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| Public Act 098-0927
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| HB5575 Enrolled | LRB098 14733 RPM 49621 b |
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AN ACT concerning insurance.
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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 Insurance Code is amended by |
changing Section 143a as follows:
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(215 ILCS 5/143a) (from Ch. 73, par. 755a)
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Sec. 143a. Uninsured and hit and run motor vehicle |
coverage.
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(1) No policy insuring against
loss resulting from |
liability imposed by law for bodily injury or death
suffered by |
any person arising out of the ownership, maintenance or use
of |
a motor vehicle that is designed for use on public highways and |
that
is either required to be registered in this State or is |
principally garaged
in this State shall be renewed, delivered, |
or issued for delivery
in this State unless coverage is |
provided therein or
supplemental thereto, in limits for bodily |
injury or death set forth in
Section 7-203 of the Illinois |
Vehicle Code for the
protection of persons insured thereunder |
who are legally entitled to
recover damages from owners or |
operators of uninsured motor vehicles and
hit-and-run motor |
vehicles because of bodily injury, sickness or
disease, |
including death, resulting therefrom. Uninsured motor vehicle
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coverage does not apply to bodily injury, sickness, disease, or |
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death resulting
therefrom, of an insured while occupying a |
motor vehicle owned by, or furnished
or available for the |
regular use of the insured, a resident spouse or resident
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relative, if that motor vehicle is not described in the policy |
under which a
claim is made or is not a newly acquired or |
replacement motor vehicle covered
under the terms of the |
policy. The limits for any coverage for any vehicle
under the |
policy may not be aggregated with the limits for any similar
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coverage, whether provided by the same insurer or another |
insurer, applying to
other motor vehicles, for purposes of |
determining the total limit of insurance
coverage available for |
bodily injury or death suffered by a person in any one
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accident. No
policy shall be renewed, delivered, or issued for |
delivery in this
State unless it is provided therein that any |
dispute
with respect to the coverage and the amount of damages |
shall be submitted
for arbitration to the
American Arbitration |
Association and be subject to its rules for the conduct
of |
arbitration hearings
as to all matters except medical opinions. |
As to medical opinions, if the
amount of damages being sought |
is equal to or less than the amount provided for
in Section |
7-203 of the Illinois Vehicle Code, then the current American
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Arbitration Association Rules shall apply. If the amount being |
sought in an
American Arbitration Association case exceeds that |
amount as set forth in
Section 7-203 of the Illinois Vehicle |
Code, then the Rules of Evidence that
apply in the circuit |
court for placing medical opinions into evidence shall
govern. |
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Alternatively, disputes with respect to damages and the |
coverage shall
be
determined in the
following
manner: Upon the |
insured requesting arbitration, each party to the
dispute shall |
select an arbitrator and the 2 arbitrators so named
shall |
select a third arbitrator. If such arbitrators are not selected
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within 45 days from such request, either party may request that |
the
arbitration be submitted to the American Arbitration |
Association.
Any decision made by the arbitrators shall be |
binding for the amount of
damages not exceeding $75,000 $50,000 |
for bodily injury to or
death of any one person, $150,000 |
$100,000 for bodily injury to or death of 2 or more
persons in |
any one motor vehicle accident,
or the corresponding policy |
limits for bodily injury or death, whichever is
less.
All |
3-person arbitration cases proceeding in accordance with any |
uninsured
motorist
coverage conducted in this State in
which |
the claimant is only seeking monetary damages up to the limits
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set forth in Section 7-203 of the Illinois Vehicle Code
shall |
be subject to the following rules:
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(A) If at least 60 days' written
notice of the |
intention to offer the following documents in evidence is |
given
to every other party, accompanied by a copy of the |
document, a party may offer
in evidence, without foundation |
or other proof:
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(1) bills, records, and reports of hospitals, |
doctors, dentists,
registered nurses, licensed |
practical nurses, physical therapists, and other
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healthcare providers;
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(2) bills for drugs, medical appliances, and |
prostheses;
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(3) property repair bills or estimates, when |
identified and itemized
setting forth the charges for |
labor and material used or proposed for use in
the |
repair of the property;
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(4) a report of the rate of earnings and time lost |
from work or lost
compensation prepared by an employer;
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(5) the written opinion of an opinion witness, the |
deposition of a
witness, and the statement of a witness |
that the witness would be allowed to
express if |
testifying in person, if the opinion or statement is |
made by
affidavit or by
certification as provided in |
Section 1-109 of the Code of Civil Procedure;
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(6) any other document not specifically covered by |
any of the foregoing
provisions that is otherwise |
admissible under the rules of evidence.
