Illinois General Assembly - Bill Status for SB 3404

Amends the Illinois Insurance Code in relation to fraternal benefit societies. Adds the Fraternal Benefit Society Guaranty Association Law to the Code as a new Article to provide for the protection of members of fraternal benefit societies in the event of impairment or insolvency. Provides that a fraternal benefit society must be governed by a board of directors and managed by qualified officers. Sets the permissible number of directors and establishes certain qualifications. Authorizes the Director of Insurance to take action when a society is or may become insolvent. Creates the Illinois Fraternal Benefit Society Guaranty Association and requires participation by societies and others authorized to transact business in Illinois. Sets forth the powers and duties of the Association. Defines terms.

Replaces everything after the enacting clause. Amends the Illinois Insurance Code. Provides that a domestic society that provides certain benefits must be governed by a board of directors and managed by qualified officers subject to certain requirements. Provides that no society shall incur any liability other than for the return of an advance premium nor issue any certificate nor pay, allow, or offer or promise to pay or allow any benefit to any person until, in the case of a domestic society that is organized after the effective date of the amendatory Act, the society (1) maintains a minimum surplus of $2,000,000, or such higher amount as the Director of Insurance may deem necessary and (2) meets any other requirements as determined by the Director. Sets forth a provision concerning the maintenance of solvency. Requires domestic societies to provide an applicant for contractual benefits a disclosure statement. Sets forth a provision concerning the voluntary dissolution of a domestic society. Makes other changes.

Date	Chamber	Action
1/13/2015	Senate	Session Sine Die

Date	Chamber	Action
2/14/2014	Senate	Filed with Secretary by Sen. William R. Haine
2/14/2014	Senate	First Reading
2/14/2014	Senate	Referred to Assignments
2/25/2014	Senate	Assigned to Insurance
3/21/2014	Senate	Postponed - Insurance
3/21/2014	Senate	Senate Committee Amendment No. 1 Filed with Secretary by Sen. William R. Haine
3/21/2014	Senate	Senate Committee Amendment No. 1 Referred to Assignments
3/25/2014	Senate	Senate Committee Amendment No. 1 Assignments Refers to Insurance
3/26/2014	Senate	Senate Committee Amendment No. 1 Adopted
3/27/2014	Senate	Postponed - Insurance
3/28/2014	Senate	Rule 2-10 Committee Deadline Established As April 11, 2014
4/11/2014	Senate	Rule 3-9(a) / Re-referred to Assignments
1/13/2015	Senate	Session Sine Die

	Deletes reference to:
	215 ILCS 5/307.1	from Ch. 73, par. 919.1