Public Act 094-0677
 
SB0475 Enrolled LRB094 07024 LJB 37163 b

    AN ACT concerning insurance.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
ARTICLE 1. FINDINGS

 
    Section 101. Findings. The General Assembly finds as
follows:
        (1) The increasing cost of medical liability insurance
    results in increased financial burdens on physicians and
    hospitals.
        (2) The increasing cost of medical liability insurance
    in Illinois is believed to have contributed to the
    reduction of the availability of medical care in portions
    of the State and is believed to have discouraged some
    medical students from choosing Illinois as the place they
    will receive their medical education and practice
    medicine.
        (3) The public would benefit from making the services
    of hospitals and physicians more available.
        (4) This health care crisis, which endangers the public
    health, safety, and welfare of the citizens of Illinois,
    requires significant reforms to the civil justice system
    currently endangering health care for citizens of
    Illinois. Limiting non-economic damages is one of these
    significant reforms designed to benefit the people of the
    State of Illinois. An increasing number of citizens or
    municipalities are enacting ordinances that limit damages
    and help maintain the health care delivery system in
    Illinois and protect the health, safety, and welfare of the
    people of Illinois.
        (5) In order to preserve the public health, safety, and
    welfare of the people of Illinois, the current medical
    malpractice situation requires reforms that enhance the
    State's oversight of physicians and ability to discipline
    physicians, that increase the State's oversight of medical
    liability insurance carriers, that reduce the number of
    nonmeritorious healing art malpractice actions, that limit
    non-economic damages in healing art malpractice actions,
    that encourage physicians to provide voluntary services at
    free medical clinics, that encourage physicians and
    hospitals to continue providing health care services in
    Illinois, and that encourage physicians to practice in
    medical care shortage areas.
 
ARTICLE 3. AMENDATORY PROVISIONS

 
    Section 310. The Illinois Insurance Code is amended by
changing Sections 155.18, 155.19, and 1204 and by adding
Section 155.18a as follows:
 
    (215 ILCS 5/155.18)  (from Ch. 73, par. 767.18)
    Sec. 155.18. (a) This Section shall apply to insurance on
risks based upon negligence by a physician, hospital or other
health care provider, referred to herein as medical liability
insurance. This Section shall not apply to contracts of
reinsurance, nor to any farm, county, district or township
mutual insurance company transacting business under an Act
entitled "An Act relating to local mutual district, county and
township insurance companies", approved March 13, 1936, as now
or hereafter amended, nor to any such company operating under a
special charter.
    (b) The following standards shall apply to the making and
use of rates pertaining to all classes of medical liability
insurance:
        (1) Rates shall not be excessive or inadequate, as
    herein defined, nor shall they be unfairly discriminatory.
    No rate shall be held to be excessive unless such rate is
    unreasonably high for the insurance provided, and a
    reasonable degree of competition does not exist in the area
    with respect to the classification to which such rate is
    applicable.
        No rate shall be held inadequate unless it is
    unreasonably low for the insurance provided and continued
    use of it would endanger solvency of the company.
        (2) Consideration shall be given, to the extent
    applicable, to past and prospective loss experience within
    and outside this State, to a reasonable margin for
    underwriting profit and contingencies, to past and
    prospective expenses both countrywide and those especially
    applicable to this State, and to all other factors,
    including judgment factors, deemed relevant within and
    outside this State.
        Consideration may also be given in the making and use
    of rates to dividends, savings or unabsorbed premium
    deposits allowed or returned by companies to their
    policyholders, members or subscribers.
        (3) The systems of expense provisions included in the
    rates for use by any company or group of companies may
    differ from those of other companies or groups of companies
    to reflect the operating methods of any such company or
    group with respect to any kind of insurance, or with
    respect to any subdivision or combination thereof.
        (4) Risks may be grouped by classifications for the
    establishment of rates and minimum premiums.
    Classification rates may be modified to produce rates for
    individual risks in accordance with rating plans which
    establish standards for measuring variations in hazards or
    expense provisions, or both. Such standards may measure any
    difference among risks that have a probable effect upon
    losses or expenses. Such classifications or modifications
    of classifications of risks may be established based upon
    size, expense, management, individual experience, location
    or dispersion of hazard, or any other reasonable
    considerations and shall apply to all risks under the same
    or substantially the same circumstances or conditions. The
    rate for an established classification should be related
    generally to the anticipated loss and expense factors of
    the class.
    (c) (1) Every company writing medical liability insurance
shall file with the Secretary of Financial and Professional
Regulation Director of Insurance the rates and rating schedules
it uses for medical liability insurance. A rate shall go into
effect upon filing, except as otherwise provided in this
Section.
    (2) If (i) 1% of a company's insureds within a specialty or
25 of the company's insureds (whichever is greater) request a
public hearing, (ii) the Secretary at his or her discretion
decides to convene a public hearing, or (iii) the percentage
increase in a company's rate is greater than 6%, then the
Secretary shall convene a public hearing in accordance with
this paragraph (2). The Secretary shall notify the public of
any application by an insurer for a rate increase to which this
paragraph (2) applies. A public hearing under this paragraph
(2) must be concluded within 90 days after the request,
decision, or increase that gave rise to the hearing. The
Secretary may, by order, adjust a rate or take any other
appropriate action at the conclusion of the hearing.
    (3) A rate (1) This filing shall occur upon a company's
commencement of medical liability insurance business in this
State at least annually and thereafter as often as the rates
are changed or amended.
    (4) (2) For the purposes of this Section, any change in
premium to the company's insureds as a result of a change in
the company's base rates or a change in its increased limits
factors shall constitute a change in rates and shall require a
filing with the Secretary Director.
    (5) (3) It shall be certified in such filing by an officer
of the company and a qualified actuary that the company's rates
are based on sound actuarial principles and are not
inconsistent with the company's experience. The Secretary may
request any additional statistical data and other pertinent
information necessary to determine the manner the company used
to set the filed rates and the reasonableness of those rates.
This data and information shall be made available, on a
company-by-company basis, to the general public.
    (d) If after a public hearing the Secretary Director finds:
        (1) that any rate, rating plan or rating system
    violates the provisions of this Section applicable to it,
    he shall may issue an order to the company which has been
    the subject of the hearing specifying in what respects such
    violation exists and, in that order, may adjust the rate
    stating when, within a reasonable period of time, the
    further use of such rate or rating system by such company
    in contracts of insurance made thereafter shall be
    prohibited;
        (2) that the violation of any of the provisions of this
    Section applicable to it by any company which has been the
    subject of the hearing was wilful or that any company has
    repeatedly violated any provision of this Section, he may
    take either or both of the following actions:
            (A) Suspend suspend or revoke, in whole or in part,
        the certificate of authority of such company with
        respect to the class of insurance which has been the
        subject of the hearing.
            (B) Impose a penalty of up to $1,000 against the
        company for each violation. Each day during which a
        violation occurs constitutes a separate violation.
    The burden is on the company to justify the rate or
proposed rate at the public hearing.
    (e) Every company writing medical liability insurance in
this State shall offer to each of its medical liability
insureds the option to make premium payments in quarterly
installments as prescribed by and filed with the Secretary.
This offer shall be included in the initial offer or in the
first policy renewal occurring after the effective date of this
amendatory Act of the 94th General Assembly, but no earlier
than January 1, 2006.
    (f) Every company writing medical liability insurance is
encouraged, but not required, to offer the opportunity for
participation in a plan offering deductibles to its medical
liability insureds. Any plan to offer deductibles shall be
filed with the Department.
    (g) Every company writing medical liability insurance is
encouraged, but not required, to offer their medical liability
insureds a plan providing premium discounts for participation
in risk management activities. Any such plan shall be reported
to the Department.
    (h) A company writing medical liability insurance in
Illinois must give 180 days' notice before the company
discontinues the writing of medical liability insurance in
Illinois.
(Source: P.A. 79-1434.)
 
    (215 ILCS 5/155.18a new)
    Sec. 155.18a. Professional Liability Insurance Resource
Center. The Secretary of Financial and Professional Regulation
shall establish a Professional Liability Insurance Resource
Center on the Department's Internet website containing the
name, telephone number, and base rates of each licensed company
providing medical liability insurance and the name, address,
and telephone number of each producer who sells medical
liability insurance and the name of each licensed company for
which the producer sells medical liability insurance. Each
company and producer shall submit the information to the
Department on or before September 30 of each year in order to
be listed on the website. Hyperlinks to company websites shall
be included, if available. The publication of the information
on the Department's website shall commence on January 1, 2006.
The Department shall update the information on the Professional
Liability Insurance Resource Center at least annually.
 
    (215 ILCS 5/155.19)  (from Ch. 73, par. 767.19)
    Sec. 155.19. All claims filed after December 31, 1976 with
any insurer and all suits filed after December 31, 1976 in any
court in this State, alleging liability on the part of any
physician, hospital or other health care provider for medically
related injuries, shall be reported to the Secretary of
Financial and Professional Regulation Director of Insurance in
such form and under such terms and conditions as may be
prescribed by the Secretary Director. In addition, and
notwithstanding any other provision of law to the contrary, any
insurer, stop loss insurer, captive insurer, risk retention
group, county risk retention trust, religious or charitable
risk pooling trust, surplus line insurer, or other entity
authorized or permitted by law to provide medical liability
insurance in this State shall report to the Secretary, in such
form and under such terms and conditions as may be prescribed
by the Secretary, all claims filed after December 31, 2005 and
all suits filed after December 31, 2005 in any court in this
State alleging liability on the part of any physician,
hospital, or health care provider for medically related
injuries. Each clerk of the circuit court shall provide to the
Secretary such information as the Secretary may deem necessary
to verify the accuracy and completeness of reports made to the
Secretary under this Section. The Secretary Director shall
maintain complete and accurate records of all such claims and
suits including their nature, amount, disposition (categorized
by verdict, settlement, dismissal, or otherwise and including
disposition of any post-trial motions and types of damages
awarded, if any, including but not limited to economic damages
and non-economic damages) and other information as he may deem
useful or desirable in observing and reporting on health care
provider liability trends in this State. Records received by
the Secretary under this Section shall be available to the
general public; however, the records made available to the
general public shall not include the names or addresses of the
parties to any claims or suits. The Secretary Director shall
release to appropriate disciplinary and licensing agencies any
such data or information which may assist such agencies in
improving the quality of health care or which may be useful to
such agencies for the purpose of professional discipline.
    With due regard for appropriate maintenance of the
confidentiality thereof, the Secretary Director shall may
release, on an annual basis, from time to time to the Governor,
the General Assembly and the general public statistical reports
based on such data and information.
    If the Secretary finds that any entity required to report
information in its possession under this Section has violated
any provision of this Section by filing late, incomplete, or
inaccurate reports, the Secretary may fine the entity up to
$1,000 for each offense. Each day during which a violation
occurs constitutes a separate offense.
    The Secretary Director may promulgate such rules and
regulations as may be necessary to carry out the provisions of
this Section.
(Source: P.A. 79-1434.)
 
