|
|||||||||||||||||||||||||||||
|
|||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||
| |||||||||||||||||||||||||||||
1 | AN ACT concerning fraud.
| ||||||||||||||||||||||||||||
2 | Be it enacted by the People of the State of Illinois,
| ||||||||||||||||||||||||||||
3 | represented in the General Assembly:
| ||||||||||||||||||||||||||||
4 | Section 5. The Criminal Code of 1961 is amended by changing | ||||||||||||||||||||||||||||
5 | Sections 46-1 and 46-1.1 as follows:
| ||||||||||||||||||||||||||||
6 | (720 ILCS 5/46-1)
| ||||||||||||||||||||||||||||
7 | Sec. 46-1. Insurance fraud.
| ||||||||||||||||||||||||||||
8 | (a) A person commits the offense of insurance fraud when he | ||||||||||||||||||||||||||||
9 | or she knowingly
obtains, attempts to obtain, or causes to be
| ||||||||||||||||||||||||||||
10 | obtained, by deception, control over the property of an | ||||||||||||||||||||||||||||
11 | insurance
company or self-insured entity by
the making of a | ||||||||||||||||||||||||||||
12 | false claim or by causing a false claim to be made on any
| ||||||||||||||||||||||||||||
13 | policy of insurance issued by an insurance
company or by the | ||||||||||||||||||||||||||||
14 | making of a false claim to a self-insured entity,
intending to | ||||||||||||||||||||||||||||
15 | deprive an insurance
company or self-insured entity | ||||||||||||||||||||||||||||
16 | permanently of the use and
benefit of that property.
| ||||||||||||||||||||||||||||
17 | (b) Sentence.
| ||||||||||||||||||||||||||||
18 | (1) A violation of this Section in which the value of | ||||||||||||||||||||||||||||
19 | the property
obtained or attempted to be obtained is $100
| ||||||||||||||||||||||||||||
20 | $300 or less is a Class A misdemeanor.
| ||||||||||||||||||||||||||||
21 | (2) A violation of the Section in which the value of | ||||||||||||||||||||||||||||
22 | the property
obtained or attempted to be obtained is more | ||||||||||||||||||||||||||||
23 | than $100
$300 but not more than
$10,000 is a Class 3 | ||||||||||||||||||||||||||||
24 | felony.
| ||||||||||||||||||||||||||||
25 | (3) A violation of this Section in which the value of | ||||||||||||||||||||||||||||
26 | the property
obtained or attempted to be obtained is more | ||||||||||||||||||||||||||||
27 | than $10,000 but not more than
$100,000 is a Class 2 | ||||||||||||||||||||||||||||
28 | felony.
| ||||||||||||||||||||||||||||
29 | (4) A violation of this Section in which the value of | ||||||||||||||||||||||||||||
30 | the property
obtained or attempted to be obtained is more | ||||||||||||||||||||||||||||
31 | than $100,000 is a Class 1 felony.
| ||||||||||||||||||||||||||||
32 | (c) For the purposes of this Article, where the exact value
|
| |||||||
| |||||||
1 | of property
obtained or attempted to be obtained is either not | ||||||
2 | alleged by the accused or
not specifically set by the terms of | ||||||
3 | a policy of insurance, the
value of the
property shall be the | ||||||
4 | fair market replacement value of the property claimed
to be | ||||||
5 | lost, the reasonable costs of reimbursing a vendor or other | ||||||
6 | claimant
for services to be rendered, or both.
| ||||||
7 | (d) Definitions. For the purposes of this Article:
| ||||||
8 | (1) "Insurance company" means "company" as defined | ||||||
9 | under Section 2 of the
Illinois Insurance Code.
| ||||||
10 | (2) "Self-insured entity" means any person, business, | ||||||
11 | partnership,
corporation, or organization that sets aside | ||||||
12 | funds to meet his, her, or its
losses or to absorb | ||||||
13 | fluctuations in the amount of loss, the losses being
| ||||||
14 | charged against the funds set aside or accumulated.
| ||||||
15 | (3) "Obtain", "obtains control", "deception", | ||||||
16 | "property" and "permanent
deprivation"
have the meanings | ||||||
17 | ascribed to those terms in Article 15 of this Code.
| ||||||
18 | (4) "Governmental entity" means each officer, board, | ||||||
19 | commission, and
agency created by the constitution, | ||||||
20 | whether in the executive, legislative, or
judicial branch | ||||||
21 | of State government; each officer, department, board,
| ||||||
22 | commission, agency, institution, authority, university, | ||||||
23 | and body politic and
corporate of the State; each | ||||||
24 | administrative unit or corporate outgrowth of
State | ||||||
25 | government that is created by or pursuant to
statute, | ||||||
26 | including units of local government and their officers, | ||||||
27 | school
districts, and boards of election commissioners; | ||||||
28 | and each administrative unit
or corporate outgrowth of the | ||||||
29 | above and as may be created by executive order of
the | ||||||
30 | Governor.
