HB1265eng 91st General Assembly


91_HB1265eng

 
HB1265 Engrossed                               LRB9101916JSpc

 1        AN  ACT  to amend the Illinois Insurance Code by changing
 2    Section 424.

 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 424 as follows:

 7        (215 ILCS 5/424) (from Ch. 73, par. 1031)
 8        Sec. 424.  Unfair methods of competition  and  unfair  or
 9    deceptive acts or practices defined. The following are hereby
10    defined  as  unfair  methods  of  competition  and unfair and
11    deceptive acts or practices in the business of insurance:
12        (1)  The commission by any person of any one or  more  of
13    the  acts  defined  or  prohibited by Sections 134, 147, 148,
14    149, 151, 155.22, 155.22a, 236, 237,  364  and  469  of  this
15    Code.
16        (2)  Entering  into  any  agreement  to commit, or by any
17    concerted action committing, any act of boycott, coercion  or
18    intimidation   resulting   in   or   tending   to  result  in
19    unreasonable restraint of, or monopoly in,  the  business  of
20    insurance.  "Unreasonable  restraint"  includes,  but  is not
21    limited to, any formal or informal  policy  that  requires  a
22    licensed  health  care professional or group of professionals
23    to agree to participate in all health care  or  managed  care
24    plans  or  accident  and  health  policies  operated  by  the
25    insurance  company  in  order  to  participate in one or more
26    plans or policies  operated  by  the  insurance  company.   A
27    licensed    health    care   professional's   or   group   of
28    professionals' decision not to accept an offer to participate
29    in one or more plans shall not be  the  grounds  for  denying
30    participation  in any chosen plan or policy.  If an agreement
31    is signed by an  authorized  representative  of  a  group  of
 
HB1265 Engrossed            -2-                LRB9101916JSpc
 1    health  care professionals, then the agreement shall apply to
 2    all members of the  group  unless  stated  otherwise  in  the
 3    agreement.   A  licensed insurance company that violates this
 4    subsection engages  in  unlawful  tying  practices  that  are
 5    unfair  methods  of competition and unfair and deceptive acts
 6    or practices.
 7        (3)  Making or permitting, in the case  of  insurance  of
 8    the  types  enumerated  in  Classes 2 and 3 of Section 4, any
 9    unfair discrimination between individuals  or  risks  of  the
10    same  class  or  of  essentially  the same hazard and expense
11    element because of the  race,  color,  religion  or  national
12    origin of such insurance risks or applicants.
13        (4)  Engaging  in any of the acts or practices defined in
14    or prohibited by Sections 154.5 through  154.8  of  the  this
15    Insurance Code.
16        (5)  Making  or  charging  any rate for insurance against
17    losses arising from the use or ownership of a  motor  vehicle
18    which  requires  a  higher premium of any person by reason of
19    his physical handicap,  race,  color,  religion  or  national
20    origin.
21    (Source: P.A. 90-245, eff. 1-1-98.)

22        Section  99.  Effective date.  This Act takes effect July
23    1, 1999.
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State of Illinois 91st General Assembly Legislation

State of Illinois
91st General Assembly
Legislation
