Full Text of HB5046 96th General Assembly
HB5046 96TH GENERAL ASSEMBLY
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96TH GENERAL ASSEMBLY
State of Illinois
2009 and 2010 HB5046
Introduced 1/25/2010, by Rep. Jack D. Franks SYNOPSIS AS INTRODUCED: |
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625 ILCS 5/1-164.5 |
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625 ILCS 5/7-203 |
from Ch. 95 1/2, par. 7-203 |
625 ILCS 5/7-311 |
from Ch. 95 1/2, par. 7-311 |
625 ILCS 5/7-317 |
from Ch. 95 1/2, par. 7-317 |
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Amends the Illinois Vehicle Code. Increases the minimum mandatory coverage amounts for liability insurance policies in this State and increases the amounts sufficient to satisy a judgment following a motor vehicle accident as follows: bodily injury or death to any one person from $20,000 to $60,000; bodily injury or death to more than one person from $40,000 to $120,000; and injury or destruction of property of others from $15,000 to $45,000.
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A BILL FOR
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HB5046 |
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LRB096 19662 AJT 35062 b |
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| AN ACT concerning transportation.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Illinois Vehicle Code is amended by changing | 5 |
| Sections 1-164.5, 7-203, 7-311, and 7-317 as follows:
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| (625 ILCS 5/1-164.5)
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| Sec. 1-164.5. Proof of financial responsibility. Proof of | 8 |
| ability to
respond in damages for any liability thereafter | 9 |
| incurred resulting from the
ownership, maintenance, use or | 10 |
| operation of a motor vehicle for bodily injury
to or death of | 11 |
| any person in the amount of $60,000 $20,000 , and subject to | 12 |
| this limit
for any one person injured or killed, in the amount | 13 |
| of $120,000 $40,000 for bodily
injury to or death of 2 or more | 14 |
| persons in any one accident, and for damage to
property in the | 15 |
| amount of $45,000 $15,000 resulting from any one accident. This | 16 |
| proof
in these amounts shall be furnished for each motor | 17 |
| vehicle registered by every
person required to furnish this | 18 |
| proof.
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| (Source: P.A. 90-89, eff. 1-1-98.)
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| (625 ILCS 5/7-203) (from Ch. 95 1/2, par. 7-203)
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| Sec. 7-203. Requirements as to policy or bond. No such | 22 |
| policy or bond referred to in Section 7-202 shall
be effective |
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LRB096 19662 AJT 35062 b |
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| under this Section unless issued by an insurance company or
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| surety company authorized to do business in this State, except | 3 |
| that if
such motor vehicle was not registered in this State, or | 4 |
| was a motor
vehicle which was registered elsewhere than in this | 5 |
| State at the
effective date of the policy or bond, or the most | 6 |
| recent renewal
thereof, such policy or bond shall not be | 7 |
| effective under this Section
unless the insurance company or | 8 |
| surety company, if not authorized to do
business in this State, | 9 |
| shall execute a power of attorney authorizing
the Secretary of | 10 |
| State to accept service on its behalf of notice or
process in | 11 |
| any action upon such policy or bond arising out of such
motor | 12 |
| vehicle accident. However, every such policy or bond is | 13 |
| subject, if
the motor vehicle accident has resulted in bodily | 14 |
| injury or death, to
a limit, exclusive of interest and costs, | 15 |
| of not less than $60,000 $20,000 because of
bodily injury to or | 16 |
| death of any one person in any one motor vehicle
accident and, | 17 |
| subject to said limit for one person, to a limit of not less | 18 |
| than
$120,000 $40,000 because of bodily injury to or death of 2 | 19 |
| or more persons
in any one motor vehicle accident, and, if the | 20 |
| motor vehicle accident
has resulted in injury to or destruction | 21 |
| of property, to a limit of not
less than $45,000 $15,000 | 22 |
| because of injury to or destruction of
property of others
in | 23 |
| any one motor vehicle accident.
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| Upon receipt of a written motor vehicle accident
report | 25 |
| from the Administrator the insurance company or surety company
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| named in such notice shall notify the Administrator within such |
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| time and
in such manner as the Administrator may require, in | 2 |
| case such policy or
bond was not in effect at the time of such | 3 |
| motor vehicle accident.
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| (Source: P.A. 85-730.)
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| (625 ILCS 5/7-311) (from Ch. 95 1/2, par. 7-311)
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| Sec. 7-311. Payments sufficient to satisfy requirements.
