Bill Text: IL HB2499 | 2023-2024 | 103rd General Assembly | Enrolled

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Amends the Illinois Insurance Code. Provides that, on and after January 1, 2025, no company shall issue, deliver, amend, or renew short-term, limited-duration insurance to any natural or legal person that is a resident or domiciled in the State. Provides that student health insurance coverage shall remain subject to the standards and requirements for individual health insurance coverage except where inconsistent with specified regulations. Provides that an issuer providing student health insurance coverage or a policy or contract covering students for limited-scope dental or vision shall require an individual application or enrollment form and shall furnish each insured individual a certificate. Amends the Health Maintenance Organization Act and the Limited Health Service Organization Act to make conforming changes. Repeals the Short-Term, Limited-Duration Health Insurance Coverage Act. Makes other changes. Effective January 1, 2025.

Spectrum: Partisan Bill (Democrat 8-0)

Status: (Passed) 2024-07-10 - Public Act . . . . . . . . . 103-0649 [HB2499 Detail]

Download: Illinois-2023-HB2499-Enrolled.html

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AN ACT concerning regulation.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Insurance Code is amended by
changing Sections 121-2.05, 356z.18, 367.3, 367a, and 368f and
by adding Section 352c as follows:
(215 ILCS 5/121-2.05) (from Ch. 73, par. 733-2.05)
Sec. 121-2.05. Group insurance policies issued and
delivered in other State-Transactions in this State. With the
exception of insurance transactions authorized under Sections
230.2 or 367.3 of this Code or transactions described under
Section 352c, transactions in this State involving group
legal, group life and group accident and health or blanket
accident and health insurance or group annuities where the
master policy of such groups was lawfully issued and delivered
in, and under the laws of, a State in which the insurer was
authorized to do an insurance business, to a group properly
established pursuant to law or regulation, and where the
policyholder is domiciled or otherwise has a bona fide situs.
(Source: P.A. 86-753.)
(215 ILCS 5/352c new)
Sec. 352c. Short-term, limited-duration insurance

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prohibited.
(a) In this Section:
"Excepted benefits" has the meaning given to that term in
42 U.S.C. 300gg-91 and implementing regulations. "Excepted
benefits" includes individual, group, or blanket coverage.
"Short-term, limited-duration insurance" means any type of
accident and health insurance offered or provided within this
State pursuant to a group or individual policy or individual
certificate by a company, regardless of the situs state of the
delivery of the policy, that has an expiration date specified
in the contract that is fewer than 365 days after the original
effective date. Regardless of the duration of coverage,
"short-term, limited-duration insurance" does not include
excepted benefits or any student health insurance coverage.
(b) On and after January 1, 2025, no company shall issue,
deliver, amend, or renew short-term, limited-duration
insurance to any natural or legal person that is a resident or
domiciled in this State.
(215 ILCS 5/356z.18)
(Text of Section before amendment by P.A. 103-512)
Sec. 356z.18. Prosthetic and customized orthotic devices.
(a) For the purposes of this Section:
"Customized orthotic device" means a supportive device for
the body or a part of the body, the head, neck, or extremities,
and includes the replacement or repair of the device based on

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the patient's physical condition as medically necessary,
excluding foot orthotics defined as an in-shoe device designed
to support the structural components of the foot during
weight-bearing activities.
"Licensed provider" means a prosthetist, orthotist, or
pedorthist licensed to practice in this State.
"Prosthetic device" means an artificial device to replace,
in whole or in part, an arm or leg and includes accessories
essential to the effective use of the device and the
replacement or repair of the device based on the patient's
physical condition as medically necessary.
(b) This amendatory Act of the 96th General Assembly shall
provide benefits to any person covered thereunder for expenses
incurred in obtaining a prosthetic or custom orthotic device
from any Illinois licensed prosthetist, licensed orthotist, or
licensed pedorthist as required under the Orthotics,
Prosthetics, and Pedorthics Practice Act.
(c) A group or individual major medical policy of accident
or health insurance or managed care plan or medical, health,
or hospital service corporation contract that provides
coverage for prosthetic or custom orthotic care and is
amended, delivered, issued, or renewed 6 months after the
effective date of this amendatory Act of the 96th General
Assembly must provide coverage for prosthetic and orthotic
devices in accordance with this subsection (c). The coverage
required under this Section shall be subject to the other

