2023 Illinois Compiled Statutes › Chapter 215 - INSURANCE › 215 ILCS 5/ - Illinois Insurance Code. › Article XXXI - Insurance Producers, Limited Insurance Representatives And Registered Firms

(215 ILCS 5/Art. XXXI heading)
ARTICLE XXXI.  
		INSURANCE PRODUCERS, LIMITED
INSURANCE REPRESENTATIVES AND REGISTERED FIRMS
(Article scheduled to be repealed on January 1, 2027)
(215 ILCS 5/490.1) (from Ch. 73, par. 1065.37-1)
Sec. 490.1. 
		(Repealed).
(Source: P.A. 83-801. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/491.1) (from Ch. 73, par. 1065.38-1)
Sec. 491.1. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/492.2) (from Ch. 73, par. 1065.39-2)
Sec. 492.2. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/493.1) (from Ch. 73, par. 1065.40-1)
Sec. 493.1. 
		(Repealed).
(Source: P.A. 83-749.  Repealed by P.A. 90-499, eff. 8-19-97.)
(215 ILCS 5/493.2) (from Ch. 73, par. 1065.40-2)
Sec. 493.2. 
		(Repealed).
(Source: P.A. 85-334. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/494.1) (from Ch. 73, par. 1065.41-1)
Sec. 494.1. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/494.2) (from Ch. 73, par. 1065.41-2)
Sec. 494.2. 
		(Repealed).
(Source: P.A. 87-1216. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/495.1) (from Ch. 73, par. 1065.42-1)
Sec. 495.1. 
		(Repealed).
(Source: P.A. 86-600. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/495.2)
Sec. 495.2. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/496.2) (from Ch. 73, par. 1065.43-2)
Sec. 496.2. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/497.1) (from Ch. 73, par. 1065.44-1)
Sec. 497.1. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/497.2) (from Ch. 73, par. 1065.44-2)
Sec. 497.2. 
		(Repealed).
(Source: P.A. 87-601.  Repealed by P.A. 89-265, eff. 1-1-96.)
(215 ILCS 5/498.1) (from Ch. 73, par. 1065.45-1)
Sec. 498.1. 
		(Repealed).
(Source: P.A. 88-313. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/499.1) (from Ch. 73, par. 1065.46-1)
Sec. 499.1. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-5)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-5. 
		Scope of Article. 
		This Article applies to all persons and
insurance companies as
defined in this Code.  This Article does not apply to surplus lines producers
licensed pursuant to
Section 445 except as provided in Section 500-40 and subsection (b) of Section
500-90 of this
Article.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-10)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-10. Definitions. In addition to the definitions in Section 2 of
the
Code, the following
definitions apply to this Article:
"Business entity" means a corporation, association, partnership, limited
liability
company, limited liability partnership, or other legal entity.
"Car rental limited line licensee" means a person authorized under the
provisions of
Section 500-105 to sell certain coverages relating to the rental of vehicles.
"Home state" means the District of Columbia and any state or territory of the
United
States in which an insurance producer maintains his or her principal place of
residence or
principal place of business and is licensed to act as an insurance producer.
"Insurance" means any of the lines of authority in Section 500-35, any health
care plan
under the Health Maintenance Organization Act, or any limited health care plan
under the
Limited Health Service Organization Act.
"Insurance producer" means a person required to be licensed under the laws of
this State
to sell, solicit, or negotiate insurance.
"Insurer" means a company as defined in subsection (e) of Section 2 of this
Code, a
health maintenance organization as defined in the Health Maintenance
Organization Act, or a
limited health service organization as defined in the Limited Health
Service Organization Act.
"License" means a document issued by the Director authorizing an individual
to act as an
insurance producer for the lines of authority specified in the document or
authorizing a business
entity to act as an insurance producer.  The license itself does not create any
authority, actual,
apparent, or inherent, in the holder to represent or commit
an insurance carrier.
"Limited lines insurance" means those lines of insurance defined in Section
500-100 or
any other line of insurance that the Director may deem it necessary to
recognize for the purposes
of complying with subsection (e) of Section 500-40.
"Limited lines producer" means a person authorized by the Director to sell,
solicit, or
negotiate limited lines insurance.
