, or other officer of the court to access other contents of the electronic device. Any law enforcement officer, court, or officer of the court presented with the device shall be immune from any liability resulting from damage to the mobile electronic device.
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An insurance card shall be provided for each motor
vehicle insured by the insurer issuing the liability insurance policy and may be issued in either paper or electronic format. Acceptable electronic formats shall permit display on a cellular phone or other portable electronic device and satisfy all other requirements of law and rule, including this Section, regarding form and content.
The form, contents and manner of issuance of the insurance card shall be
prescribed by rules and regulations of the Secretary of State. The Secretary shall adopt rules requiring that reasonable measures be taken to prevent the fraudulent production of insurance cards. The
insurance card shall display an effective date and an expiration date
covering a period of time not to exceed 12 months. The insurance card
shall contain the following disclaimer: "Examine policy exclusions
carefully. This form does not constitute any part of your insurance policy."
If the insurance policy represented by the insurance card does
not cover any driver operating the motor vehicle with the owner's
permission, or the owner when operating a motor vehicle other than the
vehicle for which the policy is issued, the insurance card shall
contain a warning of such limitations in the coverage provided by the
policy.
No insurer shall issue a card, similar in appearance, form and content
to the insurance card required under this Section, in connection with an
insurance policy that does not provide the liability insurance coverage
required under Section 7-601 of this Code.
The evidence of insurance shall be displayed upon request made by any law
enforcement officer wearing a uniform or displaying a badge or other sign
of authority. Any person who fails or refuses to comply with such request
is in violation of Section 3-707 of this Code. Any person who displays
evidence of insurance, knowing there is no valid liability insurance in
effect on the motor vehicle as required under Section 7-601 of this Code or
knowing the evidence of insurance is illegally altered, counterfeit or
otherwise invalid, is in violation of Section 3-710 of this Code.
"Display" means the manual surrender of the evidence of insurance into
the hands of the law enforcement officer, court, or officer of the court
making the request for the
officer's, court's, or officer of the court's inspection thereof.
(Source: P.A. 101-395, eff. 8-16-19.)
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(625 ILCS 5/7-603.5) Sec. 7-603.5. Electronic verification of a liability insurance policy. (a) The Secretary may implement a program of electronic motor vehicle liability insurance policy verification for motor vehicles subject to Section 7-601 of this Code for the purpose of verifying whether or not the motor vehicle is insured. The development and implementation of the program shall be consistent with the standards and procedures of a nationwide organization whose primary membership consists of individual insurance companies and insurance trade associations. The program shall include, but is not limited to: (1) a requirement that an insurance company |
| authorized to sell motor vehicle liability insurance in this State shall make available, in a format designated by the Secretary that is consistent with a nationwide organization whose primary membership consists of individual insurance companies and insurance trade organizations, to the Secretary for each motor vehicle liability insurance policy issued by the company the following information:
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(A) the name of the policy holder;
(B) the make, model, year, and vehicle
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| identification number of the covered motor vehicle;
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(C) the policy number;
(D) the policy effective date;
(E) the insurance company's National Association
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| of Insurance Commissioner's number; and
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(F) any other information the Secretary deems
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| necessary to match an eligible vehicle with an insurance policy;
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(2) a method for searching motor vehicle liability
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| insurance policies issued and in effect in this State by using the information under paragraph (1) of this subsection (a);
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(3) a requirement that at least twice per calendar
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| year, the Secretary shall verify the existence of a liability insurance policy for every registered motor vehicle subject to Section 7-601 of this Code; and if the Secretary is unable to verify the existence of a liability insurance policy, the Secretary shall, by U.S. mail or electronic mail, send the vehicle owner a written notice allowing the vehicle owner 30 calendar days to provide proof of insurance on the date of attempted verification, or to provide proof that the vehicle is no longer operable;
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(4) a requirement that a vehicle owner who does not
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| provide proof of insurance or proof of an inoperable vehicle under paragraph (3) of this subsection (a) shall be in violation of Section 7-601 of this Code and the Secretary shall suspend the vehicle's registration and the owner shall pay any applicable reinstatement fees and shall provide proof of insurance before the Secretary may reinstate the vehicle's registration under Section 7-606 of this Code;
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(5) a requirement that if a vehicle owner provides
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| proof of insurance on the date of the attempted verification under paragraph (3) of this subsection (1), the Secretary may verify the vehicle owner's response by furnishing necessary information to the insurance company. Within 7 calendar days of receiving the information, the insurance company shall confirm and notify the Secretary the dates of the motor vehicle's insurance coverage. If the insurance company does not confirm coverage for the date of attempted verification, the Secretary shall suspend the vehicle's registration and the owner of the vehicle shall pay any applicable reinstatement fees and shall provide proof of insurance before the Secretary may reinstate the vehicle's registration under Section 7-606 of this Code;
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(6) a requirement that the Secretary may consult with
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| members of the insurance industry during the implementation of the program, including, but not limited to, during the drafting process for adopting any rules that may be necessary to implement or manage an electronic motor vehicle liability insurance policy verification program;
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(7) a requirement that commercial lines of automobile
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| insurance are excluded from the program, but may voluntarily report insurance coverage to the State.