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general exclusions, limitations, and financial requirements of
the policy, including coordination of benefits, participating
provider requirements, utilization review of health care
services, including review of medical necessity, case
management, and experimental and investigational treatments,
and other managed care provisions under terms and conditions
that are no less favorable than the terms and conditions that
apply to substantially all medical and surgical benefits
provided under the plan or coverage.
(d) The policy or plan or contract may require prior
authorization for the prosthetic or orthotic devices in the
same manner that prior authorization is required for any other
covered benefit.
(e) Repairs and replacements of prosthetic and orthotic
devices are also covered, subject to the co-payments and
deductibles, unless necessitated by misuse or loss.
(f) A policy or plan or contract may require that, if
coverage is provided through a managed care plan, the benefits
mandated pursuant to this Section shall be covered benefits
only if the prosthetic or orthotic devices are provided by a
licensed provider employed by a provider service who contracts
with or is designated by the carrier, to the extent that the
carrier provides in-network and out-of-network service, the
coverage for the prosthetic or orthotic device shall be
offered no less extensively.
(g) The policy or plan or contract shall also meet

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adequacy requirements as established by the Health Care
Reimbursement Reform Act of 1985 of the Illinois Insurance
Code.
(h) This Section shall not apply to accident only,
specified disease, short-term travel hospital or medical,
hospital confinement indemnity or other fixed indemnity,
credit, dental, vision, Medicare supplement, long-term care,
basic hospital and medical-surgical expense coverage,
disability income insurance coverage, coverage issued as a
supplement to liability insurance, workers' compensation
insurance, or automobile medical payment insurance.
(Source: P.A. 96-833, eff. 6-1-10.)
(Text of Section after amendment by P.A. 103-512)
Sec. 356z.18. Prosthetic and customized orthotic devices.
(a) For the purposes of this Section:
"Customized orthotic device" means a supportive device for
the body or a part of the body, the head, neck, or extremities,
and includes the replacement or repair of the device based on
the patient's physical condition as medically necessary,
excluding foot orthotics defined as an in-shoe device designed
to support the structural components of the foot during
weight-bearing activities.
"Licensed provider" means a prosthetist, orthotist, or
pedorthist licensed to practice in this State.
"Prosthetic device" means an artificial device to replace,

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in whole or in part, an arm or leg and includes accessories
essential to the effective use of the device and the
replacement or repair of the device based on the patient's
physical condition as medically necessary.
(b) This amendatory Act of the 96th General Assembly shall
provide benefits to any person covered thereunder for expenses
incurred in obtaining a prosthetic or custom orthotic device
from any Illinois licensed prosthetist, licensed orthotist, or
licensed pedorthist as required under the Orthotics,
Prosthetics, and Pedorthics Practice Act.
(c) A group or individual major medical policy of accident
or health insurance or managed care plan or medical, health,
or hospital service corporation contract that provides
coverage for prosthetic or custom orthotic care and is
amended, delivered, issued, or renewed 6 months after the
effective date of this amendatory Act of the 96th General
Assembly must provide coverage for prosthetic and orthotic
devices in accordance with this subsection (c). The coverage
required under this Section shall be subject to the other
general exclusions, limitations, and financial requirements of
the policy, including coordination of benefits, participating
provider requirements, utilization review of health care
services, including review of medical necessity, case
management, and experimental and investigational treatments,
and other managed care provisions under terms and conditions
that are no less favorable than the terms and conditions that

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apply to substantially all medical and surgical benefits
provided under the plan or coverage.
(d) With respect to an enrollee at any age, in addition to
coverage of a prosthetic or custom orthotic device required by
this Section, benefits shall be provided for a prosthetic or
custom orthotic device determined by the enrollee's provider
to be the most appropriate model that is medically necessary
for the enrollee to perform physical activities, as
applicable, such as running, biking, swimming, and lifting
weights, and to maximize the enrollee's whole body health and
strengthen the lower and upper limb function.
(e) The requirements of this Section do not constitute an
addition to this State's essential health benefits that
requires defrayal of costs by this State pursuant to 42 U.S.C.
18031(d)(3)(B).
(f) The policy or plan or contract may require prior
authorization for the prosthetic or orthotic devices in the
same manner that prior authorization is required for any other
covered benefit.
(g) Repairs and replacements of prosthetic and orthotic
devices are also covered, subject to the co-payments and
deductibles, unless necessitated by misuse or loss.
(h) A policy or plan or contract may require that, if
coverage is provided through a managed care plan, the benefits
mandated pursuant to this Section shall be covered benefits
only if the prosthetic or orthotic devices are provided by a