"Negotiate" means the act of conferring directly with or offering advice
directly to a
purchaser or prospective purchaser of a particular contract of insurance
concerning any
of the substantive benefits, terms, or conditions of the contract, provided
that the person
engaged in that act either sells insurance or obtains insurance from
insurers for purchasers.
"Person" means an individual or a business entity.
"Rental agreement" means a written agreement setting forth the terms and
conditions
governing the use of a vehicle provided by a rental company for
rental or lease.
"Rental company" means a person, or a franchisee of the person, in the
business of
providing primarily private passenger vehicles to the public under a
rental agreement for a period
not to exceed 30 days.
"Rental period" means the term of the rental agreement.
"Renter" means a person obtaining the use of a vehicle from a
rental company under the
terms of a rental agreement for a period not to exceed 30 days.
"Self-service storage facility limited line licensee" means a person
authorized under the provisions of Section 500-107 to sell certain coverages
relating to the rental of self-service storage facilities.
"Sell" means to exchange a contract of insurance by any means, for
money or its equivalent, on
behalf of an insurance company.
"Solicit" means attempting to
sell insurance or asking or urging a person to apply for a
particular kind of insurance from a particular company.
"Terminate" means the cancellation of the relationship between an insurance
producer and the
insurer or the termination of a producer's authority to transact insurance.
"Travel insurance" has the meaning provided in Section 1630.
"Uniform Business Entity Application" means the current version of the
National Association of Insurance Commissioners' Uniform
Business Entity Application for nonresident business entities.
"Uniform Application" means the current version of the National Association
of Insurance Commissioners' Uniform
Application for
nonresident producer licensing.
"Vehicle" or "rental vehicle" means a motor vehicle of (1) the private
passenger
type, including passenger vans, mini vans, and sport utility vehicles or (2)
the cargo type,
including cargo vans, pickup trucks, and trucks with a gross vehicle
weight of less than
26,000 pounds the operation of which does not require the operator to possess a
commercial
driver's license.
"Webinar" means an online educational presentation during which a live and participating instructor and participating viewers, whose attendance is periodically verified throughout the presentation, actively engage in discussion and in the submission and answering of questions.
(Source: P.A. 102-212, eff. 10-28-21.)
(215 ILCS 5/500-15)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-15. 
		License required.
(a) A person may not sell, solicit, or negotiate insurance in this State for
any class or
classes of insurance unless the person is licensed for that line of authority
in accordance with this
Article.
(b) A person may not, for a fee, engage in the business of offering any
advice, counsel, opinion, or service with respect to the benefits, advantages,
or disadvantages under any policy of insurance that could be issued in
Illinois, unless that person is:
(1) engaged or employed as an attorney licensed to     practice law and performing duties incidental to that position;
(2) a licensed insurance producer, limited insurance     representative, or temporary insurance producer offering advice concerning a class of insurance as to which he or she is licensed to transact business;
(3) a trust officer of a bank performing duties     incidental to his or her position;
(4) an actuary or a certified public accountant     engaged or employed in a consulting capacity, performing duties incidental to that position; or
(5) a licensed public adjuster acting within the     scope of his or her license.
(c) In addition to any other penalty set forth in this Article, an
individual
who
knowingly violates subsection (a) is guilty of a Class A misdemeanor.
(d) In addition to any other penalty set forth in this Article, any
individual violating subsection (a) or (b) and misappropriating or converting
any moneys collected in conjunction with the violation is guilty of a Class 4
felony.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-20)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-20. 
		Exceptions to licensing.
(a) Nothing in this Article shall be construed to require an insurer to
obtain
an
insurance producer license.  In this Section, the term "insurer" does not
include an insurer's
officers, directors, employees, subsidiaries, or affiliates.
