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92_HB1386eng HB1386 Engrossed LRB9203579JSpc 1 AN ACT in relation to insurance. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Health Maintenance Organization Act is 5 amended by changing Section 2-5 as follows: 6 (215 ILCS 125/2-5) (from Ch. 111 1/2, par. 1406.1) 7 Sec. 2-5. Claims Liabilities. AEveryHealth 8 Maintenance Organization shall, at all times, maintain 9 liabilities in an amount estimated in the aggregate to 10 provide for the payment of all claims incurred and any due 11 and unpaid provider capitation, whether reported or 12 unreported, which are unpaid and for which such organization 13 is or may be liable, and to provide for the expense of 14 adjustment or settlement of such claims. Such liabilities 15 shall be computed in accordance with regulations promulgated 16 by the Director upon reasonable consideration of the 17 ascertained experience and character of such business for the 18 purpose of adequately protecting enrollees and securing the 19 solvency of such organizations. 20 Whenever the claim and claim expense experience of any 21 such organization shows the liabilities calculated in 22 accordance with such regulations to be inadequate, the 23 Director may require such organization to maintain additional 24 liabilities. 25 (Source: P.A. 86-620.)