[ Search ] [ Legislation ] [ Bill Summary ]
[ Home ] [ Back ] [ Bottom ]
| [ Engrossed ] | [ House Amendment 001 ] | [ House Amendment 002 ] |
90_HB0289
215 ILCS 5/143a from Ch. 73, par. 755a
Amends the Illinois Insurance Code in relation to
uninsured and hit and run motor vehicle coverage. Provides
that a decision made by arbitrators shall be binding in cases
subject to the mandatory arbitration requirements under the
Code of Civil Procedure. Establishes rules for the conduct
of arbitration proceedings relating to admissibility of
documents, opinions of opinion witnesses, right to subpoena
makers of documents, and adverse examination of parties or
agents.
LRB9000209JSgc
LRB9000209JSgc
1 AN ACT to amend the Illinois Insurance Code by changing
2 Section 143a.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Illinois Insurance Code is amended by
6 changing Section 143a as follows:
7 (215 ILCS 5/143a) (from Ch. 73, par. 755a)
8 Sec. 143a. Uninsured and hit and run motor vehicle
9 coverage.
10 (1) No policy insuring against loss resulting from
11 liability imposed by law for bodily injury or death suffered
12 by any person arising out of the ownership, maintenance or
13 use of a motor vehicle that is designed for use on public
14 highways and that is either required to be registered in this
15 State or is principally garaged in this State shall be
16 renewed, delivered, or issued for delivery in this State
17 unless coverage is provided therein or supplemental thereto,
18 in limits for bodily injury or death set forth in Section
19 7-203 of the Illinois Vehicle Code for the protection of
20 persons insured thereunder who are legally entitled to
21 recover damages from owners or operators of uninsured motor
22 vehicles and hit-and-run motor vehicles because of bodily
23 injury, sickness or disease, including death, resulting
24 therefrom. Uninsured motor vehicle coverage does not apply to
25 bodily injury, sickness, disease, or death resulting
26 therefrom, of an insured while occupying a motor vehicle
27 owned by, or furnished or available for the regular use of
28 the insured, a resident spouse or resident relative, if that
29 motor vehicle is not described in the policy under which a
30 claim is made or is not a newly acquired or replacement motor
31 vehicle covered under the terms of the policy. The limits
-2- LRB9000209JSgc
1 for any coverage for any vehicle under the policy may not be
2 aggregated with the limits for any similar coverage, whether
3 provided by the same insurer or another insurer, applying to
4 other motor vehicles, for purposes of determining the total
5 limit of insurance coverage available for bodily injury or
6 death suffered by a person in any one accident. No policy
7 shall be renewed, delivered, or issued for delivery in this
8 State unless it is provided therein that any dispute with
9 respect to the coverage shall be submitted for arbitration to
10 the American Arbitration Association or for determination in
11 the following manner: Upon the insured requesting
12 arbitration, each party to the dispute shall select an
13 arbitrator and the 2 arbitrators so named shall select a
14 third arbitrator. If such arbitrators are not selected
15 within 45 days from such request, either party may request
16 that the arbitration be submitted to the American Arbitration
17 Association. Subject to the limits of liability contained in
18 the applicable insurance policy, any decision made by the
19 arbitrators shall be binding for the amount of damages not
20 exceeding the limits for cases subject to mandatory
21 arbitration authorized under Section 2-1001A of the Code of
22 Civil Procedure bodily injury or death set forth in Section
23 7-203 of the Illinois Vehicle Code.
24 (2) No policy insuring against loss resulting from
25 liability imposed by law for property damage arising out of
26 the ownership, maintenance, or use of a motor vehicle shall
27 be renewed, delivered, or issued for delivery in this State
28 with respect to any private passenger or recreational motor
29 vehicle that is designed for use on public highways and that
30 is either required to be registered in this State or is
31 principally garaged in this State and is not covered by
32 collision insurance under the provisions of such policy,
33 unless coverage is made available in the amount of the actual
34 cash value of the motor vehicle described in the policy or
-3- LRB9000209JSgc
1 $15,000 whichever is less, subject to a $250 deductible, for
2 the protection of persons insured thereunder who are legally
3 entitled to recover damages from owners or operators of
4 uninsured motor vehicles and hit-and-run motor vehicles
5 because of property damage to the motor vehicle described in
6 the policy.
