State of Illinois
2017 and 2018


Introduced , by Rep. Daniel V. Beiser


215 ILCS 185/10

    Amends the Unclaimed Life Insurance Benefits Act. Provides that the definition of "policy" does not include any policy or certificate of life insurance that is used to fund a pre-need funeral contract or prearrangement. Effective immediately.

LRB100 08452 SMS 18570 b





HB3491LRB100 08452 SMS 18570 b

1    AN ACT concerning regulation.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Unclaimed Life Insurance Benefits Act is
5amended by changing Section 10 as follows:
6    (215 ILCS 185/10)
7    Sec. 10. Definitions. As used in this Act:
8    "Annuity contract" does not include an annuity contract
9used to fund an employment-based retirement plan or program
10where (1) the insurer does not perform the record keeping
11services or (2) the insurer is not committed by the terms of
12the annuity contract to pay death benefits to the beneficiaries
13of specific plan participants.
14    "Date of death" means the date on which an insured, annuity
15owner, or retained asset account holder died.
16    "Date of death notice" means the date the insurer first has
17notice of the date of death of an insured, annuity owner, or
18retained asset account holder. "Date of death notice" includes,
19but is not limited to, the date the insurer received
20information or gained knowledge of a Death Master File match or
21any other source or record maintained or located in insurer
22records of the death of an insured, annuity owner, or retained
23asset account holder.



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1    "Death Master File" means the United States Social Security
2Administration's Death Master File or any other database or
3service that is at least as comprehensive as the United States
4Social Security Administration's Death Master File for
5determining that a person has reportedly died.
6    "Death Master File match" means a match of the social
7security number or the name and date of birth of an insured,
8annuity owner, or retained asset account holder resulting from
9a search of the Death Master File.
10    "Department" means the Department of Insurance.
11    "Lost policy finder" means a service made available by the
12Department on its website or otherwise developed by the
13Department to assist consumers with locating unclaimed life
14insurance benefits.
15    "Policy" means any policy or certificate of life insurance
16that provides a death benefit. "Policy" does not include any
17policy or certificate of life insurance that is used to fund a
18pre-need funeral contract or prearrangement, any policy or
19certificate of credit life or accidental death insurance or
20health coverages, including, but not limited to, disability and
21long-term care arising from the reported death of a person
22insured under the coverage, or any policy issued to a group
23master policyholder for which the insurer does not provide
24record keeping services.
25    "Record keeping services" means services provided under
26circumstances in which the insurer has agreed with a group



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1policy or annuity contract customer to be responsible for
2obtaining, maintaining, and administering its own or its
3agents' systems information about each individual insured
4under an insured's group insurance contract, or a line of
5coverage thereunder, including, but not limited to, the
6following: (1) social security number or name and date of
7birth, (2) beneficiary designation information, (3) coverage
8eligibility, (4) benefit amount, and (5) premium payment
10    "Retained asset account" means any mechanism whereby the
11settlement of proceeds payable under a policy or annuity
12contract is accomplished by the insurer or an entity acting on
13behalf of the insurer depositing the proceeds into an account
14with check or draft writing privileges, where those proceeds
15are retained by the insurer or its agent pursuant to a
16supplementary contract not involving annuity benefits other
17than death benefits.
18(Source: P.A. 99-893, eff. 1-1-17.)
19    Section 99. Effective date. This Act takes effect upon
20becoming law.