| ||||||
31 | (5) "False claim" means any statement made to any | ||||||
32 | insurer, purported
insurer, servicing corporation, | ||||||
33 | insurance broker, or insurance agent, or any
agent or | ||||||
34 | employee of the entities, and made as part of, or in | ||||||
35 | support of, a
claim for
payment or other benefit under a | ||||||
36 | policy of insurance, or as part of, or
in support of, an |
| |||||||
| |||||||
1 | application for the issuance of, or the rating of, any
| ||||||
2 | insurance policy, when the statement contains any false, | ||||||
3 | incomplete, or
misleading information concerning any fact | ||||||
4 | or thing material to the claim, or
conceals the occurrence | ||||||
5 | of an event that is material to any person's initial or
| ||||||
6 | continued right or entitlement to any insurance benefit or | ||||||
7 | payment, or the
amount of any benefit or payment to which | ||||||
8 | the person is entitled.
| ||||||
9 | (6) "Statement" means any assertion, oral, written, or | ||||||
10 | otherwise, and
includes, but is not limited to, any notice, | ||||||
11 | letter, or memorandum; proof of
loss; bill of lading; | ||||||
12 | receipt for payment; invoice, account, or other financial
| ||||||
13 | statement; estimate of property damage; bill for services; | ||||||
14 | diagnosis or
prognosis;
prescription; hospital, medical or | ||||||
15 | dental chart or other record, x-ray,
photograph, | ||||||
16 | videotape, or movie film; test result; other evidence of | ||||||
17 | loss,
injury, or expense; computer-generated document; and | ||||||
18 | data in any form.
| ||||||
19 | (Source: P.A. 90-333, eff. 1-1-98; 91-232, eff. 1-1-00.)
| ||||||
20 | (720 ILCS 5/46-1.1)
| ||||||
21 | Sec. 46-1.1. Fraud on a governmental entity.
| ||||||
22 | (a) A person commits the offense of fraud on a governmental | ||||||
23 | entity when he
or she
knowingly obtains, attempts to obtain, or | ||||||
24 | causes to be
obtained, by deception, control over the property | ||||||
25 | of
any governmental entity by the making of a
false claim of | ||||||
26 | bodily injury or of damage to or loss or theft of property or
| ||||||
27 | by causing a false claim of bodily injury or of damage to or | ||||||
28 | loss or theft of
property to be made
against
the governmental | ||||||
29 | entity, intending to deprive the governmental entity
| ||||||
30 | permanently
of the use and benefit of that property.
| ||||||
31 | (b) Sentence.
| ||||||
32 | (1) A violation of this Section in which the value of | ||||||
33 | the property
obtained or attempted to be obtained is $100
| ||||||
34 | $300 or less is a Class A misdemeanor.
| ||||||
35 | (2) A violation of this Section in which the value of |
| |||||||
| |||||||
1 | the property
obtained or attempted to be obtained is more | ||||||
2 | than $100
$300 but not more than
$10,000 is a Class 3 | ||||||
3 | felony.
| ||||||
4 | (3) A violation of this Section in which the value of | ||||||
5 | the property
obtained or attempted to be obtained is more | ||||||
6 | than $10,000 but not more than
$100,000 is a Class 2 | ||||||
7 | felony.
| ||||||
8 | (4) A violation of this Section in which the value of | ||||||
9 | the property
obtained or attempted to be obtained is more | ||||||
10 | than $100,000 is a Class 1
felony.
| ||||||
11 | (Source: P.A. 90-333, eff. 1-1-98; 91-232, eff. 1-1-00.)
| ||||||
12 | Section 10. The Workers' Compensation Act is amended by | ||||||
13 | adding Section 4e as follows: | ||||||
14 | (820 ILCS 305/4e new) | ||||||
15 | Sec. 4e. Workers' Compensation Fraud Warning Notice.
| ||||||
16 | (a) Legislative Declarations.
The General Assembly finds | ||||||
17 | and declares that: | ||||||
18 | (1) workers' compensation fraud is the largest source | ||||||
19 | of fraud within the property/casualty industry, accounting | ||||||
20 | for more than one-third of all property/casualty insurance | ||||||
21 | fraud; and | ||||||
22 | (2) the cost of workers' compensation insurance fraud | ||||||
23 | is passed on to employers in the form of higher premium | ||||||
24 | costs; and | ||||||
25 | (3) insurers and self-insured employers should have | ||||||
26 | the right to notify workers' compensation claimants that | ||||||
27 | certain actions following the acceptance of benefits may | ||||||
28 | constitute fraud. | ||||||
29 | (b) Warning Notice.
An insurer or self-insured employer may | ||||||
30 | provide the following notice to an injured worker on or with a | ||||||
31 | check for temporary disability benefits: | ||||||
32 | Warning: Acceptance of employment with a different | ||||||
33 | employer that requires the performance of activities you | ||||||
34 | have stated that you cannot perform because of the injury |
| |||||||
| |||||||
1 | for which you are receiving temporary disability benefits | ||||||
2 | could constitute fraud and could result in criminal | ||||||
3 | prosecution and liability for damages. If convicted, you | ||||||
4 | could be subject to liability, lose your rights to workers' | ||||||
5 | compensation benefits, and face imprisonment up to one year | ||||||
6 | and a fine of up to $2,500 or double the amount of the | ||||||
7 | fraud, whichever is greater. Others found to have assisted | ||||||
8 | you in the perpetration of fraud could also be subject to | ||||||
9 | criminal prosecution and civil liability. | ||||||
10 | Section 97. Severability. The provisions of this Act are | ||||||
11 | severable under Section 1.31 of the Statute on Statutes.
| ||||||
12 | Section 99. Effective date. This Act takes effect upon | ||||||
13 | becoming law.
|