(b) A license as an insurance producer shall not be required of the
following:
(1) an officer, director, or employee of an insurer     or of an insurance producer, provided that the officer, director, or employee does not receive any commission on policies written or sold to insure risks residing, located, or to be performed in this State and:
(A) the officer's, director's, or employee's         activities are executive, administrative, managerial, clerical, or a combination of these, and are only indirectly related to the sale, solicitation, or negotiation of insurance;
(B) the officer's, director's, or employee's         function relates to underwriting, loss control, inspection, or the processing, adjusting, investigating, or settling of a claim on a contract of insurance; or
(C) the officer, director, or employee is acting         in the capacity of a special agent or agency supervisor assisting insurance producers if the person's activities are limited to providing technical advice and assistance to licensed insurance producers and do not include the sale, solicitation, or negotiation of insurance;
(2) a person who secures and furnishes information     for the purpose of group life insurance, group property and casualty insurance, group annuities, or group or blanket accident and health insurance or for the purpose of enrolling individuals under plans, issuing certificates under plans or otherwise assisting in administering plans or who performs administrative services related to mass marketed property and casualty insurance, if no commission is paid to the person for the service;
(3) an employer or association or its officers,     directors, employees, or the trustees of an employee trust plan, to the extent that the employers, officers, employees, directors, or trustees are engaged in the administration or operation of a program of employee benefits for the employer's or association's own employees or the employees of its subsidiaries or affiliates, which program involves the use of insurance issued by an insurer, as long as the employers, associations, officers, directors, employees, or trustees are not in any manner compensated, directly or indirectly, by the company issuing the contracts;
(4) employees of insurers or organizations employed     by insurers who are engaging in the inspection, rating, or classification of risks or in the supervision of the training of insurance producers and who are not individually engaged in the sale, solicitation, or negotiation of insurance;
(5) a person whose activities in this State are     limited to advertising without the intent to solicit insurance in this State through communications in printed publications or forms of electronic mass media whose distribution is not limited to residents of this State, provided that the person does not sell, solicit, or negotiate insurance that would insure risks residing, located, or to be performed in this State;
(6) a person who is not a resident of this State who     sells, solicits, or negotiates a contract of insurance for commercial property and casualty risks to an insured with risks located in more than one state insured under that contract, provided that the person is otherwise licensed as an insurance producer to sell, solicit, or negotiate that insurance in the state where the insured maintains its principal place of business and the contract of insurance insures risks located in that state; or
(7) a salaried, full-time employee who counsels or     advises his or her employer relative to the insurance interests of the employer or of the subsidiaries or business affiliates of the employer provided that the employee does not sell or solicit insurance or receive a commission.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-25)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-25. 
		Application for examination.
(a) A resident individual applying for an insurance producer license must
pass a written
examination unless exempt pursuant to Section 500-45.  Both part one and part 2
of the
examination must be passed within 90 days of each other.  The examination shall
test the
knowledge of the individual concerning the lines of authority for which
application is made, the
duties and responsibilities of an insurance producer, and the insurance laws
and rules of this
State.  Examinations required by this Section must be developed and conducted
under rules
prescribed by the Director.
(b) The Director may make arrangements,
including contracting with an outside testing
service, for administering
examinations and collecting the nonrefundable fee set forth in Section
500-135.
(c) An individual applying for an examination must remit a nonrefundable fee
as
prescribed by the Director as set forth in Section 500-135, plus a separate
remittance payable to
the designated testing service for the total fees the testing service charges
for each of the various
services being requested by the applicant.
(d) An individual who fails to appear for the examination as scheduled or
fails
to pass the
examination, must reapply for an examination and remit all required fees and
forms before being
rescheduled for another examination.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-30)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-30. Application for license.
(a) An individual applying for a resident insurance producer license must
make
application on a form specified by the Director and declare under penalty of
refusal, suspension,
or revocation of the license that the statements made in the application are
true, correct, and
complete to the best of the individual's knowledge and belief.  Before
approving the application,
the Director must find that the individual:
(1) is at least 18 years of age;
(2) is sufficiently rehabilitated in cases in which     the applicant has committed any act that is a ground for denial, suspension, or revocation set forth in Section 500-70, other than convictions set forth in paragraph (6) of subsection (a) of Section 500-70; with respect to applicants with convictions set forth in paragraph (6) of subsection (a) of Section 500-70, the Director shall determine in accordance with Section 500-76 that the conviction will not impair the ability of the applicant to engage in the position for which a license is sought;
(3) has completed, if required by the Director, a     pre-licensing course of study before the insurance exam for the lines of authority for which the individual has applied (an individual who successfully completes the Fire and Casualty pre-licensing courses also meets the requirements for Personal Lines-Property and Casualty);
(4) has paid the fees set forth in Section 500-135;     and
(5) has successfully passed the examinations for the     lines of authority for which the person has applied.
