Illinois General Assembly - Full Text of SB1775
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Full Text of SB1775  98th General Assembly


Sen. William R. Haine

Filed: 4/15/2013





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2    AMENDMENT NO. ______. Amend Senate Bill 1775 by replacing
3everything after the enacting clause with the following:
4    "Section 5. The Illinois Insurance Code is amended by
5adding Section 143.33 as follows:
6    (215 ILCS 5/143.33 new)
7    Sec. 143.33. Electronic posting of policies.
8    (a) Policies and endorsements used by a company for
9transacting insurance as classified in Class 2 and Class 3 of
10Section 4 of this Code that do not contain personally
11identifiable information may be mailed, issued, delivered, or
12posted on the insurer's Internet website. If the insurer elects
13to post the insurance policies and endorsements on its Internet
14website in lieu of mailing, issuing, or delivering them to the
15insured, then the insurer must comply with all of the following



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1        (1) The policy and endorsements must be easily
2    accessible to the insured and the producer of record and
3    remain that way for as long as the policy is in force;
4        (2) After the expiration of the policy, the insurer
5    must archive its expired policies and endorsements for the
6    longer of 5 years or other period required by law, and make
7    them available upon request;
8        (3) The policies and endorsements must be posted in a
9    manner that enables the insured and the producer of record
10    to print and save the policy and endorsements using
11    programs or applications that are widely available on the
12    Internet and free to use;
13        (4) At the time of issuance of the original policy and
14    any renewals of that policy, the insurer provides to the
15    insured in the manner it customarily provides declarations
16    pages to the insured, and to the producer of record, the
17    following information clearly displayed in or
18    simultaneously with a declarations page:
19            (A) a description of the exact policy and
20        endorsement forms purchased by the insured;
21            (B) a method by which the insured may obtain from
22        the insurer, upon request and without charge, a paper
23        copy of their policy and endorsements; and
24            (C) the Internet address where their policy and
25        endorsements are posted.
26        (5) The insurer provides to the insured in the manner



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1    it customarily provides declarations pages to the insured,
2    and to the producer of record, notice of any changes to the
3    forms or endorsements; the insured's right to obtain from
4    the insurer, upon request and without charge, a paper copy
5    of these forms or endorsements; and the Internet address
6    where these forms or endorsements are posted.
7    (b) Nothing in this Section shall prevent an insurer that
8posts its policies and endorsements electronically in
9accordance with this Section from offering a discount to an
10insured who elects to receive notices and documents
11electronically in accordance with the provisions of the federal
12Electronic Signatures in Global and National Commerce Act.
13    (c) Nothing in this Section affects the timing or content
14of any disclosure or other document required to be provided or
15made available to any insured under any statute, rule,
16regulation, or rule of law.
17    Section 10. The Illinois Vehicle Code is amended by
18changing Section 7-602 as follows:
19    (625 ILCS 5/7-602)  (from Ch. 95 1/2, par. 7-602)
20    Sec. 7-602. Insurance card. Every operator of a motor
21vehicle subject to Section 7-601 of this Code shall carry
22within the vehicle evidence of insurance. The evidence shall be
23legible and sufficient to demonstrate that the motor vehicle
24currently is covered by a liability insurance policy as



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1required under Section 7-601 of this Code and may include, but
2is not limited to, the following:
3        (a) an insurance card provided by the insurer under
4    this Section;
5        (b) the combination of proof of purchase of the motor
6    vehicle within the previous 60 days and a current insurance
7    card issued for the motor vehicle replaced by such
8    purchase;
9        (c) the current declarations page of a liability
10    insurance policy;
11        (d) a liability insurance binder, certificate of
12    liability insurance or receipt for payment to an insurer or
13    its authorized representative for a liability insurance
14    premium, provided such document contains all information
15    the Secretary of State by rule and regulation may require;
16        (e) a current rental agreement;
17        (f) registration plates, registration sticker or other
18    evidence of registration issued by the Secretary only upon
19    submission of proof of liability insurance pursuant to this
20    Code;
21        (g) a certificate, decal, or other document or device
22    issued by a governmental agency for a motor vehicle
23    indicating the vehicle is insured for liability pursuant to
24    law; .
25        (h) the display of electronic images on a cellular
26    phone or other type of portable electronic device. The use



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1    of a cellular phone or other type of portable electronic
2    device to display proof of insurance does not constitute
3    consent for a law enforcement officer, court, or other
4    officer of the court to access other contents of the
5    electronic device.
6    An insurance card shall be provided for each motor vehicle
7insured by the insurer issuing the liability insurance policy
8and may be issued in either paper or electronic format.
9Acceptable electronic formats shall permit display on a
10cellular phone or other portable electronic device.
11    The form, contents and manner of issuance of the insurance
12card shall be prescribed by rules and regulations of the
13Secretary of State. The Secretary shall adopt rules requiring
14that reasonable measures be taken to prevent the fraudulent
15production of insurance cards. The insurance card shall display
16an effective date and an expiration date covering a period of
17time not to exceed 12 months. The insurance card shall contain
18the following disclaimer: "Examine policy exclusions
19carefully. This form does not constitute any part of your
20insurance policy." If the insurance policy represented by the
21insurance card does not cover any driver operating the motor
22vehicle with the owner's permission, or the owner when
23operating a motor vehicle other than the vehicle for which the
24policy is issued, the insurance card shall contain a warning of
25such limitations in the coverage provided by the policy.
26    No insurer shall issue a card, similar in appearance, form



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1and content to the insurance card required under this Section,
2in connection with an insurance policy that does not provide
3the liability insurance coverage required under Section 7-601
4of this Code.
5    The evidence of insurance shall be displayed upon request
6made by any law enforcement officer wearing a uniform or
7displaying a badge or other sign of authority. Any person who
8fails or refuses to comply with such request is in violation of
9Section 3-707 of this Code. Any person who displays evidence of
10insurance, knowing there is no valid liability insurance in
11effect on the motor vehicle as required under Section 7-601 of
12this Code or knowing the evidence of insurance is illegally
13altered, counterfeit or otherwise invalid, is in violation of
14Section 3-710 of this Code.
15    "Display" means the manual surrender of the evidence of
16insurance into the hands of the law enforcement officer, court,
17or officer of the court making the request for the officer's,
18court's, or officer of the court's inspection thereof.
19(Source: P.A. 93-719, eff. 1-1-05.)
20    Section 99. Effective date. This Act takes effect upon
21becoming law.".