    (215 ILCS 5/1204)  (from Ch. 73, par. 1065.904)
    Sec. 1204. (A) The Secretary Director shall promulgate
rules and regulations which shall require each insurer licensed
to write property or casualty insurance in the State and each
syndicate doing business on the Illinois Insurance Exchange to
record and report its loss and expense experience and other
data as may be necessary to assess the relationship of
insurance premiums and related income as compared to insurance
costs and expenses. The Secretary Director may designate one or
more rate service organizations or advisory organizations to
gather and compile such experience and data. The Secretary
Director shall require each insurer licensed to write property
or casualty insurance in this State and each syndicate doing
business on the Illinois Insurance Exchange to submit a report,
on a form furnished by the Secretary Director, showing its
direct writings in this State and companywide.
    (B) Such report required by subsection (A) of this Section
may include, but not be limited to, the following specific
types of insurance written by such insurer:
        (1) Political subdivision liability insurance reported
    separately in the following categories:
            (a) municipalities;
            (b) school districts;
            (c) other political subdivisions;
        (2) Public official liability insurance;
        (3) Dram shop liability insurance;
        (4) Day care center liability insurance;
        (5) Labor, fraternal or religious organizations
    liability insurance;
        (6) Errors and omissions liability insurance;
        (7) Officers and directors liability insurance
    reported separately as follows:
            (a) non-profit entities;
            (b) for-profit entities;
        (8) Products liability insurance;
        (9) Medical malpractice insurance;
        (10) Attorney malpractice insurance;
        (11) Architects and engineers malpractice insurance;
    and
        (12) Motor vehicle insurance reported separately for
    commercial and private passenger vehicles as follows:
            (a) motor vehicle physical damage insurance;
            (b) motor vehicle liability insurance.
    (C) Such report may include, but need not be limited to the
following data, both specific to this State and companywide, in
the aggregate or by type of insurance for the previous year on
a calendar year basis:
        (1) Direct premiums written;
        (2) Direct premiums earned;
        (3) Number of policies;
        (4) Net investment income, using appropriate estimates
    where necessary;
        (5) Losses paid;
        (6) Losses incurred;
        (7) Loss reserves:
            (a) Losses unpaid on reported claims;
            (b) Losses unpaid on incurred but not reported
        claims;
        (8) Number of claims:
            (a) Paid claims;
            (b) Arising claims;
        (9) Loss adjustment expenses:
            (a) Allocated loss adjustment expenses;
            (b) Unallocated loss adjustment expenses;
        (10) Net underwriting gain or loss;
        (11) Net operation gain or loss, including net
    investment income;
        (12) Any other information requested by the Secretary
    Director.
    (C-5) Additional information required from medical
malpractice insurers.
        (1) In addition to the other requirements of this
    Section, the following information shall be included in the
    report required by subsection (A) of this Section in such
    form and under such terms and conditions as may be
    prescribed by the Secretary:
            (a) paid and incurred losses by county for each of
        the past 10 policy years;
            (b) earned exposures by ISO code, policy type, and
        policy year by county for each of the past 10 years;
        and
            (c) the following actuarial information:
                (i) Base class and territory equivalent
            exposures by report year by relative accident
            year.
                (ii) Cumulative loss array by accident year by
            calendar year of development. This array will show
            frequency of claims in the following categories:
            open, closed with indemnity (CWI), closed with
            expense (CWE), and closed no pay (CNP); paid
            severity in the following categories: indemnity
            and allocated loss adjustment expenses (ALAE) on
            closed claims; and indemnity and expense reserves
            on pending claims.
                (iii) Cumulative loss array by report year by
            calendar year of development. This array will show
            frequency of claims in the following categories:
            open, closed with indemnity (CWI), closed with
            expense (CWE), and closed no pay (CNP); paid
            severity in the following categories: indemnity
            and allocated loss adjustment expenses (ALAE) on
            closed claims; and indemnity and expense reserves
            on pending claims.
                (iv) Maturity year and tail factors.
                (v) Any expense, contingency ddr (death,
            disability, and retirement), commission, tax,
            and/or off-balance factors.
        (2) The following information must also be annually
    provided to the Department:
            (a) copies of the company's reserve and surplus
        studies; and
            (b) consulting actuarial report and data
        supporting the company's rate filing.
        (3) All information collected by the Secretary under
    paragraphs (1) and (2) shall be made available, on a
    company-by-company basis, to the General Assembly and the
    general public. This provision shall supersede any other
    provision of State law that may otherwise protect such
    information from public disclosure as confidential.
    (D) In addition to the information which may be requested
under subsection (C), the Secretary Director may also request
on a companywide, aggregate basis, Federal Income Tax
recoverable, net realized capital gain or loss, net unrealized
capital gain or loss, and all other expenses not requested in
subsection (C) above.
    (E) Violations - Suspensions - Revocations.
        (1) Any company or person subject to this Article, who
    willfully or repeatedly fails to observe or who otherwise
    violates any of the provisions of this Article or any rule
    or regulation promulgated by the Secretary Director under
    authority of this Article or any final order of the
    Secretary Director entered under the authority of this
    Article shall by civil penalty forfeit to the State of
    Illinois a sum not to exceed $2,000. Each day during which
    a violation occurs constitutes a separate offense.
        (2) No forfeiture liability under paragraph (1) of this
    subsection may attach unless a written notice of apparent
    liability has been issued by the Secretary Director and
    received by the respondent, or the Secretary Director sends
    written notice of apparent liability by registered or
    certified mail, return receipt requested, to the last known
    address of the respondent. Any respondent so notified must
    be granted an opportunity to request a hearing within 10
    days from receipt of notice, or to show in writing, why he
    should not be held liable. A notice issued under this
    Section must set forth the date, facts and nature of the
    act or omission with which the respondent is charged and
    must specifically identify the particular provision of
    this Article, rule, regulation or order of which a
    violation is charged.
        (3) No forfeiture liability under paragraph (1) of this
    subsection may attach for any violation occurring more than
    2 years prior to the date of issuance of the notice of
    apparent liability and in no event may the total civil
    penalty forfeiture imposed for the acts or omissions set
    forth in any one notice of apparent liability exceed
    $100,000.
        (4) All administrative hearings conducted pursuant to
    this Article are subject to 50 Ill. Adm. Code 2402 and all
    administrative hearings are subject to the Administrative
    Review Law.
        (5) The civil penalty forfeitures provided for in this
    Section are payable to the General Revenue Fund of the
    State of Illinois, and may be recovered in a civil suit in
    the name of the State of Illinois brought in the Circuit
    Court in Sangamon County or in the Circuit Court of the
    county where the respondent is domiciled or has its
    principal operating office.
        (6) In any case where the Secretary Director issues a
    notice of apparent liability looking toward the imposition
    of a civil penalty forfeiture under this Section that fact
    may not be used in any other proceeding before the
    Secretary Director to the prejudice of the respondent to
    whom the notice was issued, unless (a) the civil penalty
    forfeiture has been paid, or (b) a court has ordered
    payment of the civil penalty forfeiture and that order has
    become final.
        (7) When any person or company has a license or
    certificate of authority under this Code and knowingly
    fails or refuses to comply with a lawful order of the
    Secretary Director requiring compliance with this Article,
    entered after notice and hearing, within the period of time
    specified in the order, the Secretary Director may, in
    addition to any other penalty or authority provided, revoke
    or refuse to renew the license or certificate of authority
    of such person or company, or may suspend the license or
    certificate of authority of such person or company until
    compliance with such order has been obtained.
        (8) When any person or company has a license or
    certificate of authority under this Code and knowingly
    fails or refuses to comply with any provisions of this
    Article, the Secretary Director may, after notice and
    hearing, in addition to any other penalty provided, revoke
    or refuse to renew the license or certificate of authority
    of such person or company, or may suspend the license or
    certificate of authority of such person or company, until
    compliance with such provision of this Article has been
    obtained.
        (9) No suspension or revocation under this Section may
    become effective until 5 days from the date that the notice
    of suspension or revocation has been personally delivered
    or delivered by registered or certified mail to the company
    or person. A suspension or revocation under this Section is
    stayed upon the filing, by the company or person, of a
    petition for judicial review under the Administrative
    Review Law.
(Source: P.A. 93-32, eff. 7-1-03.)
 
