SB1722sam001 94TH GENERAL ASSEMBLY

Sen. James F. Clayborne Jr.

Filed: 3/11/2005

09400SB1722sam001 LRB094 08659 LJB 43500 a

AMENDMENT TO SENATE BILL 1722

AMENDMENT NO. ______. Amend Senate Bill 1722 by replacing everything after the enacting clause with the following:

"Section 5. The Illinois Insurance Code is amended by adding Section 143e as follows:

(215 ILCS 5/143e new)

Sec. 143e. Mandatory binding arbitration of physical damage claims made against a policy of automobile insurance.

(a) No policy of automobile insurance as defined in subsection (a) of Section 143.13 of this Code shall be renewed, delivered, or issued for delivery in this State unless it is provided therein that disputes with respect to physical damage claims between the insurer and another insurer for the amount of damages not exceeding $10,000 shall be submitted for mandatory binding arbitration.

(b) All disputes with respect to physical damages set forth in subsection (a) shall be determined by a 3-person arbitration panel impaneled in the following manner: Each party to the dispute shall select an arbitrator and the 2 arbitrators so named shall select a third arbitrator. In lieu of having the dispute determined by a 3-person arbitration panel as set forth in this Section, the parties may have disputes with respect to the damages set forth in subsection (a) determined by any alternative dispute resolution forum agreed to by the parties.

(c) All disputes with respect to damages determined by the 3-person arbitration panel as set forth in this Section shall be determined in accordance with the following rules:

(1) If at least 60 days' written notice of the intention to offer the following documents in evidence is given to every other party, accompanied by a copy of the document, a party may offer in evidence, without foundation or other proof:

(A) property repair bills or estimates, when identified and itemized setting forth the charges for labor and material used or proposed for use in the repair of the property;

(B) the written opinion of an opinion witness, the deposition of a witness, and the statement of a witness that the witness would be allowed to express if testifying in person, if the opinion or statement is made by affidavit or by certification as provided in Section 1-109 of the Code of Civil Procedure; and

(C) any other document not specifically covered by any of the foregoing provisions that is otherwise admissible under the rules of evidence.

Any party receiving a notice under this paragraph (1) may apply to the arbitrator or panel of arbitrators, as the case may be, for the issuance of a subpoena directed to the author or maker or custodian of the document that is the subject of the notice, requiring the person subpoenaed to produce copies of any additional documents as may be related to the subject matter of the document that is the subject of the notice. A subpoena shall be issued in substantially similar form and served by notice as provided by Illinois Supreme Court Rule 204(a)(4). A subpoena shall be returnable not less than 5 days before the arbitration hearing.

(2) Notwithstanding the provisions of Supreme Court Rule 213(g), a party who proposes to use a written opinion of an expert or opinion witness or the testimony of an expert or opinion witness at the hearing may do so provided a written notice of that intention is given to every other party not less than 60 days prior to the date of hearing, accompanied by a statement containing the identity of the witness, his or her qualifications, the subject matter, the basis of the witness's conclusions, and his or her opinion.

(3) Any other party may subpoena the author or maker of a document admissible under this subsection (c) at that party's expense and examine the author or maker as if under cross-examination. The provisions of Section 2-1101 of the Code of Civil Procedure shall be applicable to arbitration hearings, and it shall be the duty of a party requesting the subpoena to modify the form to show that the appearance is set before an arbitration panel and to give the time and place set for the hearing.

(4) The provisions of Section 2-1102 of the Code of Civil Procedure shall be applicable to arbitration hearings under this subsection (c).

(d) All disputes with respect to damages determined by an alternative dispute resolution forum agreed to by the parties shall be determined pursuant to the current published rules of the agreed to alternative dispute resolution forum.

(e) All arbitrations conducted under this Section shall be concluded within 180 days after the request for arbitration made by either insurer unless otherwise agreed to by the parties.".