(b) A pre-licensing course of study for each class of insurance for which
an insurance
producer license is requested must be established in accordance with rules
prescribed by the
Director and must consist of the following minimum hours:
Class of Insurance
Number of
Hours
Life (Class 1(a))
20
Accident and Health (Class 1(b) or 2(a))
20
Fire (Class 3)
20
Casualty (Class 2)
20
Personal Lines-Property Casualty
20
Motor Vehicle (Class 2(b) or 3(e))
12.5
7.5 hours of each pre-licensing course must be completed in a classroom or webinar setting, except Motor Vehicle, which would require 5 hours in a classroom or webinar setting.
(c) A business entity acting as an insurance producer must obtain an
insurance
producer license. Application must be made using the Uniform Business Entity
Application.
Before approving the application, the Director must find that:
(1) the business entity has paid the fees set forth     in Section 500-135; and
(2) the business entity has designated a licensed     producer responsible for the business entity's compliance with the insurance laws and rules of this State.
(d) The Director may require any documents reasonably necessary to verify
the
information contained in an application.
(Source: P.A. 102-135, eff. 7-23-21.)
(215 ILCS 5/500-35)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-35. License.
(a) Unless denied a license pursuant to Section 500-70, persons who have met
the
requirements of Sections 500-25 and 500-30 shall be issued a 2-year insurance
producer license.
An insurance producer may receive qualification for a license in one or more of
the following
lines of authority:
(1) Life: insurance coverage on human lives including     benefits of endowment and annuities, and may include benefits in the event of death or dismemberment by accident and benefits for disability income.
(2) Variable life and variable annuity products:     insurance coverage provided under variable life insurance contracts and variable annuities.
(3) Accident and health or sickness: insurance     coverage for sickness, bodily injury, or accidental death and may include benefits for disability income.
(4) Property: insurance coverage for the direct or     consequential loss or damage to property of every kind.
(5) Casualty: insurance coverage against legal     liability, including that for death, injury, or disability or damage to real or personal property.
(6) Personal lines: property and casualty insurance     coverage sold to individuals and families for primarily noncommercial purposes.
(7) Any other line of insurance permitted under State     laws or rules.
(b) An insurance producer license shall remain in effect unless revoked or
suspended
as long as the fee set forth in Section 500-135 is paid and education
requirements for resident
individual producers are met by the due date.
(1) Before each license renewal, an insurance     producer must satisfactorily complete at least 24 hours of course study or participation in a professional insurance association under paragraph (3) of this subsection in accordance with rules prescribed by the Director. Three of the 24 hours of course study must consist of classroom or webinar ethics instruction. The Director may not approve a course of study unless the course provides for classroom, seminar, webinar, or self-study instruction methods.  A course given in a combination instruction method of classroom, seminar, webinar, or self-study shall be deemed to be a self-study course unless the classroom, seminar, or webinar certified hours meets or exceeds two-thirds of total hours certified for the course.  The self-study material used in the combination course must be directly related to and complement the classroom portion of the course in order to be considered for credit.  An instruction method other than classroom or seminar shall be considered as self-study methodology.  Self-study credit hours require the successful completion of an examination covering the self-study material. The examination may not be self-evaluated. However, if the self-study material is completed through the use of an approved computerized interactive format whereby the computer validates the successful completion of the self-study material, no additional examination is required.  The self-study credit hours contained in a certified course shall be considered classroom hours when at least two-thirds of the hours are given as classroom or seminar instruction.
(2) An insurance producer license automatically     terminates when an insurance producer fails to successfully meet the requirements of item (1) of subsection (b) of this Section.  The producer must complete the course in advance of the renewal date to allow the education provider time to report the credit to the Department.
(3)   An insurance producer's active participation in     a State or national professional insurance association may be approved by the Director for up to 4 hours of continuing education credit per biennial reporting period. Credit shall be provided on an hour-for-hour basis. These hours shall be verified and submitted by the association on behalf of the insurance producer and credited upon timely filing with the Director or his or her designee on a biennial basis. Any association submitting continuing education credit hours on behalf of insurance producers must be registered as an education provider under Section 500-135. Credit granted under these provisions shall not be used to satisfy ethics education requirements. Active participation in a State or national professional insurance association is defined by one of the following methods:
(A)   service on a board of directors of a State         or national chapter of the association;
(B)   service on a formal committee of a State or         national chapter of the association; or
(C)   service on a formal subcommittee or task         force of a State or national chapter of the association.