    Section 315. The Medical Practice Act of 1987 is amended by
changing Sections 7, 22, 23, 24, and 36 and adding Section 24.1
as follows:
 
    (225 ILCS 60/7)  (from Ch. 111, par. 4400-7)
    (Section scheduled to be repealed on January 1, 2007)
    Sec. 7. Medical Disciplinary Board.
    (A) There is hereby created the Illinois State Medical
Disciplinary Board (hereinafter referred to as the
"Disciplinary Board"). The Disciplinary Board shall consist of
11 9 members, to be appointed by the Governor by and with the
advice and consent of the Senate. All members shall be
residents of the State, not more than 6 5 of whom shall be
members of the same political party. All members shall be
voting members. Five members shall be physicians licensed to
practice medicine in all of its branches in Illinois possessing
the degree of doctor of medicine, and it shall be the goal that
at least one of the members practice in the field of
neurosurgery, one of the members practice in the field of
obstetrics and gynecology, and one of the members practice in
the field of cardiology. One member shall be a physician
licensed to practice in Illinois possessing the degree of
doctor of osteopathy or osteopathic medicine. One member shall
be a physician licensed to practice in Illinois and possessing
the degree of doctor of chiropractic. Four members Two shall be
members of the public, who shall not be engaged in any way,
directly or indirectly, as providers of health care. The 2
public members shall act as voting members. One member shall be
a physician licensed to practice in Illinois possessing the
degree of doctor of osteopathy or osteopathic medicine. One
member shall be a physician licensed to practice in Illinois
and possessing the degree of doctor of chiropractic.
    (B) Members of the Disciplinary Board shall be appointed
for terms of 4 years. Upon the expiration of the term of any
member, their successor shall be appointed for a term of 4
years by the Governor by and with the advice and consent of the
Senate. The Governor shall fill any vacancy for the remainder
of the unexpired term by and with the advice and consent of the
Senate. Upon recommendation of the Board, any member of the
Disciplinary Board may be removed by the Governor for
misfeasance, malfeasance, or wilful neglect of duty, after
notice, and a public hearing, unless such notice and hearing
shall be expressly waived in writing. Each member shall serve
on the Disciplinary Board until their successor is appointed
and qualified. No member of the Disciplinary Board shall serve
more than 2 consecutive 4 year terms.
    In making appointments the Governor shall attempt to insure
that the various social and geographic regions of the State of
Illinois are properly represented.
    In making the designation of persons to act for the several
professions represented on the Disciplinary Board, the
Governor shall give due consideration to recommendations by
members of the respective professions and by organizations
therein.
    (C) The Disciplinary Board shall annually elect one of its
voting members as chairperson and one as vice chairperson. No
officer shall be elected more than twice in succession to the
same office. Each officer shall serve until their successor has
been elected and qualified.
    (D) (Blank).
    (E) Six Four voting members of the Disciplinary Board, at
least 4 of whom are physicians, shall constitute a quorum. A
vacancy in the membership of the Disciplinary Board shall not
impair the right of a quorum to exercise all the rights and
perform all the duties of the Disciplinary Board. Any action
taken by the Disciplinary Board under this Act may be
authorized by resolution at any regular or special meeting and
each such resolution shall take effect immediately. The
Disciplinary Board shall meet at least quarterly. The
Disciplinary Board is empowered to adopt all rules and
regulations necessary and incident to the powers granted to it
under this Act.
    (F) Each member, and member-officer, of the Disciplinary
Board shall receive a per diem stipend as the Secretary
Director of the Department, hereinafter referred to as the
Secretary Director, shall determine. The Secretary Director
shall also determine the per diem stipend that each ex-officio
member shall receive. Each member shall be paid their necessary
expenses while engaged in the performance of their duties.
    (G) The Secretary Director shall select a Chief Medical
Coordinator and not less than 2 a Deputy Medical Coordinators
Coordinator who shall not be members of the Disciplinary Board.
Each medical coordinator shall be a physician licensed to
practice medicine in all of its branches, and the Secretary
Director shall set their rates of compensation. The Secretary
Director shall assign at least one medical coordinator to a
region composed of Cook County and such other counties as the
Secretary Director may deem appropriate, and such medical
coordinator or coordinators shall locate their office in
Chicago. The Secretary Director shall assign at least one the
remaining medical coordinator to a region composed of the
balance of counties in the State, and such medical coordinator
or coordinators shall locate their office in Springfield. Each
medical coordinator shall be the chief enforcement officer of
this Act in his or her their assigned region and shall serve at
the will of the Disciplinary Board.
    The Secretary Director shall employ, in conformity with the
Personnel Code, not less than one full time investigator for
every 2,500 5000 physicians licensed in the State. Each
investigator shall be a college graduate with at least 2 years'
investigative experience or one year advanced medical
education. Upon the written request of the Disciplinary Board,
the Secretary Director shall employ, in conformity with the
Personnel Code, such other professional, technical,
investigative, and clerical help, either on a full or part-time
basis as the Disciplinary Board deems necessary for the proper
performance of its duties.
    (H) Upon the specific request of the Disciplinary Board,
signed by either the chairman, vice chairman, or a medical
coordinator of the Disciplinary Board, the Department of Human
Services or the Department of State Police shall make available
any and all information that they have in their possession
regarding a particular case then under investigation by the
Disciplinary Board.
    (I) Members of the Disciplinary Board shall be immune from
suit in any action based upon any disciplinary proceedings or
other acts performed in good faith as members of the
Disciplinary Board.
    (J) The Disciplinary Board may compile and establish a
statewide roster of physicians and other medical
professionals, including the several medical specialties, of
such physicians and medical professionals, who have agreed to
serve from time to time as advisors to the medical
coordinators. Such advisors shall assist the medical
coordinators or the Disciplinary Board in their investigations
and participation in complaints against physicians. Such
advisors shall serve under contract and shall be reimbursed at
a reasonable rate for the services provided, plus reasonable
expenses incurred. While serving in this capacity, the advisor,
for any act undertaken in good faith and in the conduct of
their duties under this Section, shall be immune from civil
suit.
(Source: P.A. 93-138, eff. 7-10-03.)
 