7 There shall be no liability imposed under the uninsured
8 motorist property damage coverage required by this subsection
9 if the owner or operator of the at-fault uninsured motor
10 vehicle or hit-and-run motor vehicle cannot be identified.
11 This subsection shall not apply to any policy which does not
12 provide primary motor vehicle liability insurance for
13 liabilities arising from the maintenance, operation, or use
14 of a specifically insured motor vehicle.
15 Each insurance company providing motor vehicle property
16 damage liability insurance shall advise applicants of the
17 availability of uninsured motor vehicle property damage
18 coverage, the premium therefor, and provide a brief
19 description of the coverage. Each insurer, with respect to
20 the initial renewal, reinstatement, or reissuance of a policy
21 of motor vehicle property damage liability insurance shall
22 provide present policyholders with the same information in
23 writing. That information need be given only once and shall
24 not be required in any subsequent renewal, reinstatement or
25 reissuance, substitute, amended, replacement or supplementary
26 policy. No written rejection shall be required, and the
27 absence of a premium payment for uninsured motor vehicle
28 property damage shall constitute conclusive proof that the
29 applicant or policyholder has elected not to accept uninsured
30 motorist property damage coverage.
31 An insurance company issuing uninsured motor vehicle
32 property damage coverage may provide that:
33 (i) Property damage losses recoverable thereunder
34 shall be limited to damages caused by the actual physical
-4- LRB9000209JSgc
1 contact of an uninsured motor vehicle with the insured
2 motor vehicle.
3 (ii) There shall be no coverage for loss of use of
4 the insured motor vehicle and no coverage for loss or
5 damage to personal property located in the insured motor
6 vehicle.
7 (iii) Any claim submitted shall include the name
8 and address of the owner of the at-fault uninsured motor
9 vehicle, or a registration number and description of the
10 vehicle, or any other available information to establish
11 that there is no applicable motor vehicle property damage
12 liability insurance.
13 (iv) Any dispute with respect to the coverage shall
14 be submitted for arbitration to the American Arbitration
15 Association or for determination in the following manner:
16 Upon the insured requesting arbitration, each party to
17 the dispute shall select an arbitrator and the 2
18 arbitrators so named shall select a third arbitrator. If
19 such arbitrators are not selected within 45 days from
20 such request, either party may request that the
21 arbitration be submitted to the American Arbitration
22 Association.
23 (2.1) Any arbitration proceeding under subsection (1) or
24 (2) shall be subject to the following rules.
25 (A) If at least 30 days' written notice of the
26 intention to offer the following documents in evidence is
27 given to every other party, accompanied by a copy of the
28 document, a party may offer in evidence, without
29 foundation or other proof:
30 (1) bills, records, and reports of hospitals,
31 doctors, dentists, registered nurses, licensed
32 practical nurses, physical therapists, and other
33 healthcare providers;
34 (2) bills for drugs, medical appliances, and
-5- LRB9000209JSgc
1 prostheses;
2 (3) property repair bills or estimates, when
3 identified and itemized setting forth the charges
4 for labor and material used or proposed for use in
5 the repair of the property;
6 (4) a report of the rate of earnings and time
7 lost from work or lost compensation prepared by an
8 employer;
9 (5) the written opinion of an opinion witness,
10 the deposition of a witness, and the statement of a
11 witness which the witness would be allowed to
12 express if testifying in person, if the statement is
13 made by affidavit or by certification as provided in
14 Section 1-109 of the Code of Civil Procedure;
15 (6) any other document not specifically
16 covered by any of the foregoing provisions, which is
17 otherwise admissible under the rules of evidence.
