305 ILCS 5/11-22b
2021 Illinois Compiled Statutes|Chapter 305 - PUBLIC AID|305 ILCS 5/ - Illinois Public Aid Code.|Article XI - General Provisions Pertaining To Rights And Responsibilities Of Applicants And Recipients

 (from Ch. 23, par. 11-22b)Sec. 11-22b. Recoveries.(a) As used in this Section:(1) "Carrier" means any insurer, including any     private company, corporation, mutual association, trust fund, reciprocal or interinsurance exchange authorized under the laws of this State to insure persons against liability or injuries caused to another and any insurer providing benefits under a policy of bodily injury liability insurance covering liability arising out of the ownership, maintenance or use of a motor vehicle which provides uninsured motorist endorsement or coverage.(2) "Beneficiary" means any person or their     dependents who has received benefits or will be provided benefits under this Code, under the Covering ALL KIDS Health Insurance Act, or under the Veterans' Health Insurance Program Act or the Veterans' Health Insurance Program Act of 2008 because of an injury for which another person may be liable.  It includes such beneficiary's guardian, conservator or other personal representative, his estate or survivors.(b)(1) When benefits are provided or will be provided to a beneficiary  under this Code, under the Covering ALL KIDS Health Insurance Act, or under the Veterans' Health Insurance Program Act or the Veterans' Health Insurance Program Act of 2008 because of an injury for which another person is liable, or  for which a carrier is liable in accordance with the provisions of any  policy of insurance issued pursuant to the Illinois Insurance Code, the  Illinois Department shall have a right to recover from such person or carrier  the reasonable value of benefits so provided.  The Attorney General may, to  enforce such right, institute and prosecute legal proceedings against the  third person or carrier who may be liable for the injury in an appropriate  court, either in the name of the Illinois Department or in the name of the  injured person, his guardian, personal representative, estate, or survivors.(2) The Department may:(A) compromise or settle and release any such claim     for benefits provided under this Code, or(B) waive any such claims for benefits provided under     this Code, in whole or in part, for the convenience of the Department or if the Department determines that collection would result in undue hardship upon the person who suffered the injury or, in a wrongful death action, upon the heirs of the deceased.(3) No action taken on behalf of the Department pursuant to this Section  or any judgment rendered in such action shall be a bar to any action upon  the claim or cause of action of the beneficiary, his guardian, conservator,  personal representative, estate, dependents or survivors against the third  person who may be liable for the injury, or shall operate to deny to the  beneficiary the recovery for that portion of any damages not covered hereunder.(c)(1) When an action is brought by the Department pursuant to  subsection (b), it shall be commenced within the period prescribed by  Article XIII of the Code of Civil Procedure.However, the Department may not commence the action prior to 5 months  before the end of the applicable period prescribed by Article XIII of the  Code of Civil Procedure.  Thirty days prior to commencing an action, the  Department shall notify the beneficiary of the Department's intent to  commence such an action.(2) The death of the beneficiary does not abate any right of action  established by subsection (b).(3) When an action or claim is brought by persons entitled to bring such  actions or assert such claims against a third person who may be liable for  causing the death of a beneficiary, any settlement, judgment or award  obtained is subject to the Department's claim for reimbursement of the  benefits provided to the beneficiary under this Code, under the Covering ALL KIDS Health Insurance Act, or under the Veterans' Health Insurance Program Act or the Veterans' Health Insurance Program Act of 2008.(4) When the action or claim is brought by the beneficiary alone and  the beneficiary incurs a personal liability to pay attorney's fees and  costs of litigation, the Department's claim for reimbursement of the  benefits provided to the beneficiary shall be the full amount of benefits  paid on behalf of the beneficiary under this Code, under the Covering ALL KIDS Health Insurance Act, or under the Veterans' Health Insurance Program Act or the Veterans' Health Insurance Program Act of 2008 less a pro rata  share which represents the Department's reasonable share of attorney's fees  paid by the beneficiary and that portion of the cost of litigation expenses  determined by multiplying by the ratio of the full amount of the  expenditures of the full amount of the judgment, award or settlement.