    (225 ILCS 60/22)  (from Ch. 111, par. 4400-22)
    (Section scheduled to be repealed on January 1, 2007)
    Sec. 22. Disciplinary action.
    (A) The Department may revoke, suspend, place on
probationary status, refuse to renew, or take any other
disciplinary action as the Department may deem proper with
regard to the license or visiting professor permit of any
person issued under this Act to practice medicine, or to treat
human ailments without the use of drugs and without operative
surgery upon any of the following grounds:
        (1) Performance of an elective abortion in any place,
    locale, facility, or institution other than:
            (a) a facility licensed pursuant to the Ambulatory
        Surgical Treatment Center Act;
            (b) an institution licensed under the Hospital
        Licensing Act; or
            (c) an ambulatory surgical treatment center or
        hospitalization or care facility maintained by the
        State or any agency thereof, where such department or
        agency has authority under law to establish and enforce
        standards for the ambulatory surgical treatment
        centers, hospitalization, or care facilities under its
        management and control; or
            (d) ambulatory surgical treatment centers,
        hospitalization or care facilities maintained by the
        Federal Government; or
            (e) ambulatory surgical treatment centers,
        hospitalization or care facilities maintained by any
        university or college established under the laws of
        this State and supported principally by public funds
        raised by taxation.
        (2) Performance of an abortion procedure in a wilful
    and wanton manner on a woman who was not pregnant at the
    time the abortion procedure was performed.
        (3) The conviction of a felony in this or any other
    jurisdiction, except as otherwise provided in subsection B
    of this Section, whether or not related to practice under
    this Act, or the entry of a guilty or nolo contendere plea
    to a felony charge.
        (4) Gross negligence in practice under this Act.
        (5) Engaging in dishonorable, unethical or
    unprofessional conduct of a character likely to deceive,
    defraud or harm the public.
        (6) Obtaining any fee by fraud, deceit, or
    misrepresentation.
        (7) Habitual or excessive use or abuse of drugs defined
    in law as controlled substances, of alcohol, or of any
    other substances which results in the inability to practice
    with reasonable judgment, skill or safety.
        (8) Practicing under a false or, except as provided by
    law, an assumed name.
        (9) Fraud or misrepresentation in applying for, or
    procuring, a license under this Act or in connection with
    applying for renewal of a license under this Act.
        (10) Making a false or misleading statement regarding
    their skill or the efficacy or value of the medicine,
    treatment, or remedy prescribed by them at their direction
    in the treatment of any disease or other condition of the
    body or mind.
        (11) Allowing another person or organization to use
    their license, procured under this Act, to practice.
        (12) Disciplinary action of another state or
    jurisdiction against a license or other authorization to
    practice as a medical doctor, doctor of osteopathy, doctor
    of osteopathic medicine or doctor of chiropractic, a
    certified copy of the record of the action taken by the
    other state or jurisdiction being prima facie evidence
    thereof.
        (13) Violation of any provision of this Act or of the
    Medical Practice Act prior to the repeal of that Act, or
    violation of the rules, or a final administrative action of
    the Secretary Director, after consideration of the
    recommendation of the Disciplinary Board.
        (14) Dividing with anyone other than physicians with
    whom the licensee practices in a partnership, Professional
    Association, limited liability company, or Medical or
    Professional Corporation any fee, commission, rebate or
    other form of compensation for any professional services
    not actually and personally rendered. Nothing contained in
    this subsection prohibits persons holding valid and
    current licenses under this Act from practicing medicine in
    partnership under a partnership agreement, including a
    limited liability partnership, in a limited liability
    company under the Limited Liability Company Act, in a
    corporation authorized by the Medical Corporation Act, as
    an association authorized by the Professional Association
    Act, or in a corporation under the Professional Corporation
    Act or from pooling, sharing, dividing or apportioning the
    fees and monies received by them or by the partnership,
    corporation or association in accordance with the
    partnership agreement or the policies of the Board of
    Directors of the corporation or association. Nothing
    contained in this subsection prohibits 2 or more
    corporations authorized by the Medical Corporation Act,
    from forming a partnership or joint venture of such
    corporations, and providing medical, surgical and
    scientific research and knowledge by employees of these
    corporations if such employees are licensed under this Act,
    or from pooling, sharing, dividing, or apportioning the
    fees and monies received by the partnership or joint
    venture in accordance with the partnership or joint venture
    agreement. Nothing contained in this subsection shall
    abrogate the right of 2 or more persons, holding valid and
    current licenses under this Act, to each receive adequate
    compensation for concurrently rendering professional
    services to a patient and divide a fee; provided, the
    patient has full knowledge of the division, and, provided,
    that the division is made in proportion to the services
    performed and responsibility assumed by each.
        (15) A finding by the Medical Disciplinary Board that
    the registrant after having his or her license placed on
    probationary status or subjected to conditions or
    restrictions violated the terms of the probation or failed
    to comply with such terms or conditions.
        (16) Abandonment of a patient.
        (17) Prescribing, selling, administering,
    distributing, giving or self-administering any drug
    classified as a controlled substance (designated product)
    or narcotic for other than medically accepted therapeutic
    purposes.
        (18) Promotion of the sale of drugs, devices,
    appliances or goods provided for a patient in such manner
    as to exploit the patient for financial gain of the
    physician.
        (19) Offering, undertaking or agreeing to cure or treat
    disease by a secret method, procedure, treatment or
    medicine, or the treating, operating or prescribing for any
    human condition by a method, means or procedure which the
    licensee refuses to divulge upon demand of the Department.
        (20) Immoral conduct in the commission of any act
    including, but not limited to, commission of an act of
    sexual misconduct related to the licensee's practice.
        (21) Wilfully making or filing false records or reports
    in his or her practice as a physician, including, but not
    limited to, false records to support claims against the
    medical assistance program of the Department of Public Aid
    under the Illinois Public Aid Code.
        (22) Wilful omission to file or record, or wilfully
    impeding the filing or recording, or inducing another
    person to omit to file or record, medical reports as
    required by law, or wilfully failing to report an instance
    of suspected abuse or neglect as required by law.
        (23) Being named as a perpetrator in an indicated
    report by the Department of Children and Family Services
    under the Abused and Neglected Child Reporting Act, and
    upon proof by clear and convincing evidence that the
    licensee has caused a child to be an abused child or
    neglected child as defined in the Abused and Neglected
    Child Reporting Act.
        (24) Solicitation of professional patronage by any
    corporation, agents or persons, or profiting from those
    representing themselves to be agents of the licensee.
        (25) Gross and wilful and continued overcharging for
    professional services, including filing false statements
    for collection of fees for which services are not rendered,
    including, but not limited to, filing such false statements
    for collection of monies for services not rendered from the
    medical assistance program of the Department of Public Aid
    under the Illinois Public Aid Code.
        (26) A pattern of practice or other behavior which
    demonstrates incapacity or incompetence to practice under
    this Act.
        (27) Mental illness or disability which results in the
    inability to practice under this Act with reasonable
    judgment, skill or safety.
        (28) Physical illness, including, but not limited to,
    deterioration through the aging process, or loss of motor
    skill which results in a physician's inability to practice
    under this Act with reasonable judgment, skill or safety.
        (29) Cheating on or attempt to subvert the licensing
    examinations administered under this Act.
        (30) Wilfully or negligently violating the
    confidentiality between physician and patient except as
    required by law.
        (31) The use of any false, fraudulent, or deceptive
    statement in any document connected with practice under
    this Act.
        (32) Aiding and abetting an individual not licensed
    under this Act in the practice of a profession licensed
    under this Act.
        (33) Violating state or federal laws or regulations
    relating to controlled substances, legend drugs, or
    ephedra, as defined in the Ephedra Prohibition Act.
        (34) Failure to report to the Department any adverse
    final action taken against them by another licensing
    jurisdiction (any other state or any territory of the
    United States or any foreign state or country), by any peer
    review body, by any health care institution, by any
    professional society or association related to practice
    under this Act, by any governmental agency, by any law
    enforcement agency, or by any court for acts or conduct
    similar to acts or conduct which would constitute grounds
    for action as defined in this Section.
        (35) Failure to report to the Department surrender of a
    license or authorization to practice as a medical doctor, a
    doctor of osteopathy, a doctor of osteopathic medicine, or
    doctor of chiropractic in another state or jurisdiction, or
    surrender of membership on any medical staff or in any
    medical or professional association or society, while
    under disciplinary investigation by any of those
    authorities or bodies, for acts or conduct similar to acts
    or conduct which would constitute grounds for action as
    defined in this Section.
        (36) Failure to report to the Department any adverse
    judgment, settlement, or award arising from a liability
    claim related to acts or conduct similar to acts or conduct
    which would constitute grounds for action as defined in
    this Section.
        (37) Failure to transfer copies of medical records as
    required by law.
        (38) Failure to furnish the Department, its
    investigators or representatives, relevant information,
    legally requested by the Department after consultation
    with the Chief Medical Coordinator or the Deputy Medical
    Coordinator.
        (39) Violating the Health Care Worker Self-Referral
    Act.
        (40) Willful failure to provide notice when notice is
    required under the Parental Notice of Abortion Act of 1995.
        (41) Failure to establish and maintain records of
    patient care and treatment as required by this law.
        (42) Entering into an excessive number of written
    collaborative agreements with licensed advanced practice
    nurses resulting in an inability to adequately collaborate
    and provide medical direction.
        (43) Repeated failure to adequately collaborate with
    or provide medical direction to a licensed advanced
    practice nurse.
    Except for actions involving the ground numbered (26), all
All proceedings to suspend, revoke, place on probationary
status, or take any other disciplinary action as the Department
may deem proper, with regard to a license on any of the
foregoing grounds, must be commenced within 5 3 years next
after receipt by the Department of a complaint alleging the
commission of or notice of the conviction order for any of the
acts described herein. Except for the grounds numbered (8),
(9), (26), and (29), no action shall be commenced more than 10
5 years after the date of the incident or act alleged to have
violated this Section. For actions involving the ground
numbered (26), a pattern of practice or other behavior includes
all incidents alleged to be part of the pattern of practice or
other behavior that occurred or a report pursuant to Section 23
of this Act received within the 10-year period preceding the
filing of the complaint. In the event of the settlement of any
claim or cause of action in favor of the claimant or the
reduction to final judgment of any civil action in favor of the
plaintiff, such claim, cause of action or civil action being
grounded on the allegation that a person licensed under this
Act was negligent in providing care, the Department shall have
an additional period of 2 years one year from the date of
notification to the Department under Section 23 of this Act of
such settlement or final judgment in which to investigate and
commence formal disciplinary proceedings under Section 36 of
this Act, except as otherwise provided by law. The time during
which the holder of the license was outside the State of
Illinois shall not be included within any period of time
limiting the commencement of disciplinary action by the
Department.
    The entry of an order or judgment by any circuit court
establishing that any person holding a license under this Act
is a person in need of mental treatment operates as a
suspension of that license. That person may resume their
practice only upon the entry of a Departmental order based upon
a finding by the Medical Disciplinary Board that they have been
determined to be recovered from mental illness by the court and
upon the Disciplinary Board's recommendation that they be
permitted to resume their practice.
    The Department may refuse to issue or take disciplinary
action concerning the license of any person who fails to file a
return, or to pay the tax, penalty or interest shown in a filed
return, or to pay any final assessment of tax, penalty or
interest, as required by any tax Act administered by the
Illinois Department of Revenue, until such time as the
requirements of any such tax Act are satisfied as determined by
the Illinois Department of Revenue.
    The Department, upon the recommendation of the
Disciplinary Board, shall adopt rules which set forth standards
to be used in determining:
        (a) when a person will be deemed sufficiently
    rehabilitated to warrant the public trust;
        (b) what constitutes dishonorable, unethical or
    unprofessional conduct of a character likely to deceive,
    defraud, or harm the public;
        (c) what constitutes immoral conduct in the commission
    of any act, including, but not limited to, commission of an
    act of sexual misconduct related to the licensee's
    practice; and
        (d) what constitutes gross negligence in the practice
    of medicine.
    However, no such rule shall be admissible into evidence in
any civil action except for review of a licensing or other
disciplinary action under this Act.
    In enforcing this Section, the Medical Disciplinary Board,
upon a showing of a possible violation, may compel any
individual licensed to practice under this Act, or who has
applied for licensure or a permit pursuant to this Act, to
submit to a mental or physical examination, or both, as
required by and at the expense of the Department. The examining
physician or physicians shall be those specifically designated
by the Disciplinary Board. The Medical Disciplinary Board or
the Department may order the examining physician to present
testimony concerning this mental or physical examination of the
licensee or applicant. No information shall be excluded by
reason of any common law or statutory privilege relating to
communication between the licensee or applicant and the
examining physician. The individual to be examined may have, at
his or her own expense, another physician of his or her choice
present during all aspects of the examination. Failure of any
individual to submit to mental or physical examination, when
directed, shall be grounds for suspension of his or her license
until such time as the individual submits to the examination if
the Disciplinary Board finds, after notice and hearing, that
the refusal to submit to the examination was without reasonable
cause. If the Disciplinary Board finds a physician unable to
practice because of the reasons set forth in this Section, the
Disciplinary Board shall require such physician to submit to
care, counseling, or treatment by physicians approved or
designated by the Disciplinary Board, as a condition for
continued, reinstated, or renewed licensure to practice. Any
physician, whose license was granted pursuant to Sections 9,
17, or 19 of this Act, or, continued, reinstated, renewed,
disciplined or supervised, subject to such terms, conditions or
restrictions who shall fail to comply with such terms,
conditions or restrictions, or to complete a required program
of care, counseling, or treatment, as determined by the Chief
Medical Coordinator or Deputy Medical Coordinators, shall be
referred to the Secretary Director for a determination as to
whether the licensee shall have their license suspended
immediately, pending a hearing by the Disciplinary Board. In
instances in which the Secretary Director immediately suspends
a license under this Section, a hearing upon such person's
license must be convened by the Disciplinary Board within 15
days after such suspension and completed without appreciable
delay. The Disciplinary Board shall have the authority to
review the subject physician's record of treatment and
counseling regarding the impairment, to the extent permitted by
applicable federal statutes and regulations safeguarding the
confidentiality of medical records.
    An individual licensed under this Act, affected under this
Section, shall be afforded an opportunity to demonstrate to the
Disciplinary Board that they can resume practice in compliance
with acceptable and prevailing standards under the provisions
of their license.
    The Department may promulgate rules for the imposition of
fines in disciplinary cases, not to exceed $10,000 $5,000 for
each violation of this Act. Fines may be imposed in conjunction
with other forms of disciplinary action, but shall not be the
exclusive disposition of any disciplinary action arising out of
conduct resulting in death or injury to a patient. Any funds
collected from such fines shall be deposited in the Medical
Disciplinary Fund.
    (B) The Department shall revoke the license or visiting
permit of any person issued under this Act to practice medicine
or to treat human ailments without the use of drugs and without
operative surgery, who has been convicted a second time of
committing any felony under the Illinois Controlled Substances
Act, or who has been convicted a second time of committing a
Class 1 felony under Sections 8A-3 and 8A-6 of the Illinois
Public Aid Code. A person whose license or visiting permit is
revoked under this subsection B of Section 22 of this Act shall
be prohibited from practicing medicine or treating human
ailments without the use of drugs and without operative
surgery.
    (C) The Medical Disciplinary Board shall recommend to the
Department civil penalties and any other appropriate
discipline in disciplinary cases when the Board finds that a
physician willfully performed an abortion with actual
knowledge that the person upon whom the abortion has been
performed is a minor or an incompetent person without notice as
required under the Parental Notice of Abortion Act of 1995.
Upon the Board's recommendation, the Department shall impose,
for the first violation, a civil penalty of $1,000 and for a
second or subsequent violation, a civil penalty of $5,000.
(Source: P.A. 89-18, eff. 6-1-95; 89-201, eff. 1-1-96; 89-626,
eff. 8-9-96; 89-702, eff. 7-1-97; 90-742, eff. 8-13-98.)
 
