HB0991 EngrossedLRB098 02753 RPM 32761 b


  
1    AN ACT concerning insurance.
  
 
2    Be it enacted by the People of the State of Illinois,
 
3represented in the General Assembly:
  
 
 
4    Section 5. The Illinois Insurance Code is amended  by adding 
5Section 188.2 as follows:
 
6    (215 ILCS 5/188.2 new)
7    Sec. 188.2. Grounds for and provisions applicable to 
8rehabilitation or liquidation
of a domestic company that is a 
9covered financial company under the
federal Dodd-Frank Wall 
10Street Reform and Consumer Protection Act.
11    (a) The provisions of this Section apply in accordance with 
12Title II of the federal Dodd-Frank Wall Street Reform and 
13Consumer Protection Act,
P.L. 111-203, with respect to an 
14insurance company that is a covered financial company,
as that 
15term is defined under 12 U.S.C. 5381.
16    (b) The Director may file a complaint for an order of 
17rehabilitation or liquidation pursuant to
Section 188 of this 
18Code on any of the following grounds:
19        (1) upon a determination and notification given by the 
20    Secretary of the Treasury of the United States (in 
21    consultation
with the President of the United States) that 
22    the insurance company is a financial company satisfying the

23    requirements of 12 U.S.C.  5383(b), and the board of 
 
 
HB0991 Engrossed- 2 -LRB098 02753 RPM 32761 b

1    directors (or body performing
similar functions) of the 
2    insurance company acquiesces or consents to the 
3    appointment of
a receiver pursuant to 12 U.S.C.  
4    5382(a)(l)(A)(i), with such consent to be considered as

5    consent to an order of rehabilitation or liquidation;
6        (2) upon an order of the United States District Court 
7    for the District of Columbia under 12
U.S.C.  
8    5382(a)(l)(A)(iv)(I) granting the petition of the 
9    Secretary of the Treasury
of the United States concerning 
10    the insurance company under 12 U.S.C.  5382(a)(l)(A)(i); or
11        (3) a petition by the Secretary of the Treasury of the 
12    United States concerning the insurance company is granted

13    by operation of law under 12 U.S.C.  5382(a)(l)(A)(v).
14    (c) Notwithstanding any other provision in this Article, 
15this Code, or any other law, after notice to the
insurance 
16company, the receivership court may grant an order on the 
17complaint for
rehabilitation or liquidation within 24 hours 
18after the filing of a complaint pursuant to this
Section.
19    (d) If the receivership court does not make a determination 
20on a complaint for rehabilitation or liquidation
filed by the 
21Director pursuant to this Section within 24 hours after its 
22filing, then it shall be
deemed granted by operation of law 
23upon the expiration of the 24-hour period. At the time
that an 
24order is deemed granted under this Section, the provisions of 
25Article XIII of this Code
shall be deemed to be in effect, and 
26the Director shall be deemed to be affirmed as receiver and 
 
 
HB0991 Engrossed- 3 -LRB098 02753 RPM 32761 b

1have all of the applicable powers provided by this Code, 
2regardless of whether an order
has been entered. The 
3receivership court shall expeditiously enter an order of 
4rehabilitation
or liquidation that:
5        (1) is effective as of the date that it is deemed 
6    granted by operation of law; and
7        (2) conforms to the provisions for rehabilitation or 
8    liquidation contained in Article XIII
of this Code, as 
9    applicable.
10    (e) Any order of rehabilitation or liquidation made 
11pursuant to this Section shall not be subject to
any stay or 
12injunction pending appeal.
13    (f) Nothing in this Section shall be construed to supersede 
14or impair any other power or
authority of the Director or the 
15court under this Article or Code.
 
 
16    Section 99. Effective date. This Act takes effect upon 
17becoming law.