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| (a) Judgments herein referred to arising out of motor vehicle | 8 |
| accidents
occurring on or after the effective date of this | 9 |
| amendatory Act of the 96th General Assembly January 1, 1956 , | 10 |
| shall for the purpose of this
Chapter be deemed satisfied:
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| 1. When $60,000 $20,000 has been credited upon any judgment | 12 |
| or judgments
rendered in excess of that amount for bodily | 13 |
| injury to or the death of
one person as the result of any one | 14 |
| motor vehicle accident; or
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| 2. When, subject to said limit of $60,000 $20,000 as to any | 16 |
| one person, the sum
of $120,000 $40,000 has been credited upon | 17 |
| any judgment or judgments rendered
in excess of that amount for | 18 |
| bodily injury to or the death of more than
one person as the | 19 |
| result of any one motor vehicle accident; or
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| 3. When $45,000 $15,000 has been credited upon any judgment | 21 |
| or judgments,
rendered in excess of that amount for damages to | 22 |
| property of others as a
result of any one motor vehicle | 23 |
| accident.
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| (b) Credit for such amounts shall be deemed a satisfaction | 25 |
| of any such
judgment or judgments in excess of said amounts |
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| only for the purposes of
this Chapter.
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| (c) Whenever payment has been made in settlement of any | 3 |
| claim for bodily
injury, death or property damage arising from | 4 |
| a motor vehicle accident
resulting in injury, death or property | 5 |
| damage to two or more persons in
such accident, any such | 6 |
| payment shall be credited in reduction of the
amounts provided | 7 |
| for in this Section.
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| (Source: P.A. 85-730.)
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| (625 ILCS 5/7-317) (from Ch. 95 1/2, par. 7-317)
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| Sec. 7-317. "Motor vehicle liability policy" defined. (a)
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| Certification. -A "motor vehicle liability policy", as that | 12 |
| term is
used in this Act, means an "owner's policy" or an | 13 |
| "operator's policy" of
liability insurance, certified as | 14 |
| provided in Section 7-315 or Section
7-316 as proof of | 15 |
| financial responsibility for the future, and issued,
except as | 16 |
| otherwise provided in Section 7-316, by an insurance carrier
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| duly authorized to transact business in this State, to or for | 18 |
| the
benefit of the person named therein as insured.
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| (b) Owner's Policy. --Such owner's policy of liability | 20 |
| insurance:
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| 1. Shall designate by explicit description or by | 22 |
| appropriate
reference, all motor vehicles with respect to which | 23 |
| coverage is thereby
intended to be granted;
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| 2. Shall insure the person named therein and any other | 25 |
| person using
or responsible for the use of such motor vehicle |
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| or vehicles with the
express or implied permission of the | 2 |
| insured;
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| 3. Shall insure every named insured and any other person | 4 |
| using or
responsible for the use of any motor vehicle owned by | 5 |
| the named insured
and used by such other person with the | 6 |
| express or implied permission of
the named insured on account | 7 |
| of the maintenance, use or operation of any
motor vehicle owned | 8 |
| by the named insured, within the continental limits
of the | 9 |
| United States or the Dominion of Canada against loss from
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| liability imposed by law arising from such maintenance, use or
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| operation, to the extent and aggregate amount, exclusive of | 12 |
| interest and
cost, with respect to each motor vehicle, of | 13 |
| $60,000 $20,000 for bodily injury
to or death of one person as | 14 |
| a result of any one accident and, subject
to such limit as to | 15 |
| one person, the amount of $120,000 $40,000 for bodily injury
to | 16 |
| or death of all persons as a result of any one accident and the
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| amount of $45,000 $15,000 for damage to property of others as a | 18 |
| result of any
one accident.
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| (c) Operator's Policy. --When an operator's policy is | 20 |
| required, it
shall insure the person named therein as insured | 21 |
| against the liability
imposed by law upon the insured for | 22 |
| bodily injury to or death of any
person or damage to property | 23 |
| to the amounts and limits above set forth
and growing out of | 24 |
| the use or operation by the insured within the
continental | 25 |
| limits of the United States or the Dominion of Canada of any
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| motor vehicle not owned by him.
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| (d) Required Statements in Policies. --Every motor vehicle | 2 |
| liability
policy must specify the name and address of the | 3 |
| insured, the coverage
afforded by the policy, the premium | 4 |
| charged therefor, the policy period,
and the limits of | 5 |
| liability, and shall contain an agreement that the
insurance | 6 |
| thereunder is provided in accordance with the coverage defined
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| in this Act, as respects bodily injury and death or property | 8 |
| damage or
both, and is subject to all the provisions of this | 9 |
| Act.