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licensed provider employed by a provider service who contracts
with or is designated by the carrier, to the extent that the
carrier provides in-network and out-of-network service, the
coverage for the prosthetic or orthotic device shall be
offered no less extensively.
(i) The policy or plan or contract shall also meet
adequacy requirements as established by the Health Care
Reimbursement Reform Act of 1985 of the Illinois Insurance
Code.
(j) This Section shall not apply to accident only,
specified disease, short-term travel hospital or medical,
hospital confinement indemnity or other fixed indemnity,
credit, dental, vision, Medicare supplement, long-term care,
basic hospital and medical-surgical expense coverage,
disability income insurance coverage, coverage issued as a
supplement to liability insurance, workers' compensation
insurance, or automobile medical payment insurance.
(Source: P.A. 103-512, eff. 1-1-25.)
(215 ILCS 5/367.3) (from Ch. 73, par. 979.3)
Sec. 367.3. Group accident and health insurance;
discretionary groups.
(a) No group health insurance offered to a resident of
this State under a policy issued to a group, other than one
specifically described in Section 367(1), shall be delivered
or issued for delivery in this State unless the Director

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determines that:
(1) the issuance of the policy is not contrary to the
public interest;
(2) the issuance of the policy will result in
economies of acquisition and administration; and
(3) the benefits under the policy are reasonable in
relation to the premium charged.
(b) No such group health insurance may be offered in this
State under a policy issued in another state unless this State
or the state in which the group policy is issued has made a
determination that the requirements of subsection (a) have
been met.
Where insurance is to be offered in this State under a
policy described in this subsection, the insurer shall file
for informational review purposes:
(1) a copy of the group master contract;
(2) a copy of the statute authorizing the issuance of
the group policy in the state of situs, which statute has
the same or similar requirements as this State, or in the
absence of such statute, a certification by an officer of
the company that the policy meets the Illinois minimum
standards required for individual accident and health
policies under authority of Section 401 of this Code, as
now or hereafter amended, as promulgated by rule at 50
Illinois Administrative Code, Ch. I, Sec. 2007, et seq.,
as now or hereafter amended, or by a successor rule;

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(3) evidence of approval by the state of situs of the
group master policy; and
(4) copies of all supportive material furnished to the
state of situs to satisfy the criteria for approval.
(c) The Director may, at any time after receipt of the
information required under subsection (b) and after finding
that the standards of subsection (a) have not been met, order
the insurer to cease the issuance or marketing of that
coverage in this State.
(d) Notwithstanding subsections (a) and (b), group Group
accident and health insurance subject to the provisions of
this Section is also subject to the provisions of Sections
352c and Section 367i of this Code and rules thereunder.
(Source: P.A. 90-655, eff. 7-30-98.)
(215 ILCS 5/367a) (from Ch. 73, par. 979a)
Sec. 367a. Blanket accident and health insurance.
(1) Blanket accident and health insurance is the that form
of accident and health insurance providing excepted benefits,
as defined in Section 352c, that covers covering special
groups of persons as enumerated in one of the following
paragraphs (a) to (g), inclusive:
(a) Under a policy or contract issued to any carrier for
hire, which shall be deemed the policyholder, covering a group
defined as all persons who may become passengers on such
carrier.