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Any party receiving a notice under this paragraph (A) |
may apply to the
arbitrator or panel of arbitrators, as the |
case may be, for the issuance of a
subpoena directed to the |
author or maker or custodian of the document that is
the |
subject of the notice, requiring the person subpoenaed to |
produce copies of
any additional documents as may be |
related to the subject matter of the
document that is the |
subject of the notice. Any such subpoena shall be issued
in |
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substantially similar form and served by notice as provided |
by Illinois
Supreme Court Rule 204(a)(4). Any such subpoena |
shall be returnable not
less than 5 days before the |
arbitration hearing.
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(B) Notwithstanding the provisions of Supreme Court |
Rule 213(g), a party
who proposes to use a written opinion |
of an expert or opinion witness or the
testimony of
an |
expert or opinion witness at the hearing may do so provided |
a written notice
of that
intention is given to every other |
party not less than 60 days prior to the date
of hearing, |
accompanied by a statement containing the identity of the
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witness, his or her qualifications, the subject matter, the |
basis of the
witness's conclusions,
and his or her opinion.
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(C) Any other party may subpoena the author or maker of |
a document
admissible under this subsection, at that |
party's expense, and examine the
author
or maker as if |
under cross-examination. The provisions of Section 2-1101 |
of
the
Code of Civil Procedure shall be applicable to |
arbitration hearings, and it
shall be the duty of a party |
requesting the subpoena to modify the form to show
that the |
appearance is set before an arbitration panel and to give |
the time and
place set for the hearing.
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(D) The provisions of Section 2-1102 of the Code of |
Civil Procedure shall
be
applicable to arbitration |
hearings under this subsection.
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(2) No policy insuring
against loss resulting from |
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liability imposed by law for property damage
arising out of the |
ownership, maintenance, or use of a motor vehicle shall
be |
renewed, delivered, or issued for delivery in this State with |
respect
to any private passenger or recreational motor vehicle |
that is
designed for use on public highways and that is either |
required to be
registered in this State or is principally |
garaged in this State and
is not covered by collision insurance |
under the provisions of such
policy, unless coverage is made |
available in the amount of the actual
cash value of the motor |
vehicle described in the policy or $15,000
whichever is less, |
subject to a $250 deductible, for the protection of
persons |
insured thereunder who are legally entitled to recover damages |
from
owners or operators of uninsured motor vehicles and |
hit-and-run motor
vehicles because of property damage to the |
motor vehicle described in the
policy.
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There shall be no liability imposed under the uninsured |
motorist
property damage coverage required by this subsection |
if the owner or
operator of the at-fault uninsured motor |
vehicle or hit-and-run motor
vehicle cannot be identified. This |
subsection shall not apply to any
policy which does not provide |
primary motor vehicle liability insurance for
liabilities |
arising from the maintenance, operation, or use of a
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specifically insured motor vehicle.
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Each insurance company providing motor vehicle property |
damage liability
insurance shall advise applicants of the |
availability of uninsured motor
vehicle property damage |
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coverage, the premium therefor, and provide a brief
description |
of the coverage. That information
need be given only once and |
shall not be required in any subsequent renewal,
reinstatement |
or reissuance, substitute, amended, replacement or
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supplementary policy. No written rejection shall be required, |
and
the absence of a premium payment for uninsured motor |
vehicle property damage
shall constitute conclusive proof that |
the applicant or policyholder has
elected not to accept |
uninsured motorist property damage coverage.
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An insurance company issuing uninsured motor vehicle
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property damage coverage may provide that:
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(i) Property damage losses recoverable thereunder |
shall be limited to
damages caused by the actual physical |
contact of an uninsured motor vehicle
with the insured |
motor vehicle.
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(ii) There shall be no coverage for loss of use of the |
insured motor
vehicle and no coverage for loss or damage to |
personal property located in
the insured motor vehicle.
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(iii) Any claim submitted shall include the name and |
address of the
owner of the at-fault uninsured motor |
vehicle, or a registration number and
description of the |
vehicle, or any other available information to
establish |
that there is no applicable motor vehicle property damage |
liability
insurance.
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Any dispute with respect to the coverage and the amount of
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damages shall be submitted for
arbitration to the American |
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Arbitration Association and be subject to its
rules for the |
conduct of arbitration hearings or for determination in
the |
following manner: Upon the insured requesting arbitration, |
each party
to the dispute shall select an arbitrator and the 2 |
arbitrators so named
shall select a third arbitrator. If such |
arbitrators are not selected
within 45 days from such request, |
either party may request that the
arbitration be submitted to |
the American Arbitration Association.
Any arbitration |
proceeding under this subsection seeking recovery for
property |
damages shall be
subject to the following rules:
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(A) If at least 60 days' written
notice of the |
intention to offer the following documents in evidence is |
given
to every other party, accompanied by a copy of the |
document, a party may offer
in evidence, without foundation |
or other proof:
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(1) property repair bills or estimates, when |
identified and itemized
setting forth the charges for |
labor and material used or proposed for use in
the |
repair of the property;
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(2) the written opinion of an opinion witness, the |
deposition of a
witness, and the statement of a witness |
that the witness would be allowed to
express if |
testifying in person, if the opinion or statement is |
made by
affidavit or by
certification as provided in |
Section 1-109 of the Code of Civil Procedure;
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(3) any other document not specifically covered by |
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any of the foregoing
provisions that is otherwise |
admissible under the rules of evidence.
