215 ILCS 5/500-85
2021 Illinois Compiled Statutes|Chapter 215 - INSURANCE|215 ILCS 5/ - Illinois Insurance Code.|Article XXXI - Insurance Producers, Limited Insurance Representatives And Registered Firms

(Section scheduled to be repealed on January 1, 2027)Sec. 500-85.     Notification of termination; immunity; confidentiality.(a) An insurer or authorized representative of an insurer that terminates  the appointment,  employment, contract, or other insurance business relationship with a producer  must notify the  Director within 30 days following the effective date of the termination, using  a format prescribed  by the Director, if the reason for termination is one of the reasons set forth  in Section 500-70 or  the insurer has knowledge the producer was found by a court, government body,  or self-regulatory organization authorized by law to have engaged in any of the  activities in Section 500-70. Upon written request by the Director, the insurer  must provide additional information,  documents, records, or other data pertaining to the termination or activity of  the producer.(b) The insurer or the authorized representative of the insurer must  promptly notify the  Director in a format acceptable to the Director if, upon further review or  investigation, the insurer  discovers additional  information that would have been reportable to the Director in accordance  with subsection (a) had the insurer then known of its existence.(c) Within 15 days after making the notification required by subsections (a)  and (b), the  insurer must mail a copy  of the notification to the producer at his or her last known address.  If  the producer is terminated for cause for any of the reasons listed in Section  500-70, the insurer  must provide a copy of the notification to the producer at his or her last  known address by  certified mail, return receipt requested, postage prepaid or by overnight  delivery using a  nationally recognized carrier.Within 30 days after the  producer has received the original or additional notification, the  producer may file written comments concerning the substance of the notification  with the  Director. The producer  must, by the same means, simultaneously send a copy of the comments to  the reporting insurer, and the comments shall become a part of the Director's  file and accompany  every copy of a report distributed or disclosed for any reason about the  producer as permitted  under this Code.(d) There shall be no liability on the part of, nor shall a cause of  action of any nature arise against, an insurer, the authorized representative  of the insurer, a producer, the Director, or an organization of which the  Director is a member for any information, documents, records, or statements  provided pursuant to this Section.(e) An insurer, the authorized representative of the insurer, or a  producer that fails to report as required under the provisions of this Section  or that is found to have reported with malicious intent by a court of competent  jurisdiction may, after notice and hearing, have its license or certificate of  authority suspended or revoked and may be subjected to a civil penalty.    (Source: P.A. 92-386, eff. 1-1-02.)