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(b) Under a policy or contract issued to an employer, who
shall be deemed the policyholder, covering all employees or
any group of employees defined by reference to exceptional
hazards incident to such employment.
(c) Under a policy or contract issued to a college,
school, or other institution of learning or to the head or
principal thereof, who or which shall be deemed the
policyholder, covering students or teachers. However, student
health insurance coverage, as defined in 45 CFR 147.145, shall
remain subject to the standards and requirements for
individual health insurance coverage except where inconsistent
with that regulation. An issuer providing student health
insurance coverage or a policy or contract covering students
for limited-scope dental or vision under 45 CFR 148.220 shall
require an individual application or enrollment form and shall
furnish each insured individual a certificate, which shall
have been approved by the Director under Section 355.
(d) Under a policy or contract issued in the name of any
volunteer fire department, first aid, or other such volunteer
group, which shall be deemed the policyholder, covering all of
the members of such department or group.
(e) Under a policy or contract issued to a creditor, who
shall be deemed the policyholder, to insure debtors of the
creditors; Provided, however, that in the case of a loan which
is subject to the Small Loans Act, no insurance premium or
other cost shall be directly or indirectly charged or assessed

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against, or collected or received from the borrower.
(f) Under a policy or contract issued to a sports team or
to a camp, which team or camp sponsor shall be deemed the
policyholder, covering members or campers.
(g) Under a policy or contract issued to any other
substantially similar group which, in the discretion of the
Director, may be subject to the issuance of a blanket accident
and health policy or contract.
(2) Any insurance company authorized to write accident and
health insurance in this state shall have the power to issue
blanket accident and health insurance. No such blanket policy
may be issued or delivered in this State unless a copy of the
form thereof shall have been filed in accordance with Section
355, and it contains in substance such of those provisions
contained in Sections 357.1 through 357.30 as may be
applicable to blanket accident and health insurance and the
following provisions:
(a) A provision that the policy and the application shall
constitute the entire contract between the parties, and that
all statements made by the policyholder shall, in absence of
fraud, be deemed representations and not warranties, and that
no such statements shall be used in defense to a claim under
the policy, unless it is contained in a written application.
(b) A provision that to the group or class thereof
originally insured shall be added from time to time all new
persons or individuals eligible for coverage.

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(3) An individual application shall not be required from a
person covered under a blanket accident or health policy or
contract, nor shall it be necessary for the insurer to furnish
each person a certificate.
(4) All benefits under any blanket accident and health
policy shall be payable to the person insured, or to his
designated beneficiary or beneficiaries, or to his or her
estate, except that if the person insured be a minor or person
under legal disability, such benefits may be made payable to
his or her parent, guardian, or other person actually
supporting him or her. Provided further, however, that the
policy may provide that all or any portion of any indemnities
provided by any such policy on account of hospital, nursing,
medical or surgical services may, at the insurer's option, be
paid directly to the hospital or person rendering such
services; but the policy may not require that the service be
rendered by a particular hospital or person. Payment so made
shall discharge the insurer's obligation with respect to the
amount of insurance so paid.
(5) Nothing contained in this section shall be deemed to
affect the legal liability of policyholders for the death of
or injury to, any such member of such group.
(Source: P.A. 83-1362.)
(215 ILCS 5/368f)
Sec. 368f. Military service member insurance

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reinstatement.
(a) No Illinois resident activated for military service
and no spouse or dependent of the resident who becomes
eligible for a federal government-sponsored health insurance
program, including the TriCare program providing coverage for
civilian dependents of military personnel, as a result of the
activation shall be denied reinstatement into the same
individual health insurance coverage with the health insurer
that the resident lapsed as a result of activation or becoming
covered by the federal government-sponsored health insurance
program. The resident shall have the right to reinstatement in
the same individual health insurance coverage without medical
underwriting, subject to payment of the current premium
charged to other persons of the same age and gender that are
covered under the same individual health coverage. Except in
the case of birth or adoption that occurs during the period of
activation, reinstatement must be into the same coverage type
as the resident held prior to lapsing the individual health
insurance coverage and at the same or, at the option of the
resident, higher deductible level. The reinstatement rights
provided under this subsection (a) are not available to a
resident or dependents if the activated person is discharged
from the military under other than honorable conditions.
(b) The health insurer with which the reinstatement is
being requested must receive a request for reinstatement no
later than 63 days following the later of (i) deactivation or