18 (B) Notwithstanding the provisions of Supreme Court
19 Rule 213(g), a party who proposes to use a written
20 opinion of an expert or opinion witness or the testimony
21 of an expert or opinion witness at the hearing may do so
22 provided a written notice of that intention is given to
23 every other party not less than 30 days prior to the date
24 of hearing, accompanied by a statement containing the
25 identity of the witness, his or her qualifications, the
26 subject matter, the basis of the witness's conclusions,
27 and his or her opinion.
28 (C) Any other party may subpoena the author or
29 maker of a document admissible under this Section, at
30 that party's expense, and examine the author or maker as
31 if under cross-examination. The provisions of Section
32 2-1101 the Code of Civil Procedure shall be applicable to
33 arbitration hearings, and it shall be the duty of a party
34 requesting the subpoena to modify the form to show that
-6- LRB9000209JSgc
1 the appearance is set before an arbitration panel and to
2 give the time and place set for the hearing.
3 (D) The provisions of Section 2-1102 of the Code of
4 Civil Procedure shall be applicable to arbitration
5 hearings under this Section.
6 The changes made by this amendatory Act of 1997 shall
7 apply to all policies subject to this Section that are
8 amended, delivered, issued, or renewed on or after the
9 effective date of this amendatory Act of 1997.
10 (3) For the purpose of the coverage the term "uninsured
11 motor vehicle" includes, subject to the terms and conditions
12 of the coverage, a motor vehicle where on, before or after
13 the accident date the liability insurer thereof is unable to
14 make payment with respect to the legal liability of its
15 insured within the limits specified in the policy because of
16 the entry by a court of competent jurisdiction of an order of
17 rehabilitation or liquidation by reason of insolvency on or
18 after the accident date. An insurer's extension of coverage,
19 as provided in this subsection, shall be applicable to all
20 accidents occurring after July 1, 1967 during a policy period
21 in which its insured's uninsured motor vehicle coverage is in
22 effect. Nothing in this Section may be construed to prevent
23 any insurer from extending coverage under terms and
24 conditions more favorable to its insureds than is required by
25 this Section.
26 (4) In the event of payment to any person under the
27 coverage required by this Section and subject to the terms
28 and conditions of the coverage, the insurer making the
29 payment shall, to the extent thereof, be entitled to the
30 proceeds of any settlement or judgment resulting from the
31 exercise of any rights of recovery of the person against any
32 person or organization legally responsible for the property
33 damage, bodily injury or death for which the payment is made,
34 including the proceeds recoverable from the assets of the
-7- LRB9000209JSgc
1 insolvent insurer. With respect to payments made by reason of
2 the coverage described in subsection (3), the insurer making
3 such payment shall not be entitled to any right of recovery
4 against the tort-feasor in excess of the proceeds recovered
5 from the assets of the insolvent insurer of the tort-feasor.
6 (5) This amendatory Act of 1967 shall not be construed
7 to terminate or reduce any insurance coverage or any right of
8 any party under this Code in effect before July 1, 1967. This
9 amendatory Act of 1990 shall not be construed to terminate or
10 reduce any insurance coverage or any right of any party under
11 this Code in effect before its effective date.
12 (6) Failure of the motorist from whom the claimant is
13 legally entitled to recover damages to file the appropriate
14 forms with the Safety Responsibility Section of the
15 Department of Transportation within 120 days of the accident
16 date shall create a rebuttable presumption that the motorist
17 was uninsured at the time of the injurious occurrence.
18 (7) An insurance carrier may upon good cause require the
19 insured to commence a legal action against the owner or
20 operator of an uninsured motor vehicle before good faith
21 negotiation with the carrier. If the action is commenced at
22 the request of the insurance carrier, the carrier shall pay
23 to the insured, before the action is commenced, all court
24 costs, jury fees and sheriff's fees arising from the action.
25 (Source: P.A. 89-206, eff. 7-21-95.)