Full Text of HB2618 98th General Assembly
HB2618sam003 98TH GENERAL ASSEMBLY | Sen. William R. Haine Filed: 5/21/2013
| | 09800HB2618sam003 | | LRB098 09390 RPM 46197 a |
|
| 1 | | AMENDMENT TO HOUSE BILL 2618
| 2 | | AMENDMENT NO. ______. Amend House Bill 2618, AS AMENDED, by | 3 | | replacing everything after the enacting clause with the | 4 | | following:
| 5 | | "Section 5. The Illinois Insurance Code is amended by | 6 | | changing Section 805.1 as follows:
| 7 | | (215 ILCS 5/805.1)
| 8 | | Sec. 805.1. Mine Subsidence Coverage.
| 9 | | (a) Beginning January 1, 1994, every policy issued or | 10 | | renewed insuring a
residence on a direct basis shall include, | 11 | | at a separately stated premium,
residential coverage unless | 12 | | waived in writing by the insured. Beginning
January 1, 1994, | 13 | | every policy issued or renewed insuring a commercial building
| 14 | | on a direct basis shall include at a separately stated premium, | 15 | | commercial
coverage unless waived in writing by the insured. | 16 | | Beginning January 1, 1994,
every policy issued or renewed |
| | | 09800HB2618sam003 | - 2 - | LRB098 09390 RPM 46197 a |
|
| 1 | | insuring a living unit on a direct basis shall
include, at a | 2 | | separately stated premium, living unit coverage unless waived | 3 | | in
writing by the insured.
| 4 | | (b) If the insured has previously waived mine subsidence | 5 | | coverage in
writing,
the insurer or agent need not offer mine | 6 | | subsidence coverage in any renewal or
supplementary policy in | 7 | | connection with a policy previously issued to such
insured by | 8 | | the same insurer, unless the insured subsequently makes a | 9 | | written
request for mine subsidence coverage.
| 10 | | (c) The premium charged for residential, commercial or | 11 | | living unit coverage
shall be the
premium level set by the | 12 | | Fund. The loss covered shall be the loss in excess of
the | 13 | | deductible or retention established by the Fund and contained | 14 | | in a
mine subsidence endorsement to the policy. For all | 15 | | policies issued or renewed on or after January 1, 2008, the | 16 | | reinsured loss per residence, per commercial building, and per | 17 | | living unit shall be the amounts established by the Fund and | 18 | | approved by the Director.
For all policies issued or renewed on | 19 | | or after January 1, 1996, the amount of
reinsurance available | 20 | | from the Fund shall not be less than $200,000 per
residence, | 21 | | $200,000 per commercial building, or $15,000 per living unit. | 22 | | The
Fund may, from time to time, adjust the amount of | 23 | | reinsurance available as long
as the minimum set by this | 24 | | Section is met.
| 25 | | (d) The residential coverage provided pursuant to this | 26 | | Article may also
cover
the additional living expenses |
| | | 09800HB2618sam003 | - 3 - | LRB098 09390 RPM 46197 a |
|
| 1 | | reasonably and necessarily incurred by the owner
of a residence | 2 | | who has been temporarily displaced as the direct result of
| 3 | | damage to the residence caused by mine subsidence if the | 4 | | underlying policy also
covers this type of loss, provided | 5 | | however, that the loss covered under living
unit coverage shall | 6 | | be limited to losses to improvements
and betterments, and | 7 | | reimbursement of additional living expenses and
assessments | 8 | | made against the insured on account of mine subsidence loss.
| 9 | | (e) The total amount of the loss reimbursable to an insurer | 10 | | shall be limited
to the amount of
insurance reinsured by the | 11 | | Fund in force at the time when the damage first
becomes | 12 | | reasonably observable. All damage caused by a single mine | 13 | | subsidence
event or several subsidence events which are | 14 | | continuous shall constitute one
occurrence. As set forth in | 15 | | subsections (a) and (c) of this Section, a policy issued or | 16 | | renewed must provide coverage, unless waived in writing by the | 17 | | insured, and the insurer must continue to charge the premium | 18 | | level set for that coverage by the Fund. If mine subsidence | 19 | | coverage is in force when the mine subsidence damage first | 20 | | becomes reasonably observable, then the insurer shall notify | 21 | | the insured making the mine subsidence claim that continuation | 22 | | of that coverage thereafter may not be necessary and is | 23 | | optional, but that continued coverage shall terminate only upon | 24 | | written waiver by the insured. This notification shall be made | 25 | | within 60 days after the insurer receives written confirmation | 26 | | from the Fund that the cause of loss is active mine subsidence.
|
| | | 09800HB2618sam003 | - 4 - | LRB098 09390 RPM 46197 a |
|
| 1 | | (f) No insurer shall be required to offer mine subsidence | 2 | | coverage in
excess of the reinsured limits.
| 3 | | (Source: P.A. 95-92, eff. 1-1-08; 95-334, eff. 1-1-08.)".
|
|