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(ii) loss of coverage under the federal government-sponsored
health insurance program. The health insurer may request proof
of loss of coverage and the timing of the loss of coverage of
the government-sponsored coverage in order to determine
eligibility for reinstatement into the individual coverage.
The effective date of the reinstatement of individual health
coverage shall be the first of the month following receipt of
the notice requesting reinstatement.
(c) All insurers must provide written notice to the
policyholder of individual health coverage of the rights
described in subsection (a) of this Section. In lieu of the
inclusion of the notice in the individual health insurance
policy, an insurance company may satisfy the notification
requirement by providing a single written notice:
(1) in conjunction with the enrollment process for a
policyholder initially enrolling in the individual
coverage on or after the effective date of this amendatory
Act of the 94th General Assembly; or
(2) by mailing written notice to policyholders whose
coverage was effective prior to the effective date of this
amendatory Act of the 94th General Assembly no later than
90 days following the effective date of this amendatory
Act of the 94th General Assembly.
(d) The provisions of subsection (a) of this Section do
not apply to any policy or certificate providing coverage for
any specified disease, specified accident or accident-only

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coverage, credit, dental, disability income, hospital
indemnity or other fixed indemnity, long-term care, Medicare
supplement, vision care, or short-term travel nonrenewable
health policy or other limited-benefit supplemental insurance,
or any coverage issued as a supplement to any liability
insurance, workers' compensation or similar insurance, or any
insurance under which benefits are payable with or without
regard to fault, whether written on a group, blanket, or
individual basis.
(e) Nothing in this Section shall require an insurer to
reinstate the resident if the insurer requires residency in an
enrollment area and those residency requirements are not met
after deactivation or loss of coverage under the
government-sponsored health insurance program.
(f) All terms, conditions, and limitations of the
individual coverage into which reinstatement is made apply
equally to all insureds enrolled in the coverage.
(g) The Secretary may adopt rules as may be necessary to
carry out the provisions of this Section.
(Source: P.A. 94-1037, eff. 7-20-06.)
Section 10. The Health Maintenance Organization Act is
amended by changing Section 5-3 as follows:
(215 ILCS 125/5-3) (from Ch. 111 1/2, par. 1411.2)
Sec. 5-3. Insurance Code provisions.

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(a) Health Maintenance Organizations shall be subject to
the provisions of Sections 133, 134, 136, 137, 139, 140,
141.1, 141.2, 141.3, 143, 143c, 147, 148, 149, 151, 152, 153,
154, 154.5, 154.6, 154.7, 154.8, 155.04, 155.22a, 155.49,
352c, 355.2, 355.3, 355b, 355c, 356f, 356g.5-1, 356m, 356q,
356v, 356w, 356x, 356z.2, 356z.3a, 356z.4, 356z.4a, 356z.5,
356z.6, 356z.8, 356z.9, 356z.10, 356z.11, 356z.12, 356z.13,
356z.14, 356z.15, 356z.17, 356z.18, 356z.19, 356z.20, 356z.21,
356z.22, 356z.23, 356z.24, 356z.25, 356z.26, 356z.28, 356z.29,
356z.30, 356z.30a, 356z.31, 356z.32, 356z.33, 356z.34,
356z.35, 356z.36, 356z.37, 356z.38, 356z.39, 356z.40, 356z.41,
356z.44, 356z.45, 356z.46, 356z.47, 356z.48, 356z.49, 356z.50,
356z.51, 356z.53, 356z.54, 356z.55, 356z.56, 356z.57, 356z.58,
356z.59, 356z.60, 356z.61, 356z.62, 356z.64, 356z.65, 356z.67,
356z.68, 364, 364.01, 364.3, 367.2, 367.2-5, 367i, 368a, 368b,
368c, 368d, 368e, 370c, 370c.1, 401, 401.1, 402, 403, 403A,
408, 408.2, 409, 412, 444, and 444.1, paragraph (c) of
subsection (2) of Section 367, and Articles IIA, VIII 1/2,
XII, XII 1/2, XIII, XIII 1/2, XXV, XXVI, and XXXIIB of the
Illinois Insurance Code.
(b) For purposes of the Illinois Insurance Code, except
for Sections 444 and 444.1 and Articles XIII and XIII 1/2,
Health Maintenance Organizations in the following categories
are deemed to be "domestic companies":
(1) a corporation authorized under the Dental Service
Plan Act or the Voluntary Health Services Plans Act;