(c) A provider of a pre-licensing or continuing education course required
by Section
500-30 and this Section must pay a registration fee and a course certification
fee for each course
being certified as provided by Section 500-135.
(d) An individual insurance producer who allows his or her license to lapse
may,
within 12 months after the due date of the renewal fee, be issued a license
without the necessity
of passing a written examination. However, a penalty in the amount of double
the unpaid renewal
fee shall be required after the due date.
(e) A licensed insurance producer who is unable to comply with license
renewal
procedures due to military service may request a waiver of those procedures.
(f) The license must contain the licensee's name, address, and personal
identification
number, the date of issuance, the lines of authority, the expiration date, and
any other
information the Director deems necessary.
(g) Licensees must inform the Director by any means acceptable to the
Director of a
change of address within 30 days after the change.
(h) In order to assist in the performance of the Director's duties, the
Director may
contract with a non-governmental entity including the National Association of
Insurance
Commissioners (NAIC), or any affiliates or subsidiaries that the NAIC oversees,
to perform any
ministerial functions, including collection of fees, related to producer
licensing that the Director
and the non-governmental entity may deem appropriate.
(Source: P.A. 102-766, eff. 1-1-23.)
(215 ILCS 5/500-40)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-40. 
		Nonresident licensing.
(a) Unless denied a license pursuant to Section 500-70, a nonresident person
shall
receive a nonresident producer license if:
(1) the person is currently licensed as a resident     and in good standing in his or her home state;
(2) the person has submitted the proper request for a     license and has paid the fees required by Section 500-135;
(3) the person has submitted or transmitted to the     Director the application for a license that the person submitted to his or her home state or, instead of that application, a completed Uniform Application; and
(4) the person's home state awards nonresident     producer licenses to residents of this State on the same basis.
(b) The Director may verify the producer's licensing status through the
Producer
Database maintained by the National Association of Insurance Commissioners or
its
affiliates or
subsidiaries or by obtaining certification from the public official having
supervision of insurance in the
applicant's state of
residence that the applicant has passed the written examination for the class
of insurance applied for.
(c) A nonresident producer who moves from one state to another state or a
resident
producer who moves from this State to another state must file a change of
address and provide
certification from the new resident state within 30 days after the change of
legal residence. No
fee or license application is required.
(d) Notwithstanding any other provision of this Article, a person licensed
as
a surplus
lines producer in his or her home state shall receive a nonresident surplus
lines producer license
pursuant to subsection (a) of this Section.  Except as provided in subsection
(a),
nothing in this Section
supersedes any provision of Section 445 of this Code.
(e) Notwithstanding any other provision of this Article, a person licensed
as
a limited
lines producer in his or her home state shall receive a nonresident limited
lines producer license,
pursuant to subsection (a) of this Section, granting the same scope of
authority as granted under
the license issued by the producer's home state.  For the purposes of this
subsection, limited line
insurance is any authority granted by the home state that restricts the
authority of the license to
less than the total authority prescribed in the associated major lines pursuant
to items (1) through
(5) of subsection (a) of Section 500-35.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-45)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-45. 
		Exemption from examination.
(a) An individual who applies for an insurance producer license in this
State who was
previously licensed for the same lines of authority in another state shall not
be required to
complete any pre-licensing education or examination. This exemption is only
available if the
person is currently licensed in that state or if the application is received
within 90 days after the
cancellation of the applicant's previous license and if the prior state issues
a certification that, at
the time of cancellation, the applicant was in good standing in that state or
the state's Producer
Database records, maintained by the National Association of Insurance
Commissioners, its
affiliates, or subsidiaries indicate that the producer is or was licensed in
good standing for the
line of authority requested.
(b) A person licensed as an insurance producer in another state who moves to
this
State must make application within 90 days after establishing legal residence
to become a
resident licensee pursuant to Section 500-30. A pre-licensing education or
examination is
not required of that person to obtain any line of authority previously held in
the
prior state except
when the Director determines otherwise by rule.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-50)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-50. Insurance producers; examination statistics.