(d)(1) If either the beneficiary or the Department brings an action or  claim against such third party or carrier, the beneficiary or the  Department shall within 30 days of filing the action give to the other  written notice by personal service or registered mail of the action or  claim and of the name of the court in which the  action or claim is brought.  Proof of such notice shall be filed in such  action or claim.  If an action or claim is brought by either the Department  or the beneficiary, the other may, at any time before trial on the facts,  become a party to such action or claim or shall consolidate his action or  claim with the other if brought independently.(2) If an action or claim is brought by the Department pursuant to  subsection (b)(1), written notice to the beneficiary, guardian, personal  representative, estate or survivor given pursuant to this Section shall  advise him of his right to intervene in the proceeding, his right to obtain  a private attorney of his choice and the Department's right to recover the  reasonable value of the benefits provided.(e) In the event of judgment or award in a suit or claim against such  third person or carrier:(1) If the action or claim is prosecuted by the     beneficiary alone, the court shall first order paid from any judgment or award the reasonable litigation expenses incurred in preparation and prosecution of such action or claim, together with reasonable attorney's fees, when an attorney has been retained.  After payment of such expenses and attorney's fees the court shall, on the application of the Department, allow as a first lien against the amount of such judgment or award the amount of the Department's expenditures for the benefit of the beneficiary under this Code, under the Covering ALL KIDS Health Insurance Act, or under the Veterans' Health Insurance Program Act or the Veterans' Health Insurance Program Act of 2008, as provided in subsection (c)(4).(2) If the action or claim is prosecuted both by the     beneficiary and the Department, the court shall first order paid from any judgment or award the reasonable litigation expenses incurred in preparation and prosecution of such action or claim, together with reasonable attorney's fees for plaintiffs attorneys based solely on the services rendered for the benefit of the beneficiary.  After payment of such expenses and attorney's fees, the court shall apply out of the balance of such judgment or award an amount sufficient to reimburse the Department the full amount of benefits paid on behalf of the beneficiary under this Code, under the Covering ALL KIDS Health Insurance Act, or under the Veterans' Health Insurance Program Act or the Veterans' Health Insurance Program Act of 2008.(f) The court shall, upon further application at any time  before the judgment or award is satisfied, allow as a further lien the  amount of any expenditures of the Department in payment of additional  benefits arising out of the same cause of action or claim provided on  behalf of the beneficiary under this Code, under the Covering ALL KIDS Health Insurance Act, or under the Veterans' Health Insurance Program Act or the Veterans' Health Insurance Program Act of 2008, when such benefits were  provided or became payable subsequent to the original order.(g) No judgment, award, or settlement in any action or claim by a  beneficiary to recover damages for injuries, when the Department has an  interest, shall be satisfied without first giving the Department notice and  a reasonable opportunity to perfect and satisfy its lien.(h) When the Department has perfected a lien upon a judgment or award in  favor of a beneficiary against any third party for an injury for which the  beneficiary has received benefits under this Code, under the Covering ALL KIDS Health Insurance Act, or under the Veterans' Health Insurance Program Act or the Veterans' Health Insurance Program Act of 2008, the Department shall be  entitled to a writ of execution as lien claimant to enforce payment of said  lien against such third party with interest and other accruing costs as in  the case of other executions.  In the event the amount of such judgment or  award so recovered has been paid to the beneficiary, the Department shall  be entitled to a writ of execution against such beneficiary to the extent of  the Department's lien, with interest and other accruing costs as in the case  of other executions.(i) Except as otherwise provided in this Section, notwithstanding any  other provision of law, the entire amount of any settlement of the injured  beneficiary's action or claim, with or without suit, is subject to the  Department's claim for reimbursement of the benefits provided and any lien  filed pursuant thereto to the same extent and subject to the same  limitations as in Section 11-22 of this Code.  (Source: P.A. 94-693, eff. 7-1-06; 94-816, eff. 5-30-06; 95-755, eff. 7-25-08.)