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(2) a corporation organized under the laws of this
State; or
(3) a corporation organized under the laws of another
state, 30% or more of the enrollees of which are residents
of this State, except a corporation subject to
substantially the same requirements in its state of
organization as is a "domestic company" under Article VIII
1/2 of the Illinois Insurance Code.
(c) In considering the merger, consolidation, or other
acquisition of control of a Health Maintenance Organization
pursuant to Article VIII 1/2 of the Illinois Insurance Code,
(1) the Director shall give primary consideration to
the continuation of benefits to enrollees and the
financial conditions of the acquired Health Maintenance
Organization after the merger, consolidation, or other
acquisition of control takes effect;
(2)(i) the criteria specified in subsection (1)(b) of
Section 131.8 of the Illinois Insurance Code shall not
apply and (ii) the Director, in making his determination
with respect to the merger, consolidation, or other
acquisition of control, need not take into account the
effect on competition of the merger, consolidation, or
other acquisition of control;
(3) the Director shall have the power to require the
following information:
(A) certification by an independent actuary of the

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adequacy of the reserves of the Health Maintenance
Organization sought to be acquired;
(B) pro forma financial statements reflecting the
combined balance sheets of the acquiring company and
the Health Maintenance Organization sought to be
acquired as of the end of the preceding year and as of
a date 90 days prior to the acquisition, as well as pro
forma financial statements reflecting projected
combined operation for a period of 2 years;
(C) a pro forma business plan detailing an
acquiring party's plans with respect to the operation
of the Health Maintenance Organization sought to be
acquired for a period of not less than 3 years; and
(D) such other information as the Director shall
require.
(d) The provisions of Article VIII 1/2 of the Illinois
Insurance Code and this Section 5-3 shall apply to the sale by
any health maintenance organization of greater than 10% of its
enrollee population (including, without limitation, the health
maintenance organization's right, title, and interest in and
to its health care certificates).
(e) In considering any management contract or service
agreement subject to Section 141.1 of the Illinois Insurance
Code, the Director (i) shall, in addition to the criteria
specified in Section 141.2 of the Illinois Insurance Code,
take into account the effect of the management contract or

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service agreement on the continuation of benefits to enrollees
and the financial condition of the health maintenance
organization to be managed or serviced, and (ii) need not take
into account the effect of the management contract or service
agreement on competition.
(f) Except for small employer groups as defined in the
Small Employer Rating, Renewability and Portability Health
Insurance Act and except for medicare supplement policies as
defined in Section 363 of the Illinois Insurance Code, a
Health Maintenance Organization may by contract agree with a
group or other enrollment unit to effect refunds or charge
additional premiums under the following terms and conditions:
(i) the amount of, and other terms and conditions with
respect to, the refund or additional premium are set forth
in the group or enrollment unit contract agreed in advance
of the period for which a refund is to be paid or
additional premium is to be charged (which period shall
not be less than one year); and
(ii) the amount of the refund or additional premium
shall not exceed 20% of the Health Maintenance
Organization's profitable or unprofitable experience with
respect to the group or other enrollment unit for the
period (and, for purposes of a refund or additional
premium, the profitable or unprofitable experience shall
be calculated taking into account a pro rata share of the
Health Maintenance Organization's administrative and

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marketing expenses, but shall not include any refund to be
made or additional premium to be paid pursuant to this
subsection (f)). The Health Maintenance Organization and
the group or enrollment unit may agree that the profitable
or unprofitable experience may be calculated taking into
account the refund period and the immediately preceding 2
plan years.
The Health Maintenance Organization shall include a
statement in the evidence of coverage issued to each enrollee
describing the possibility of a refund or additional premium,
and upon request of any group or enrollment unit, provide to
the group or enrollment unit a description of the method used
to calculate (1) the Health Maintenance Organization's
profitable experience with respect to the group or enrollment
unit and the resulting refund to the group or enrollment unit
or (2) the Health Maintenance Organization's unprofitable
experience with respect to the group or enrollment unit and
the resulting additional premium to be paid by the group or
enrollment unit.
In no event shall the Illinois Health Maintenance
Organization Guaranty Association be liable to pay any
contractual obligation of an insolvent organization to pay any
refund authorized under this Section.
(g) Rulemaking authority to implement Public Act 95-1045,
if any, is conditioned on the rules being adopted in
accordance with all provisions of the Illinois Administrative