    (225 ILCS 60/23)  (from Ch. 111, par. 4400-23)
    (Section scheduled to be repealed on January 1, 2007)
    Sec. 23. Reports relating to professional conduct and
capacity.
    (A) Entities required to report.
        (1) Health care institutions. The chief administrator
    or executive officer of any health care institution
    licensed by the Illinois Department of Public Health shall
    report to the Disciplinary Board when any person's clinical
    privileges are terminated or are restricted based on a
    final determination, in accordance with that institution's
    by-laws or rules and regulations, that a person has either
    committed an act or acts which may directly threaten
    patient care, and not of an administrative nature, or that
    a person may be mentally or physically disabled in such a
    manner as to endanger patients under that person's care.
    Such officer also shall report if a person accepts
    voluntary termination or restriction of clinical
    privileges in lieu of formal action based upon conduct
    related directly to patient care and not of an
    administrative nature, or in lieu of formal action seeking
    to determine whether a person may be mentally or physically
    disabled in such a manner as to endanger patients under
    that person's care. The Medical Disciplinary Board shall,
    by rule, provide for the reporting to it of all instances
    in which a person, licensed under this Act, who is impaired
    by reason of age, drug or alcohol abuse or physical or
    mental impairment, is under supervision and, where
    appropriate, is in a program of rehabilitation. Such
    reports shall be strictly confidential and may be reviewed
    and considered only by the members of the Disciplinary
    Board, or by authorized staff as provided by rules of the
    Disciplinary Board. Provisions shall be made for the
    periodic report of the status of any such person not less
    than twice annually in order that the Disciplinary Board
    shall have current information upon which to determine the
    status of any such person. Such initial and periodic
    reports of impaired physicians shall not be considered
    records within the meaning of The State Records Act and
    shall be disposed of, following a determination by the
    Disciplinary Board that such reports are no longer
    required, in a manner and at such time as the Disciplinary
    Board shall determine by rule. The filing of such reports
    shall be construed as the filing of a report for purposes
    of subsection (C) of this Section.
        (2) Professional associations. The President or chief
    executive officer of any association or society, of persons
    licensed under this Act, operating within this State shall
    report to the Disciplinary Board when the association or
    society renders a final determination that a person has
    committed unprofessional conduct related directly to
    patient care or that a person may be mentally or physically
    disabled in such a manner as to endanger patients under
    that person's care.
        (3) Professional liability insurers. Every insurance
    company which offers policies of professional liability
    insurance to persons licensed under this Act, or any other
    entity which seeks to indemnify the professional liability
    of a person licensed under this Act, shall report to the
    Disciplinary Board the settlement of any claim or cause of
    action, or final judgment rendered in any cause of action,
    which alleged negligence in the furnishing of medical care
    by such licensed person when such settlement or final
    judgment is in favor of the plaintiff.
        (4) State's Attorneys. The State's Attorney of each
    county shall report to the Disciplinary Board all instances
    in which a person licensed under this Act is convicted or
    otherwise found guilty of the commission of any felony. The
    State's Attorney of each county may report to the
    Disciplinary Board through a verified complaint any
    instance in which the State's Attorney believes that a
    physician has willfully violated the notice requirements
    of the Parental Notice of Abortion Act of 1995.
        (5) State agencies. All agencies, boards, commissions,
    departments, or other instrumentalities of the government
    of the State of Illinois shall report to the Disciplinary
    Board any instance arising in connection with the
    operations of such agency, including the administration of
    any law by such agency, in which a person licensed under
    this Act has either committed an act or acts which may be a
    violation of this Act or which may constitute
    unprofessional conduct related directly to patient care or
    which indicates that a person licensed under this Act may
    be mentally or physically disabled in such a manner as to
    endanger patients under that person's care.
    (B) Mandatory reporting. All reports required by items
(34), (35), and (36) of subsection (A) of Section 22 and by
Section 23 shall be submitted to the Disciplinary Board in a
timely fashion. The reports shall be filed in writing within 60
days after a determination that a report is required under this
Act. All reports shall contain the following information:
        (1) The name, address and telephone number of the
    person making the report.
        (2) The name, address and telephone number of the
    person who is the subject of the report.
        (3) The name and date of birth or other means of
    identification of any patient or patients whose treatment
    is a subject of the report, if available, or other means of
    identification if such information is not available,
    identification of the hospital or other healthcare
    facility where the care at issue in the report was
    rendered, provided, however, no medical records may be
    revealed without the written consent of the patient or
    patients.
        (4) A brief description of the facts which gave rise to
    the issuance of the report, including the dates of any
    occurrences deemed to necessitate the filing of the report.
        (5) If court action is involved, the identity of the
    court in which the action is filed, along with the docket
    number and date of filing of the action.
        (6) Any further pertinent information which the
    reporting party deems to be an aid in the evaluation of the
    report.
    The Department shall have the right to inform patients of
the right to provide written consent for the Department to
obtain copies of hospital and medical records. The Disciplinary
Board or Department may also exercise the power under Section
38 of this Act to subpoena copies of hospital or medical
records in mandatory report cases alleging death or permanent
bodily injury when consent to obtain records is not provided by
a patient or legal representative. Appropriate rules shall be
adopted by the Department with the approval of the Disciplinary
Board.
    When the Department has received written reports
concerning incidents required to be reported in items (34),
(35), and (36) of subsection (A) of Section 22, the licensee's
failure to report the incident to the Department under those
items shall not be the sole grounds for disciplinary action.
    Nothing contained in this Section shall act to in any way,
waive or modify the confidentiality of medical reports and
committee reports to the extent provided by law. Any
information reported or disclosed shall be kept for the
confidential use of the Disciplinary Board, the Medical
Coordinators, the Disciplinary Board's attorneys, the medical
investigative staff, and authorized clerical staff, as
provided in this Act, and shall be afforded the same status as
is provided information concerning medical studies in Part 21
of Article VIII of the Code of Civil Procedure, except that the
Department may disclose information and documents to a federal,
State, or local law enforcement agency pursuant to a subpoena
in an ongoing criminal investigation. Furthermore, information
and documents disclosed to a federal, State, or local law
enforcement agency may be used by that agency only for the
investigation and prosecution of a criminal offense.
    (C) Immunity from prosecution. Any individual or
organization acting in good faith, and not in a wilful and
wanton manner, in complying with this Act by providing any
report or other information to the Disciplinary Board or a peer
review committee, or assisting in the investigation or
preparation of such information, or by voluntarily reporting to
the Disciplinary Board or a peer review committee information
regarding alleged errors or negligence by a person licensed
under this Act, or by participating in proceedings of the
Disciplinary Board or a peer review committee, or by serving as
a member of the Disciplinary Board or a peer review committee,
shall not, as a result of such actions, be subject to criminal
prosecution or civil damages.
    (D) Indemnification. Members of the Disciplinary Board,
the Medical Coordinators, the Disciplinary Board's attorneys,
the medical investigative staff, physicians retained under
contract to assist and advise the medical coordinators in the
investigation, and authorized clerical staff shall be
indemnified by the State for any actions occurring within the
scope of services on the Disciplinary Board, done in good faith
and not wilful and wanton in nature. The Attorney General shall
defend all such actions unless he or she determines either that
there would be a conflict of interest in such representation or
that the actions complained of were not in good faith or were
wilful and wanton.
    Should the Attorney General decline representation, the
member shall have the right to employ counsel of his or her
choice, whose fees shall be provided by the State, after
approval by the Attorney General, unless there is a
determination by a court that the member's actions were not in
good faith or were wilful and wanton.
    The member must notify the Attorney General within 7 days
of receipt of notice of the initiation of any action involving
services of the Disciplinary Board. Failure to so notify the
Attorney General shall constitute an absolute waiver of the
right to a defense and indemnification.
    The Attorney General shall determine within 7 days after
receiving such notice, whether he or she will undertake to
represent the member.
    (E) Deliberations of Disciplinary Board. Upon the receipt
of any report called for by this Act, other than those reports
of impaired persons licensed under this Act required pursuant
to the rules of the Disciplinary Board, the Disciplinary Board
shall notify in writing, by certified mail, the person who is
the subject of the report. Such notification shall be made
within 30 days of receipt by the Disciplinary Board of the
report.
    The notification shall include a written notice setting
forth the person's right to examine the report. Included in
such notification shall be the address at which the file is
maintained, the name of the custodian of the reports, and the
telephone number at which the custodian may be reached. The
person who is the subject of the report shall submit a written
statement responding, clarifying, adding to, or proposing the
amending of the report previously filed. The person who is the
subject of the report shall also submit with the written
statement any medical records related to the report. The
statement and accompanying medical records shall become a
permanent part of the file and must be received by the
Disciplinary Board no more than 30 60 days after the date on
which the person was notified by the Disciplinary Board of the
existence of the original report.
    The Disciplinary Board shall review all reports received by
it, together with any supporting information and responding
statements submitted by persons who are the subject of reports.
The review by the Disciplinary Board shall be in a timely
manner but in no event, shall the Disciplinary Board's initial
review of the material contained in each disciplinary file be
less than 61 days nor more than 180 days after the receipt of
the initial report by the Disciplinary Board.
    When the Disciplinary Board makes its initial review of the
materials contained within its disciplinary files, the
Disciplinary Board shall, in writing, make a determination as
to whether there are sufficient facts to warrant further
investigation or action. Failure to make such determination
within the time provided shall be deemed to be a determination
that there are not sufficient facts to warrant further
investigation or action.
    Should the Disciplinary Board find that there are not
sufficient facts to warrant further investigation, or action,
the report shall be accepted for filing and the matter shall be
deemed closed and so reported to the Secretary Director. The
Secretary Director shall then have 30 days to accept the
Medical Disciplinary Board's decision or request further
investigation. The Secretary Director shall inform the Board in
writing of the decision to request further investigation,
including the specific reasons for the decision. The individual
or entity filing the original report or complaint and the
person who is the subject of the report or complaint shall be
notified in writing by the Secretary Director of any final
action on their report or complaint.
    (F) Summary reports. The Disciplinary Board shall prepare,
on a timely basis, but in no event less than one every other
month, a summary report of final actions taken upon
disciplinary files maintained by the Disciplinary Board. The
summary reports shall be sent by the Disciplinary Board to
every health care facility licensed by the Illinois Department
of Public Health, every professional association and society of
persons licensed under this Act functioning on a statewide
basis in this State, the American Medical Association, the
American Osteopathic Association, the American Chiropractic
Association, all insurers providing professional liability
insurance to persons licensed under this Act in the State of
Illinois, the Federation of State Medical Licensing Boards, and
the Illinois Pharmacists Association.
    (G) Any violation of this Section shall be a Class A
misdemeanor.
    (H) If any such person violates the provisions of this
Section an action may be brought in the name of the People of
the State of Illinois, through the Attorney General of the
State of Illinois, for an order enjoining such violation or for
an order enforcing compliance with this Section. Upon filing of
a verified petition in such court, the court may issue a
temporary restraining order without notice or bond and may
preliminarily or permanently enjoin such violation, and if it
is established that such person has violated or is violating
the injunction, the court may punish the offender for contempt
of court. Proceedings under this paragraph shall be in addition
to, and not in lieu of, all other remedies and penalties
provided for by this Section.
(Source: P.A. 89-18, eff. 6-1-95; 89-702, eff. 7-1-97; 90-699,
eff. 1-1-99.)
 