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(b) In addition to the semi-annual verification of liability insurance under subsection (a) of this Section, the Secretary may select monthly verification for a motor vehicle owned or registered by a person:
(1) whose motor vehicle registration during the
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| preceding 4 years has been suspended under Section 7-606 or 7-607 of this Code;
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(2) who, during the preceding 4 years, has been
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| convicted of violating Section 3-707, 3-708, or 3-710 of this Code while operating a vehicle owned by another person;
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(3) whose driving privileges have been suspended
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| during the preceding 4 years;
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(4) who, during the preceding 4 years, acquired
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| ownership of a motor vehicle while the registration of the vehicle under the previous owner was suspended under Section 7-606 or 7-607 of this Code; or
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(5) who, during the preceding 4 years, has received a
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| disposition of court supervision under subsection (c) of Section 5-6-1 of the Unified Code of Corrections for a violation of Section 3-707, 3-708, or 3-710 of this Code.
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(c) Nothing in this Section provides the Secretary with regulatory authority over insurance companies.
(d) The Secretary may contract with a private contractor to carry out the Secretary's duties under this Section.
(e) Any information collected, stored, maintained, or referred to under this Section shall be used solely for the purpose of verifying whether a registered motor vehicle meets the requirements of Section 7-601 of this Code and shall be exempt from a records request or from inspection and copying under the Freedom of Information Act. A request for release of verification of liability insurance policy information from the Secretary shall require a court order, subpoena, or the motor vehicle owner's approval.
(f) An insurer identified by an electronic motor vehicle liability insurance policy program as insuring less than 1,000 vehicles per year shall be exempt from the reporting requirements under subsection (a) of this Section.
(g) The Secretary may adopt any rules necessary to implement this Section.
(Source: P.A. 100-373, eff. 1-1-18 .)
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(625 ILCS 5/7-604) (from Ch. 95 1/2, par. 7-604)
Sec. 7-604. Verification of liability insurance policy.
(a) The Secretary of State may select random samples
of registrations of motor vehicles subject to Section 7-601 of this Code,
or owners thereof, for the purpose of verifying whether or not the motor
vehicles are insured.
In addition to such general random samples of motor vehicle
registrations, the Secretary may select for
verification other random samples, including, but not limited to
registrations of motor vehicles owned by persons:
(1) whose motor vehicle registrations during the |
| preceding 4 years have been suspended pursuant to Section 7-606 or 7-607 of this Code;
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(2) who during the preceding 4 years have been
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| convicted of violating Section 3-707, 3-708, or 3-710 of this Code while operating vehicles owned by other persons;
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(3) whose driving privileges have been suspended
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| during the preceding 4 years;
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(4) who during the preceding 4 years acquired
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| ownership of motor vehicles while the registrations of such vehicles under the previous owners were suspended pursuant to Section 7-606 or 7-607 of this Code; or
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(5) who during the preceding 4 years have received a
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| disposition of supervision under subsection (c) of Section 5-6-1 of the Unified Code of Corrections for a violation of Section 3-707, 3-708, or 3-710 of this Code.
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(b) Upon receiving certification from the Department of Transportation
under Section 7-201.2 of this Code of the name of an owner or operator of any
motor vehicle involved in a crash, the Secretary may verify whether or
not at the time of the crash such motor vehicle was covered by a
liability insurance policy in accordance with Section 7-601 of this Code.
(c) In preparation for selection of random samples and their
verification, the Secretary may send to owners of randomly selected motor
vehicles, or to randomly selected motor vehicle owners, requests for
information about their motor vehicles and liability
insurance coverage electronically or, if electronic means are unavailable, via U.S. mail. The request shall require the owner to state whether
or not the motor vehicle was insured on the verification date stated in the
Secretary's request and the request may require, but is not limited to,
a statement by the owner of the names and addresses of insurers, policy
numbers, and expiration dates of insurance coverage.
(d) Within 30 days after the Secretary sends a request under subsection (c) of this Section, the owner to
whom it is sent shall furnish the requested information to the Secretary
above the owner's signed affirmation that such information is true and
correct. Proof of insurance in effect on the verification date, as
prescribed by the Secretary, may be considered by the Secretary to be a
satisfactory response to the request for information.
Any owner whose response indicates that his or her vehicle was
not covered by a liability insurance policy in accordance with
Section 7-601 of this Code shall be deemed to have registered or maintained
registration of a motor vehicle in violation of that Section. Any owner who
fails to respond to such a request shall be deemed to have registered or
maintained registration of a motor vehicle in violation of Section
7-601 of this Code.
(e) If the owner responds to the request for information by asserting
that his or her vehicle was covered by a liability insurance policy on the
verification date stated in the Secretary's request, the Secretary may
conduct a verification of the response by furnishing necessary information
to the insurer named in the response. The insurer shall within
45 days
inform the Secretary whether or not on the verification date stated the
motor vehicle was insured by the insurer in accordance with Section 7-601
of this Code. The Secretary may by rule and regulation prescribe the
procedures for verification.
(f) No random sample selected under this Section shall be categorized on
the basis of race, color, religion, sex, national origin, ancestry, age,
marital status, physical or mental disability, economic status,
or geography.
(g) (Blank).
(h) This Section shall be inoperative upon the effective date of the rules adopted by the Secretary to implement Section 7-603.5 of this Code.
(Source: P.A. 102-982, eff. 7-1-23 .)
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