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Procedure Act and all rules and procedures of the Joint
Committee on Administrative Rules; any purported rule not so
adopted, for whatever reason, is unauthorized.
(Source: P.A. 102-30, eff. 1-1-22; 102-34, eff. 6-25-21;
102-203, eff. 1-1-22; 102-306, eff. 1-1-22; 102-443, eff.
1-1-22; 102-589, eff. 1-1-22; 102-642, eff. 1-1-22; 102-665,
eff. 10-8-21; 102-731, eff. 1-1-23; 102-775, eff. 5-13-22;
102-804, eff. 1-1-23; 102-813, eff. 5-13-22; 102-816, eff.
1-1-23; 102-860, eff. 1-1-23; 102-901, eff. 7-1-22; 102-1093,
eff. 1-1-23; 102-1117, eff. 1-13-23; 103-84, eff. 1-1-24;
103-91, eff. 1-1-24; 103-123, eff. 1-1-24; 103-154, eff.
6-30-23; 103-420, eff. 1-1-24; 103-426, eff. 8-4-23; 103-445,
eff. 1-1-24; 103-551, eff. 8-11-23; revised 8-29-23.)
Section 15. The Limited Health Service Organization Act is
amended by changing Section 4003 as follows:
(215 ILCS 130/4003) (from Ch. 73, par. 1504-3)
Sec. 4003. Illinois Insurance Code provisions. Limited
health service organizations shall be subject to the
provisions of Sections 133, 134, 136, 137, 139, 140, 141.1,
141.2, 141.3, 143, 143c, 147, 148, 149, 151, 152, 153, 154,
154.5, 154.6, 154.7, 154.8, 155.04, 155.37, 155.49, 352c,
355.2, 355.3, 355b, 356q, 356v, 356z.4, 356z.4a, 356z.10,
356z.21, 356z.22, 356z.25, 356z.26, 356z.29, 356z.30a,
356z.32, 356z.33, 356z.41, 356z.46, 356z.47, 356z.51, 356z.53,

HB2499 Enrolled - 23 - LRB103 30875 AMQ 57395 b
356z.54, 356z.57, 356z.59, 356z.61, 356z.64, 356z.67, 356z.68,
364.3, 368a, 401, 401.1, 402, 403, 403A, 408, 408.2, 409, 412,
444, and 444.1 and Articles IIA, VIII 1/2, XII, XII 1/2, XIII,
XIII 1/2, XXV, and XXVI of the Illinois Insurance Code.
Nothing in this Section shall require a limited health care
plan to cover any service that is not a limited health service.
For purposes of the Illinois Insurance Code, except for
Sections 444 and 444.1 and Articles XIII and XIII 1/2, limited
health service organizations in the following categories are
deemed to be domestic companies:
(1) a corporation under the laws of this State; or
(2) a corporation organized under the laws of another
state, 30% or more of the enrollees of which are residents
of this State, except a corporation subject to
substantially the same requirements in its state of
organization as is a domestic company under Article VIII
1/2 of the Illinois Insurance Code.
(Source: P.A. 102-30, eff. 1-1-22; 102-203, eff. 1-1-22;
102-306, eff. 1-1-22; 102-642, eff. 1-1-22; 102-731, eff.
1-1-23; 102-775, eff. 5-13-22; 102-813, eff. 5-13-22; 102-816,
eff. 1-1-23; 102-860, eff. 1-1-23; 102-1093, eff. 1-1-23;
102-1117, eff. 1-13-23; 103-84, eff. 1-1-24; 103-91, eff.
1-1-24; 103-420, eff. 1-1-24; 103-426, eff. 8-4-23; 103-445,
eff. 1-1-24; revised 8-29-23.)
(215 ILCS 190/Act rep.)

HB2499 Enrolled - 24 - LRB103 30875 AMQ 57395 b
Section 20. The Short-Term, Limited-Duration Health
Insurance Coverage Act is repealed.
Section 95. No acceleration or delay. Where this Act makes
changes in a statute that is represented in this Act by text
that is not yet or no longer in effect (for example, a Section
represented by multiple versions), the use of that text does
not accelerate or delay the taking effect of (i) the changes
made by this Act or (ii) provisions derived from any other
Public Act.