    (225 ILCS 60/24)  (from Ch. 111, par. 4400-24)
    (Section scheduled to be repealed on January 1, 2007)
    Sec. 24. Report of violations; medical associations. Any
physician licensed under this Act, the Illinois State Medical
Society, the Illinois Association of Osteopathic Physicians
and Surgeons, the Illinois Chiropractic Society, the Illinois
Prairie State Chiropractic Association, or any component
societies of any of these 4 groups, and any other person, may
report to the Disciplinary Board any information the physician,
association, society, or person may have that appears to show
that a physician is or may be in violation of any of the
provisions of Section 22 of this Act.
    The Department may enter into agreements with the Illinois
State Medical Society, the Illinois Association of Osteopathic
Physicians and Surgeons, the Illinois Prairie State
Chiropractic Association, or the Illinois Chiropractic Society
to allow these organizations to assist the Disciplinary Board
in the review of alleged violations of this Act. Subject to the
approval of the Department, any organization party to such an
agreement may subcontract with other individuals or
organizations to assist in review.
    Any physician, association, society, or person
participating in good faith in the making of a report, under
this Act or participating in or assisting with an investigation
or review under this Act Section shall have immunity from any
civil, criminal, or other liability that might result by reason
of those actions.
    The medical information in the custody of an entity under
contract with the Department participating in an investigation
or review shall be privileged and confidential to the same
extent as are information and reports under the provisions of
Part 21 of Article VIII of the Code of Civil Procedure.
    Upon request by the Department after a mandatory report has
been filed with the Department, an attorney for any party
seeking to recover damages for injuries or death by reason of
medical, hospital, or other healing art malpractice shall
provide patient records related to the physician involved in
the disciplinary proceeding to the Department within 30 days of
the Department's request for use by the Department in any
disciplinary matter under this Act. An attorney who provides
patient records to the Department in accordance with this
requirement shall not be deemed to have violated any
attorney-client privilege. Notwithstanding any other provision
of law, consent by a patient shall not be required for the
provision of patient records in accordance with this
requirement.
    For the purpose of any civil or criminal proceedings, the
good faith of any physician, association, society or person
shall be presumed. The Disciplinary Board may request the
Illinois State Medical Society, the Illinois Association of
Osteopathic Physicians and Surgeons, the Illinois Prairie
State Chiropractic Association, or the Illinois Chiropractic
Society to assist the Disciplinary Board in preparing for or
conducting any medical competency examination as the Board may
deem appropriate.
(Source: P.A. 88-324.)
 
    (225 ILCS 60/24.1 new)
    Sec. 24.1. Physician profile.
    (a) This Section may be cited as the Patients' Right to
Know Law.
    (b) The Department shall make available to the public a
profile of each physician. The Department shall make this
information available through an Internet web site and, if
requested, in writing. The physician profile shall contain the
following information:
        (1) the full name of the physician;
        (2) a description of any criminal convictions for
    felonies and Class A misdemeanors, as determined by the
    Department, within the most recent 5 years. For the
    purposes of this Section, a person shall be deemed to be
    convicted of a crime if he or she pleaded guilty or if he
    was found or adjudged guilty by a court of competent
    jurisdiction;
        (3) a description of any final Department disciplinary
    actions within the most recent 5 years;
        (4) a description of any final disciplinary actions by
    licensing boards in other states within the most recent 5
    years;
        (5) a description of revocation or involuntary
    restriction of hospital privileges for reasons related to
    competence or character that have been taken by the
    hospital's governing body or any other official of the
    hospital after procedural due process has been afforded, or
    the resignation from or nonrenewal of medical staff
    membership or the restriction of privileges at a hospital
    taken in lieu of or in settlement of a pending disciplinary
    case related to competence or character in that hospital.
    Only cases which have occurred within the most recent 5
    years shall be disclosed by the Department to the public;
        (6) all medical malpractice court judgments and all
    medical malpractice arbitration awards in which a payment
    was awarded to a complaining party during the most recent 5
    years and all settlements of medical malpractice claims in
    which a payment was made to a complaining party within the
    most recent 5 years. A medical malpractice judgment or
    award that has been appealed shall be identified
    prominently as "Under Appeal" on the profile within 20 days
    of formal written notice to the Department. Information
    concerning all settlements shall be accompanied by the
    following statement: "Settlement of a claim may occur for a
    variety of reasons which do not necessarily reflect
    negatively on the professional competence or conduct of the
    physician. A payment in settlement of a medical malpractice
    action or claim should not be construed as creating a
    presumption that medical malpractice has occurred."
    Nothing in this subdivision (6) shall be construed to limit
    or prevent the Disciplinary Board from providing further
    explanatory information regarding the significance of
    categories in which settlements are reported. Pending
    malpractice claims shall not be disclosed by the Department
    to the public. Nothing in this subdivision (6) shall be
    construed to prevent the Disciplinary Board from
    investigating and the Department from disciplining a
    physician on the basis of medical malpractice claims that
    are pending;
        (7) names of medical schools attended, dates of
    attendance, and date of graduation;
        (8) graduate medical education;
        (9) specialty board certification. The toll-free
    number of the American Board of Medical Specialties shall
    be included to verify current board certification status;
        (10) number of years in practice and locations;
        (11) names of the hospitals where the physician has
    privileges;
        (12) appointments to medical school faculties and
    indication as to whether a physician has a responsibility
    for graduate medical education within the most recent 5
    years;
        (13) information regarding publications in
    peer-reviewed medical literature within the most recent 5
    years;
        (14) information regarding professional or community
    service activities and awards;
        (15) the location of the physician's primary practice
    setting;
        (16) identification of any translating services that
    may be available at the physician's primary practice
    location;
        (17) an indication of whether the physician
    participates in the Medicaid program.
    (c) The Disciplinary Board shall provide individual
physicians with a copy of their profiles prior to release to
the public. A physician shall be provided 60 days to correct
factual inaccuracies that appear in such profile.
    (d) A physician may elect to have his or her profile omit
certain information provided pursuant to subdivisions (12)
through (14) of subsection (b) concerning academic
appointments and teaching responsibilities, publication in
peer-reviewed journals and professional and community service
awards. In collecting information for such profiles and in
disseminating the same, the Disciplinary Board shall inform
physicians that they may choose not to provide such information
required pursuant to subdivisions (12) through (14) of
subsection (b).
    (e) The Department shall promulgate such rules as it deems
necessary to accomplish the requirements of this Section.
 
    (225 ILCS 60/36)  (from Ch. 111, par. 4400-36)
    (Section scheduled to be repealed on January 1, 2007)
    Sec. 36. Upon the motion of either the Department or the
Disciplinary Board or upon the verified complaint in writing of
any person setting forth facts which, if proven, would
constitute grounds for suspension or revocation under Section
22 of this Act, the Department shall investigate the actions of
any person, so accused, who holds or represents that they hold
a license. Such person is hereinafter called the accused.
    The Department shall, before suspending, revoking, placing
on probationary status, or taking any other disciplinary action
as the Department may deem proper with regard to any license at
least 30 days prior to the date set for the hearing, notify the
accused in writing of any charges made and the time and place
for a hearing of the charges before the Disciplinary Board,
direct them to file their written answer thereto to the
Disciplinary Board under oath within 20 days after the service
on them of such notice and inform them that if they fail to
file such answer default will be taken against them and their
license may be suspended, revoked, placed on probationary
status, or have other disciplinary action, including limiting
the scope, nature or extent of their practice, as the
Department may deem proper taken with regard thereto.
    Where a physician has been found, upon complaint and
investigation of the Department, and after hearing, to have
performed an abortion procedure in a wilful and wanton manner
upon a woman who was not pregnant at the time such abortion
procedure was performed, the Department shall automatically
revoke the license of such physician to practice medicine in
Illinois.
    Such written notice and any notice in such proceedings
thereafter may be served by delivery of the same, personally,
to the accused person, or by mailing the same by registered or
certified mail to the address last theretofore specified by the
accused in their last notification to the Department.
    All information gathered by the Department during its
investigation including information subpoenaed under Section
23 or 38 of this Act and the investigative file shall be kept
for the confidential use of the Secretary Director,
Disciplinary Board, the Medical Coordinators, persons employed
by contract to advise the Medical Coordinator or the
Department, the Disciplinary Board's attorneys, the medical
investigative staff, and authorized clerical staff, as
provided in this Act and shall be afforded the same status as
is provided information concerning medical studies in Part 21
of Article VIII of the Code of Civil Procedure, except that the
Department may disclose information and documents to a federal,
State, or local law enforcement agency pursuant to a subpoena
in an ongoing criminal investigation. Furthermore, information
and documents disclosed to a federal, State, or local law
enforcement agency may be used by that agency only for the
investigation and prosecution of a criminal offense.
(Source: P.A. 90-699, eff. 1-1-99.)
 
    Section 320. The Clerks of Courts Act is amended by adding
Section 27.10 as follows:
 
    (705 ILCS 105/27.10 new)
    Sec. 27.10. Secretary of Financial and Professional
Regulation. Each clerk of the circuit court shall provide to
the Secretary of Financial and Professional Regulation such
information as the Secretary of Financial and Professional
Regulation requests under Section 155.19 of the Illinois
Insurance Code.
 
