215 ILCS 5/13
2021 Illinois Compiled Statutes|Chapter 215 - INSURANCE|215 ILCS 5/ - Illinois Insurance Code.|Article II - Domestic Stock Companies

 (from Ch. 73, par. 625)(Section scheduled to be repealed on January 1, 2027)Sec. 13.     Minimum capital and surplus requirements.(1) A company organized after  December 31, 1985 under this Article  must have and at all times maintain a paid-up capital of not less than  the minimum capital requirement applicable to the class or classes and  clause or clauses of section 4 describing the kind or kinds of insurance  which it is authorized to write, as follows:    Life, Accident, Health and Legal Expense(a) Class 1, Clauses (a), (b) or (c), $1,000,000;     more than one clause, $1,000,000.    Casualty, Fidelity and Surety(b) Class 2, Clauses (a), (b), (c), (d), (g), (h),     (i) or (j) $1,000,000; more than one clause, $1,000,000.    Fire, Marine and Legal Expense(c) Class 2, Clauses (e), (f), (k), (l) or Class 3,     any or all clauses or any combination thereof, $400,000.    Multiple Line(d) Class 2, any or all clauses other than those     specified in (c) above, and Class 3, any or all clauses, $1,000,000.    Glass and Livestock and Domestic Animals(e) Class 2, Clause (f) only or (k) only, $100,000;     provided any company to which this subparagraph is applicable shall not expose itself to any loss on any one risk in an amount exceeding $5,000.Any company organized prior to January 1, 1986 and  regulated under this Article must have and  at all times maintain paid-up capital of not less than the minimum  capital that was required for that particular company at the time it was  organized, unless any clause or clauses have been added. If any clause  or clauses have been added, then such company must have and at all times  maintain paid-up capital of not less than the minimum capital requirement  applicable to the class or classes and clause or clauses of Section 4 at  the time that the additional clause or clauses are authorized.(2) A company organized after December 31, 1985 under this Article  must have at the time its Certificate of Authority is issued by the  Director paid-in surplus of not less than the minimum paid-in surplus  requirement applicable to the class or classes and clause or clauses of  Section 4 describing the kind or kinds of insurance which it is authorized  to write, as follows:    Life, Accident, Health and Legal Expense(a) Class 1, Clauses (a), (b) or (c), $1,000,000;     more than one clause, $1,000,000.    Casualty, Fidelity and Surety(b) Class 2, Clauses (a), (b), (c), (d), (g), (h),     (i) or (j), $1,000,000; more than one clause, $1,000,000.    Fire, Marine and Legal Expense(c) Class 2, Clauses (e), (f), (k), (l), or Class 3,     any or all clauses or any combination thereof, $600,000.    Multiple Line(d) Class 2, any or all clauses other than those     specified in (c) above, and Class 3, any or all clauses, $1,000,000.    Glass and Livestock and Domestic Animals(e) Class 2, Clause (f) only or (k) only, $150,000;     provided any company to which this subparagraph is applicable shall not expose itself to any loss on any one risk in an amount exceeding $5,000.(3) Any company organized after December 31, 1985 under this Article  must have and at all times maintain, in addition to the minimum capital  required by paragraph (1) of this Section, minimum surplus requirement  applicable to the class or classes and clause or clauses of Section 4  describing the kind or kinds of insurance which it is authorized to write,  as follows:    Life, Accident, Health and Legal Expense(a) Class 1, Clauses (a), (b) or (c), $500,000; more     than one clause, $500,000.    Casualty, Fidelity and Surety(b) Class 2, Clauses (a), (b), (c), (d), (g), (h),     (i) or (j), $500,000; more than one clause, $500,000.    Fire, Marine and Legal Expense(c) Class 2, Clauses (e), (f), (k), (l), or Class 3,     any or all clauses or any combination thereof, $300,000.    Multiple Line(d) Class 2, any or all clauses other than those     specified in (c) above, and Class 3, any or all clauses, $500,000.    Glass and Livestock and Domestic Animals(e) Class 2, Clause (f) only or (k) only, $50,000;     provided any company to which this subparagraph is applicable shall not expose itself to any loss on any one risk in an amount exceeding $5,000.(4) Any company organized prior to January 1, 1986 and regulated  under this Article, in addition to the minimum capital which is required by  paragraph (1) of this Section, must have and at all times maintain until  December 31, 1986, minimum surplus of $300,000; and on December 31, 1986  and thereafter such company must have and maintain at all times, surplus of  no less than the following amounts:    Life, Accident, Health and Legal Expense(a) Class 1, Clauses (a), (b) or (c), $500,000; more     than one clause, $500,000.    Casualty, Fidelity and Surety(b) Class 2, Clauses (a), (b), (c), (d), (g), (h),     (i) or (j), $500,000; more than one clause, $500,000.    Fire, Marine and Legal Expense(c) Class 2, Clauses (e), (f), (k), (l), or Class 3,     any or all clauses or any combination thereof, $300,000.    Multiple Line(d) Class 2, any or all clauses other than those     specified in (c) above, and Class 3, any or all clauses, $500,000.    