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| (e) Policy Need Not Insure Workers' Compensation. --Any | 11 |
| liability
policy or policies issued hereunder need not cover | 12 |
| any liability of the
insured assumed by or imposed upon the | 13 |
| insured under any workers'
compensation law nor any liability | 14 |
| for damage to property in charge of
the insured or the | 15 |
| insured's employees.
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| (f) Provisions Incorporated in Policy. --Every motor | 17 |
| vehicle
liability policy is subject to the following provisions | 18 |
| which need not
be contained therein:
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| 1. The liability of the insurance carrier under any such | 20 |
| policy
shall become absolute whenever loss or damage covered by | 21 |
| the policy
occurs and the satisfaction by the insured of a | 22 |
| final judgment for such
loss or damage shall not be a condition | 23 |
| precedent to the right or
obligation of the carrier to make | 24 |
| payment on account of such loss or
damage.
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| 2. No such policy may be cancelled or annulled as respects | 26 |
| any loss
or damage, by any agreement between the carrier and |
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| the insured after
the insured has become responsible for such | 2 |
| loss or damage, and any such
cancellation or annulment shall be | 3 |
| void.
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| 3. The insurance carrier shall, however, have the right to | 5 |
| settle
any claim covered by the policy, and if such settlement | 6 |
| is made in good
faith, the amount thereof shall be deductible | 7 |
| from the limits of
liability specified in the policy.
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| 4. The policy, the written application therefor, if any, | 9 |
| and any
rider or endorsement which shall not conflict with the | 10 |
| provisions of
this Act shall constitute the entire contract | 11 |
| between the parties.
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| (g) Excess or Additional Coverage. --Any motor vehicle | 13 |
| liability
policy may, however, grant any lawful coverage in | 14 |
| excess of or in
addition to the coverage herein specified or | 15 |
| contain any agreements,
provisions, or stipulations not in | 16 |
| conflict with the provisions of this
Act and not otherwise | 17 |
| contrary to law.
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| (h) Reimbursement Provision Permitted. --The policy may | 19 |
| provide that
the insured, or any other person covered by the | 20 |
| policy shall reimburse
the insurance carrier for payment made | 21 |
| on account of any loss or damage
claim or suit involving a | 22 |
| breach of the terms, provisions or conditions
of the policy; | 23 |
| and further, if the policy shall provide for limits in
excess | 24 |
| of the limits specified in this Act, the insurance carrier may
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| plead against any plaintiff, with respect to the amount of such | 26 |
| excess
limits of liability, any defense which it may be |
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| entitled to plead
against the insured.
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| (i) Proration of Insurance Permitted. --The policy may | 3 |
| provide for
the pro-rating of the insurance thereunder with | 4 |
| other applicable valid
and collectible insurance.
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| (j) Binders. --Any binder pending the issuance of any | 6 |
| policy, which
binder contains or by reference includes the | 7 |
| provisions hereunder shall
be sufficient proof of ability to | 8 |
| respond in damages.
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| (k) Copy of Policy to Be Filed with Department of
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| Insurance--Approval. --A copy of the form of every motor | 11 |
| vehicle
liability policy which is to be used to meet the | 12 |
| requirements of this
Act must be filed, by the company offering | 13 |
| such policy, with the
Department of Insurance, which shall | 14 |
| approve or disapprove the policy
within 30 days of its filing. | 15 |
| If the Department approves the policy in
writing within such 30 | 16 |
| day period or fails to take action for 30 days,
the form of | 17 |
| policy shall be deemed approved as filed. If within the 30
days | 18 |
| the Department disapproves the form of policy filed upon the | 19 |
| ground
that it does not comply with the requirements of this | 20 |
| Act, the
Department shall give written notice of its decision | 21 |
| and its reasons
therefor to the carrier and the policy shall | 22 |
| not be accepted as proof of
financial responsibility under this | 23 |
| Act.
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| (l) Insurance Carrier Required to File Certificate. --An | 25 |
| insurance
carrier who has issued a motor vehicle liability | 26 |
| policy or policies or
an operator's policy meeting the |
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| requirements of this Act shall, upon
the request of the insured | 2 |
| therein, deliver to the insured for filing,
or at the request | 3 |
| of the insured, shall file direct, with the Secretary
of State | 4 |
| a certificate, as required by this Act, which shows that such
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| policy or policies have been issued. No insurance carrier may | 6 |
| require
the payment of any extra fee or surcharge, in addition | 7 |
| to the insurance
premium, for the execution, delivery or filing | 8 |
| of such certificate.
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| (m) Proof When Made By Endorsement. --Any motor vehicle | 10 |
| liability
policy which by endorsement contains the provisions | 11 |
| required hereunder
shall be sufficient proof of ability to | 12 |
| respond in damages.
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| (Source: P.A. 85-730.)
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