    Section 330. The Code of Civil Procedure is amended by
reenacting and changing Sections 2-622 and 8-2501, by changing
Section 8-1901, and by adding Sections 2-1704.5 and 2-1706.5 as
follows:
 
    (735 ILCS 5/2-622)  (from Ch. 110, par. 2-622)
    (Text of Section WITHOUT the changes made by P.A. 89-7,
which has been held unconstitutional)
    Sec. 2-622. Healing art malpractice.
    (a) In any action, whether in tort, contract or otherwise,
in which the plaintiff seeks damages for injuries or death by
reason of medical, hospital, or other healing art malpractice,
the plaintiff's attorney or the plaintiff, if the plaintiff is
proceeding pro se, shall file an affidavit, attached to the
original and all copies of the complaint, declaring one of the
following:
        1. That the affiant has consulted and reviewed the
    facts of the case with a health professional who the
    affiant reasonably believes: (i) is knowledgeable in the
    relevant issues involved in the particular action; (ii)
    practices or has practiced within the last 5 6 years or
    teaches or has taught within the last 5 6 years in the same
    area of health care or medicine that is at issue in the
    particular action; and (iii) meets the expert witness
    standards set forth in paragraphs (a) through (d) of
    Section 8-2501; is qualified by experience or demonstrated
    competence in the subject of the case; that the reviewing
    health professional has determined in a written report,
    after a review of the medical record and other relevant
    material involved in the particular action that there is a
    reasonable and meritorious cause for the filing of such
    action; and that the affiant has concluded on the basis of
    the reviewing health professional's review and
    consultation that there is a reasonable and meritorious
    cause for filing of such action. A single written report
    must be filed to cover each defendant in the action. As to
    defendants who are individuals, the If the affidavit is
    filed as to a defendant who is a physician licensed to
    treat human ailments without the use of drugs or medicines
    and without operative surgery, a dentist, a podiatrist, a
    psychologist, or a naprapath, The written report must be
    from a health professional licensed in the same profession,
    with the same class of license, as the defendant. For
    written reports affidavits filed as to all other
    defendants, who are not individuals, the written report
    must be from a physician licensed to practice medicine in
    all its branches who is qualified by experience with the
    standard of care, methods, procedures and treatments
    relevant to the allegations at issue in the case. In either
    event, the written report affidavit must identify the
    profession of the reviewing health professional. A copy of
    the written report, clearly identifying the plaintiff and
    the reasons for the reviewing health professional's
    determination that a reasonable and meritorious cause for
    the filing of the action exists, including the reviewing
    health care professional's name, address, current license
    number, and state of licensure, must be attached to the
    affidavit, but information which would identify the
    reviewing health professional may be deleted from the copy
    so attached. Information regarding the preparation of a
    written report by the reviewing health professional shall
    not be used to discriminate against that professional in
    the issuance of medical liability insurance or in the
    setting of that professional's medical liability insurance
    premium. No professional organization may discriminate
    against a reviewing health professional on the basis that
    the reviewing health professional has prepared a written
    report.
        2. That the affiant was unable to obtain a consultation
    required by paragraph 1 because a statute of limitations
    would impair the action and the consultation required could
    not be obtained before the expiration of the statute of
    limitations. If an affidavit is executed pursuant to this
    paragraph, the affidavit certificate and written report
    required by paragraph 1 shall be filed within 90 days after
    the filing of the complaint. No additional 90-day
    extensions pursuant to this paragraph shall be granted,
    except where there has been a withdrawal of the plaintiff's
    counsel. The defendant shall be excused from answering or
    otherwise pleading until 30 days after being served with an
    affidavit and a report a certificate required by paragraph
    1.
        3. That a request has been made by the plaintiff or his
    attorney for examination and copying of records pursuant to
    Part 20 of Article VIII of this Code and the party required
    to comply under those Sections has failed to produce such
    records within 60 days of the receipt of the request. If an
    affidavit is executed pursuant to this paragraph, the
    affidavit certificate and written report required by
    paragraph 1 shall be filed within 90 days following receipt
    of the requested records. All defendants except those whose
    failure to comply with Part 20 of Article VIII of this Code
    is the basis for an affidavit under this paragraph shall be
    excused from answering or otherwise pleading until 30 days
    after being served with the affidavit and report
    certificate required by paragraph 1.
    (b) Where an affidavit a certificate and written report are
required pursuant to this Section a separate affidavit
certificate and written report shall be filed as to each
defendant who has been named in the complaint and shall be
filed as to each defendant named at a later time.
    (c) Where the plaintiff intends to rely on the doctrine of
"res ipsa loquitur", as defined by Section 2-1113 of this Code,
the affidavit certificate and written report must state that,
in the opinion of the reviewing health professional, negligence
has occurred in the course of medical treatment. The affiant
shall certify upon filing of the complaint that he is relying
on the doctrine of "res ipsa loquitur".
    (d) When the attorney intends to rely on the doctrine of
failure to inform of the consequences of the procedure, the
attorney shall certify upon the filing of the complaint that
the reviewing health professional has, after reviewing the
medical record and other relevant materials involved in the
particular action, concluded that a reasonable health
professional would have informed the patient of the
consequences of the procedure.
    (e) Allegations and denials in the affidavit, made without
reasonable cause and found to be untrue, shall subject the
party pleading them or his attorney, or both, to the payment of
reasonable expenses, actually incurred by the other party by
reason of the untrue pleading, together with reasonable
attorneys' fees to be summarily taxed by the court upon motion
made within 30 days of the judgment or dismissal. In no event
shall the award for attorneys' fees and expenses exceed those
actually paid by the moving party, including the insurer, if
any. In proceedings under this paragraph (e), the moving party
shall have the right to depose and examine any and all
reviewing health professionals who prepared reports used in
conjunction with an affidavit required by this Section.
    (f) A reviewing health professional who in good faith
prepares a report used in conjunction with an affidavit
required by this Section shall have civil immunity from
liability which otherwise might result from the preparation of
such report.
    (g) The failure of the plaintiff to file an affidavit and
report in compliance with to file a certificate required by
this Section shall be grounds for dismissal under Section
2-619.
     (h) This Section does not apply to or affect any actions
pending at the time of its effective date, but applies to cases
filed on or after its effective date.
     (i) This amendatory Act of 1997 does not apply to or
affect any actions pending at the time of its effective date,
but applies to cases filed on or after its effective date.
    (j) The changes to this Section made by this amendatory Act
of the 94th General Assembly apply to causes of action accruing
on or after its effective date.
(Source: P.A. 86-646; 90-579, eff. 5-1-98.)
 
    (735 ILCS 5/2-1704.5 new)
    Sec. 2-1704.5. Guaranteed payment of future medical
expenses and costs of life care.
    (a) At any time, but no later than 5 days after a verdict
in the plaintiff's favor for a plaintiff's future medical
expenses and costs of life care is reached, either party in a
medical malpractice action may elect, or the court may enter an
order, to have the payment of the plaintiff's future medical
expenses and costs of life care made under this Section.
    (b) In all cases in which a defendant in a medical
malpractice action is found liable for the plaintiff's future
medical expenses and costs of care, the trier of fact shall
make the following findings based on evidence presented at
trial:
        (1) the present cash value of the plaintiff's future
    medical expenses and costs of life care;
        (2) the current year annual cost of the plaintiff's
    future medical expenses and costs of life care; and
        (3) the annual composite rate of inflation that should
    be applied to the costs specified in item (2).
    Based upon evidence presented at trial, the trier of fact
may also vary the amount of future costs under this Section
from year to year to account for different annual expenditures,
including the immediate medical and life care needs of the
plaintiff. The jury shall not be informed of an election to pay
for future medical expenses and costs of life care by
purchasing an annuity.
    (c) When an election is made to pay for future medical
expenses and costs of life care by purchasing an annuity, the
court shall enter a judgment ordering that the defendant pay
the plaintiff an amount equal to 20% of the present cash value
of future medical expenses and cost of life care determined
under subsection (b)(1) of this Section and ordering that the
remaining future expenses and costs be paid by the purchase of
an annuity by or on behalf of the defendant from a company that
has itself, or is irrevocably supported financially by a
company that has, at least 2 of the following 4 ratings: "A+ X"
or higher from A.M. Best Company; "AA-" or higher from Standard &
Poor's; "Aa3" or higher from Moody's; and "AA-" or higher
from Fitch. The annuity must guarantee that the plaintiff will
receive annual payments equal to 80% of the amount determined
in subsection (b)(2) inflated by the rate determined in
subsection (b)(3) for the life of the plaintiff.
    (d) If the company providing the annuity becomes unable to
pay amounts required by the annuity, the defendant shall secure
a replacement annuity for the remainder of the plaintiff's life
from a company that satisfies the requirements of subsection
(c).
    (e) A plaintiff receiving future payments by means of an
annuity under this Section may seek leave of court to assign or
otherwise transfer the right to receive such payments in
exchange for a negotiated lump sum value of the remaining
future payments or any portion of the remaining future payments
under the annuity to address an unanticipated financial
hardship under such terms as approved by the court.
    (f) This Section applies to all causes of action accruing
on or after the effective date of this amendatory Act of the
94th General Assembly.
 
    (735 ILCS 5/2-1706.5 new)
    Sec. 2-1706.5. Standards for economic and non-economic
damages.
    (a) In any medical malpractice action or wrongful death
action based on medical malpractice in which economic and
non-economic damages may be awarded, the following standards
shall apply:
        (1) In a case of an award against a hospital and its
    personnel or hospital affiliates, as defined in Section
    10.8 of the Hospital Licensing Act, the total amount of
    non-economic damages shall not exceed $1,000,000 awarded
    to all plaintiffs in any civil action arising out of the
    care.
        (2) In a case of an award against a physician and the
    physician's business or corporate entity and personnel or
    health care professional, the total amount of non-economic
    damages shall not exceed $500,000 awarded to all plaintiffs
    in any civil action arising out of the care.
        (3) In awarding damages in a medical malpractice case,
    the finder of fact shall render verdicts with a specific
    award of damages for economic loss, if any, and a specific
    award of damages for non-economic loss, if any.
    The trier of fact shall not be informed of the provisions
of items (1) and (2) of this subsection (a).
    (b) In any medical malpractice action where an individual
plaintiff earns less than the annual average weekly wage, as
determined by the Illinois Workers' Compensation Commission,
at the time the action is filed, any award may include an
amount equal to the wage the individual plaintiff earns or the
annual average weekly wage.
    (c) This Section applies to all causes of action accruing
on or after the effective date of this amendatory Act of the
94th General Assembly.
 