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Any party receiving a notice under this paragraph (A) |
may apply to the
arbitrator or panel of arbitrators, as the |
case may be, for the issuance of a
subpoena directed to the |
author or maker or custodian of the document that is
the |
subject of the notice, requiring the person subpoenaed to |
produce copies of
any additional documents as may be |
related to the subject matter of the
document that is the |
subject of the notice. Any such subpoena shall be issued
in |
substantially similar form and served by notice as provided |
by Illinois
Supreme Court Rule 204(a)(4). Any such subpoena |
shall be returnable not
less than 5 days before the |
arbitration hearing.
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(B) Notwithstanding the provisions of Supreme Court |
Rule 213(g), a party
who proposes to use a written opinion |
of an expert or opinion witness or the
testimony of
an |
expert or opinion witness at the hearing may do so provided |
a written notice
of that
intention is given to every other |
party not less than 60 days prior to the date
of hearing, |
accompanied by a statement containing the identity of the
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witness, his or her qualifications, the subject matter, the |
basis of the
witness's conclusions,
and his or her opinion.
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(C) Any other party may subpoena the author or maker of |
a document
admissible under this subsection, at that |
party's expense, and examine the
author
or maker as if |
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under cross-examination. The provisions of Section 2-1101 |
of
the
Code of Civil Procedure shall be applicable to |
arbitration hearings, and it
shall be the duty of a party |
requesting the subpoena to modify the form to show
that the |
appearance is set before an arbitration panel and to give |
the time and
place set for the hearing.
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(D) The provisions of Section 2-1102 of the Code of |
Civil Procedure shall
be
applicable to arbitration |
hearings under this subsection.
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(3) For the purpose of the coverage the term "uninsured |
motor
vehicle" includes, subject to the terms and conditions of |
the coverage,
a motor vehicle where on, before or after the |
accident date the
liability insurer thereof is unable to make |
payment with respect to the
legal liability of its insured |
within the limits specified in the policy
because of the entry |
by a court of competent jurisdiction of an order of
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rehabilitation or liquidation by reason of insolvency on or |
after the
accident date. An insurer's extension of coverage, as |
provided in this
subsection, shall be applicable to all |
accidents occurring after July
1, 1967 during a policy period |
in which its insured's uninsured motor
vehicle coverage is in |
effect. Nothing in this Section may be construed
to prevent any |
insurer from extending coverage under terms and
conditions more |
favorable to its insureds than is required by this Section.
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(4) In the event of payment to any person under the |
coverage
required by this Section and subject to the terms and |
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conditions of the
coverage, the insurer making the payment |
shall, to the extent thereof,
be entitled to the proceeds of |
any settlement or judgment resulting from
the exercise of any |
rights of recovery of the person against any person
or |
organization legally responsible for the property damage, |
bodily
injury or death for which the payment is made, including |
the proceeds
recoverable from the assets of the insolvent |
insurer. With respect to
payments made by reason of the |
coverage described in subsection (3), the
insurer making such |
payment shall not be entitled to any right of recovery
against |
the tort-feasor in excess of the proceeds recovered from the |
assets
of the insolvent insurer of the tort-feasor.
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(5) This amendatory Act of 1967 shall not be construed to |
terminate
or reduce any insurance coverage or any right of any |
party under this
Code in effect before July 1, 1967. This |
amendatory Act of 1990 shall not
be construed to terminate or |
reduce any insurance coverage or any right of
any party under |
this Code in effect before its effective date.
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(6) Failure of the motorist from whom the claimant is |
legally
entitled to recover damages to file the appropriate |
forms with the
Safety Responsibility Section of the Department |
of Transportation within
120 days of the accident date shall |
create a rebuttable presumption that
the motorist was uninsured |
at the time of the injurious occurrence.
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(7) An insurance carrier may upon good cause require the
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insured to commence a legal action against the owner or |
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operator of an
uninsured motor vehicle before good faith |
negotiation with the carrier. If
the action is commenced at the |
request of the insurance carrier, the
carrier shall pay to the |
insured, before the action is commenced, all court
costs, jury |
fees and sheriff's fees arising from the action.
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The changes made by this amendatory Act of 1997 apply to |
all policies of
insurance amended, delivered, issued, or |
renewed on and after the effective
date of this amendatory Act |
of 1997.
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(8) The changes made by this amendatory Act of the 98th |
General Assembly apply to all policies of
insurance amended, |
delivered, issued, or renewed on and after the effective
date |
of this amendatory Act of the 98th General Assembly. |
(Source: P.A. 98-242, eff. 1-1-14.)
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