Glass and Livestock and Domestic Animals(e) Class 2, Clause (f) only or (k) only, $50,000;     provided any company to which this subparagraph is applicable shall not expose itself to any loss on any one risk in an amount exceeding $5,000.(5) Any company organized prior to January 1, 1986 and regulated  under this Article must have on December 31, 1990 and thereafter maintain  until December 31, 1995 the greater of (a) minimum capital required by  paragraph (1) of this Section plus the surplus required to be maintained  after December 31, 1986 by paragraph (4) of this Section; or (b) combined  capital and surplus of not less than the minimum requirement applicable to  the class or classes and clause or clauses of Section 4 describing the kind  or kinds of insurance which it is authorized to write as follows:    Life, Accident, Health and Legal Expense(a) Class 1, Clauses (a), (b) or (c), $1,200,000;     more than one clause, $1,200,000.    Casualty, Fidelity and Surety(b) Class 2, Clauses (a), (b), (c), (d), (g), (h),     (i) or (j), $1,200,000; more than one clause, $1,200,000.    Fire, Marine and Legal Expense(c) Class 2, Clauses (e), (f), (k), (l), or Class 3,     any or all clauses or any combination thereof, $600,000.    Multiple Line(d) Class 2, any or all clauses other than those     specified in (c) above, and Class 3, any or all clauses, $1,200,000.    Glass and Livestock and Domestic Animals(e) Class 2, Clause (f) only or (k) only, $100,000;     provided any company to which this subparagraph is applicable shall not expose itself to any loss on any one risk in an amount exceeding $5,000.(6) Any company organized prior to January 1, 1986 and regulated  under this Article must have on December 31, 1995 and thereafter maintain  at all times combined capital and surplus of not less than the minimum  requirement applicable to the class or classes and clause or clauses of  Section 4 describing the kind or kinds of insurance which it is authorized  to write as follows:    Life, Accident, Health and Legal Expense(a) Class 1, Clauses (a), (b) or (c), $1,500,000;     more than one clause, $1,500,000.    Casualty, Fidelity and Surety(b) Class 2, Clauses (a), (b), (c), (d), (g), (h),     (i) or (j), $1,500,000; more than one clause, $1,500,000.    Fire, Marine and Legal Expense(c) Class 2, Clauses (e), (f), (k), (l), or Class 3,     any or all clauses or any combination thereof, $700,000.    Multiple Line(d) Class 2, any or all clauses other than those     specified in (c) above, and Class 3, any or all clauses, $1,500,000.    Glass and Livestock and Domestic Animals(e) Class 2, Clause (f) only or (k) only, $150,000;     provided any company to which this subparagraph is applicable shall not expose itself to any loss on any one risk in an amount exceeding $5,000.(7) Any company organized prior to January 1, 1986 and regulated under  this Article experiencing a change in control, as control is defined in  Section 131.1(b) of this Code, must have simultaneously with the change in  control and thereafter maintain at all times combined capital and surplus  of not less than the minimum requirement applicable to the class or classes  and clause or clauses of Section 4 describing the kind or kinds of  insurance which it is authorized to write as follows:    Life, Accident, Health and Legal Expense(a) Class 1, Clauses (a), (b) or (c), $1,500,000;     more than one clause, $1,500,000.    Casualty, Fidelity and Surety(b) Class 2, Clauses (a), (b), (c), (d), (g), (h),     (i) or (j), $1,500,000; more than one clause, $1,500,000.    Fire, Marine and Legal Expense(c) Class 2, Clauses (e), (f), (k), (l), or Class 3,     any or all clauses or any combination thereof, $700,000.    Multiple Line(d) Class 2, any or all clauses other than those     specified in (c) above, and Class 3, any or all clauses, $1,500,000.    Glass and Livestock and Domestic Animals(e) Class 2, Clause (f) only or (k) only, $150,000;     provided any company to which this subparagraph is applicable shall not expose itself to any loss on any one risk in an amount exceeding $5,000.Notwithstanding, the foregoing provisions of this paragraph (7), any  company which experiences a change in control, as control is defined in  Section 131.1(b) of this Code, by reason of any laws of descent,  distribution or probate, shall be exempt from the requirements of this  paragraph (7) for a period of 2 years following the date of death or  incompetency giving rise to the change in control.(8) Any company organized prior to September 10, 1971 or converted  from a mutual company to a stock company between July 1, 1983 and June 30,  1985, which had less than $1,000,000 capital and surplus on January 1,  1986, and whose authority is limited to Class 2 of Section 4 of this Code  and which is regulated under this Article, shall be exempt from the  requirements of paragraphs (5) and (6) of this Section.(9) The Director shall take action under Section 34 of this Code  against any company which fails to maintain the minimum  surplus required by this Section. The words "minimum surplus" mean the  net total of the following accounts, where applicable, as they appear in  the annual statement of a stock company on the usual and proper annual  statement form prescribed by the National Association of Insurance  Commissioners: paid-in surplus; contributed surplus; unassigned or  earned surplus; and special surplus.    (Source: P.A. 87-315.)