    (735 ILCS 5/8-1901)  (from Ch. 110, par. 8-1901)
    Sec. 8-1901. Admission of liability - Effect.
    (a) The providing of, or payment for, medical, surgical,
hospital, or rehabilitation services, facilities, or equipment
by or on behalf of any person, or the offer to provide, or pay
for, any one or more of the foregoing, shall not be construed
as an admission of any liability by such person or persons.
Testimony, writings, records, reports or information with
respect to the foregoing shall not be admissible in evidence as
an admission of any liability in any action of any kind in any
court or before any commission, administrative agency, or other
tribunal in this State, except at the instance of the person or
persons so making any such provision, payment or offer.
    (b) Any expression of grief, apology, or explanation
provided by a health care provider, including, but not limited
to, a statement that the health care provider is "sorry" for
the outcome to a patient, the patient's family, or the
patient's legal representative about an inadequate or
unanticipated treatment or care outcome that is provided within
72 hours of when the provider knew or should have known of the
potential cause of such outcome shall not be admissible as
evidence in any action of any kind in any court or before any
tribunal, board, agency, or person. The disclosure of any such
information, whether proper, or improper, shall not waive or
have any effect upon its confidentiality or inadmissibility. As
used in this Section, a "health care provider" is any hospital,
nursing home or other facility, or employee or agent thereof, a
physician, or other licensed health care professional. Nothing
in this Section precludes the discovery or admissibility of any
other facts regarding the patient's treatment or outcome as
otherwise permitted by law.
    (c) The changes to this Section made by this amendatory Act
of the 94th General Assembly apply to causes of action accruing
on or after its effective date.
(Source: P.A. 82-280.)
 
    (735 ILCS 5/8-2501)  (from Ch. 110, par. 8-2501)
    (Text of Section WITHOUT the changes made by P.A. 89-7,
which has been held unconstitutional)
    Sec. 8-2501. Expert Witness Standards. In any case in which
the standard of care applicable to given by a medical
professional profession is at issue, the court shall apply the
following standards to determine if a witness qualifies as an
expert witness and can testify on the issue of the appropriate
standard of care.
    (a) Whether the witness is board certified or board
eligible, or has completed a residency, in the same or
substantially similar medical specialties as the defendant and
is otherwise qualified by significant experience with the
standard of care, methods, procedures, and treatments relevant
to the allegations against the defendant Relationship of the
medical specialties of the witness to the medical problem or
problems and the type of treatment administered in the case;
    (b) Whether the witness has devoted a majority substantial
portion of his or her work time to the practice of medicine,
teaching or University based research in relation to the
medical care and type of treatment at issue which gave rise to
the medical problem of which the plaintiff complains;
    (c) whether the witness is licensed in the same profession
with the same class of license as the defendant if the
defendant is an individual; and
    (d) whether, in the case against a nonspecialist, the
witness can demonstrate a sufficient familiarity with the
standard of care practiced in this State.
    An expert shall provide evidence of active practice,
teaching, or engaging in university-based research. If
retired, an expert must provide evidence of attendance and
completion of continuing education courses for 3 years previous
to giving testimony. An expert who has not actively practiced,
taught, or been engaged in university-based research, or any
combination thereof, during the preceding 5 years may not be
qualified as an expert witness.
    The changes to this Section made by this amendatory Act of
the 94th General Assembly apply to causes of action accruing on
or after its effective date.
(Source: P.A. 84-7.)
 
    Section 340. The Good Samaritan Act is amended by changing
Section 30 as follows:
 
    (745 ILCS 49/30)
    Sec. 30. Free medical clinic; exemption from civil
liability for services performed without compensation.
    (a) A person licensed under the Medical Practice Act of
1987, a person licensed to practice the treatment of human
ailments in any other state or territory of the United States,
or a health care professional, including but not limited to an
advanced practice nurse, retired physician, physician
assistant, nurse, pharmacist, physical therapist, podiatrist,
or social worker licensed in this State or any other state or
territory of the United States, who, in good faith, provides
medical treatment, diagnosis, or advice as a part of the
services of an established free medical clinic providing care,
including but not limited to home visits, without charge to
medically indigent patients which is limited to care that does
not require the services of a licensed hospital or ambulatory
surgical treatment center and who receives no fee or
compensation from that source shall not be liable for civil
damages as a result of his or her acts or omissions in
providing that medical treatment, except for willful or wanton
misconduct.
    (b) For purposes of this Section, a "free medical clinic"
is an organized community based program providing medical care
without charge to individuals unable to pay for it, at which
the care provided does not include the use of general
anesthesia or require an overnight stay in a health-care
facility.
    (c) The provisions of subsection (a) of this Section do not
apply to a particular case unless the free medical clinic has
posted in a conspicuous place on its premises an explanation of
the exemption from civil liability provided herein.
    (d) The immunity from civil damages provided under
subsection (a) also applies to physicians, retired physicians,
hospitals, and other health care providers that provide further
medical treatment, diagnosis, or advice, including but not
limited to hospitalization, office visits, and home visits, to
a patient upon referral from an established free medical clinic
without fee or compensation.
    (d-5) A free medical clinic may receive reimbursement from
the Illinois Department of Public Aid, provided any
reimbursements shall be used only to pay overhead expenses of
operating the free medical clinic and may not be used, in whole
or in part, to provide a fee or other compensation to any
person licensed under the Medical Practice Act of 1987 or any
other health care professional who is receiving an exemption
under this Section. Any health care professional receiving an
exemption under this Section may not receive any fee or other
compensation in connection with any services provided to, or
any ownership interest in, the clinic. Medical care shall not
include an overnight stay in a health care facility.
    (e) Nothing in this Section prohibits a free medical clinic
from accepting voluntary contributions for medical services
provided to a patient who has acknowledged his or her ability
and willingness to pay a portion of the value of the medical
services provided.
    (f) Any voluntary contribution collected for providing
care at a free medical clinic shall be used only to pay
overhead expenses of operating the clinic. No portion of any
moneys collected shall be used to provide a fee or other
compensation to any person licensed under Medical Practice Act
of 1987.
    (g) The changes to this Section made by this amendatory Act
of the 94th General Assembly apply to causes of action accruing
on or after its effective date.
(Source: P.A. 89-607, eff. 1-1-97; 90-742, eff. 8-13-98.)
 
ARTICLE 4. SORRY WORKS! PILOT PROGRAM ACT

 
    Section 401. Short title. This Article 4 may be cited as
the Sorry Works! Pilot Program Act, and references in this
Article to "this Act" mean this Article.
 
    Section 405. Sorry Works! pilot program. The Sorry Works!
pilot program is established. During the first year of the
program's operation, participation in the program shall be open
to one hospital. Hospitals may participate only with the
approval of the hospital administration and the hospital's
organized medical staff. During the second year of the
program's operation, participation in the program shall be open
to one additional hospital.
    The first participating hospital selected by the committee
established under Section 410 shall be located in a county with
a population greater than 200,000 that is contiguous with the
Mississippi River.
    Under the program, participating hospitals and physicians
shall promptly acknowledge and apologize for mistakes in
patient care and promptly offer fair settlements.
Participating hospitals shall encourage patients and families
to retain their own legal counsel to ensure that their rights
are protected and to help facilitate negotiations for fair
settlements. Participating hospitals shall report to the
committee their total costs for healing art malpractice
verdicts, settlements, and defense litigation for the
preceding 5 years to enable the committee to determine average
costs for that hospital during that period. The committee shall
develop standards and protocols to compare costs for cases
handled by traditional means and cases handled under the Sorry
Works! protocol.
    If the committee determines that the total costs of cases
handled under the Sorry Works! protocol by a hospital
participating in the program exceed the total costs that would
have been incurred if the cases had been handled by traditional
means, the hospital may apply for a grant from the Sorry Works!
Fund, a special fund that is created in the State Treasury, for
an amount, as determined by the committee, by which the total
costs exceed the total costs that would have been incurred if
the cases had been handled by traditional means; however, the
total of all grants from the Fund for cases in any single
participating hospital in any year may not exceed the amount in
the Fund or $2,000,000, whichever is less. All grants shall be
subject to appropriation. Moneys in the Fund shall consist of
funds transferred into the Fund or otherwise made available
from any source.
 
    Section 410. Establishment of committee.
    (a) A committee is established to develop, oversee, and
implement the Sorry Works! pilot program. The committee shall
have 9 members, each of whom shall be a voting member. Six
members of the committee shall constitute a quorum. The
committee shall be comprised as follows:
        (1) The President of the Senate, the Minority Leader of
    the Senate, the Speaker of the House of Representatives,
    and the Minority Leader of the House of Representatives
    shall each appoint 2 members.
        (2) The Secretary of Financial and Professional
    Regulation or his or her designee.
    (b) The committee shall establish criteria for the program,
including but not limited to: selection of hospitals,
physicians, and insurers to participate in the program; and
creation of a subcommittee to review cases from hospitals and
determine whether hospitals, physicians, and insurers are
entitled to compensation under the program.
    (c) The committee shall communicate with hospitals,
physicians, and insurers that are interested in participating
in the program. The committee shall make final decisions as to
which applicants are accepted for the program.
    (d) The committee shall report to the Governor and the
General Assembly annually.
    (e) The committee shall publish data regarding the program.
    (f) Committee members shall receive no compensation for the
performance of their duties as members, but each member shall
be paid necessary expenses while engaged in the performance of
those duties.
 
    Section 415. Termination of program.
    (a) The program may be terminated at any time if the
committee, by a vote of two-thirds of its members, votes to
terminate the program.
    (b) If the program is not terminated under subsection (a),
the program shall terminate after its second year of operation.
 
    Section 495. The State Finance Act is amended by adding
Section 5.640 as follows:
 
    (30 ILCS 105/5.640 new)
    Sec. 5.640. The Sorry Works! Fund.
 
ARTICLE 9. MISCELLANEOUS

 
    Section 995. Inseverability. The provisions of this Act are
mutually dependent and inseverable. If any provision is held
invalid, then this entire Act, including all new and amendatory
provisions, is invalid.
 
    Section 999. Effective date. This Act takes effect upon
becoming law.