(a) The use of examinations for the purpose of determining qualifications of
persons
to be licensed as insurance producers has a direct and far-reaching effect on
persons seeking
those licenses, on insurance companies, and on the public. It is in the public
interest and it will
further the public welfare to insure that examinations for licensing do not
have the effect of
unlawfully discriminating against applicants for licensing as insurance
producers on the basis of
race, color, national origin, or sex.
(b) As used in this Section, the following words have the meanings given in
this
subsection.
Examination. "Examination" means the examination in each line of insurance
administered pursuant to Section 500-30.
Examinee. "Examinee" means a person who takes an examination.
Part. "Part" means a portion of an examination for which a score is
calculated.
Operational item. "Operational item" means a test question considered in
determining an
examinee's score.
Test form. "Test form" means the test booklet or instrument used for a part
of
an
examination.
Pretest item. "Pretest item" means a prospective test question that is
included
in a test
form in order to assess its performance, but is not considered in determining
an examinee's score.
Minority group or examinees. "Minority group" or "minority examinees" means
examinees who are American Indian or Alaska Native, Asian, Black or African American, Hispanic or Latino, or Native Hawaiian or Other Pacific Islander.
Correct-answer rate. "Correct-answer rate" for an item means the number of
examinees
who provided the correct answer on an item divided by the number of examinees
who answered
the item.
Correlation. "Correlation" means a statistical measure of the relationship
between
performance on an item and performance on a part of the examination.
(c) The Director shall ask each examinee to self-report on a voluntary basis
on the
answer sheet, application form, or by other appropriate means, the following
information:
(1) race or ethnicity (American Indian or Alaska     Native, Asian, Black or African American, Hispanic or Latino, Native Hawaiian or Other Pacific Islander, or White);
(2) education (8th grade or less; less than 12th     grade; high school diploma or State of Illinois High School Diploma; some college, but no 4-year degree; or 4-year degree or more); and
(3) gender (male or female).
The Director must advise all examinees that they are not required to provide
this
information, that they will not be penalized for not doing so, and that the
Director will use the
information provided exclusively for research and statistical purposes and to
improve the quality
and fairness of the examinations.
(d) No later than May 1 of each year, the Director must prepare, publicly
announce,
and publish an Examination Report of summary statistical information relating
to each
examination administered during the preceding calendar year. Each Examination
Report shall
show with respect to each examination:
(1) For all examinees combined and separately by race     or ethnicity, by educational level, by gender, by educational level within race or ethnicity, by education level within gender, and by race or ethnicity within gender:
(A) number of examinees;
(B) percentage and number of examinees who passed         each part;
(C) percentage and number of examinees who passed         all parts;
(D) mean scaled scores on each part; and
(E) standard deviation of scaled scores on each         part.
(2) For male examinees, female examinees, Black or     African American examinees, white examinees, American Indian or Alaska Native examinees, Asian examinees, Hispanic or Latino examinees, and Native Hawaiian or Other Pacific Islander, respectively, with a high school diploma or State of Illinois High School Diploma, the distribution of scaled scores on each part.
No later than May 1 of each year, the Director must prepare and make
available on
request an Item Report of summary statistical information relating to each
operational item on
each test form administered during the preceding calendar year. The Item Report
shall show, for
each operational item, for all examinees combined and separately for Black or African
American
examinees, white examinees, American Indian or Alaska Native examinees, Asian examinees,
Hispanic or Latino examinees, and Native Hawaiian or Other Pacific Islander, the correct-answer rates and correlations.
The Director is not required to report separate statistical information
for any group or
subgroup comprising fewer than 50 examinees.
(e) The Director must obtain a regular analysis of the data collected under
this
Section, and any other relevant information, for purposes of the development of
new test forms.
The analysis shall continue the implementation of the item selection
methodology as
recommended in the Final Report of the Illinois Insurance Producer's Licensing
Examination
Advisory Committee dated November 19, 1991, and filed with the Department
unless some other
methodology is determined by the Director to be as effective in minimizing
differences between
white and minority examinee pass-fail rates.
(f) The Director has the discretion to set cutoff scores for the
examinations, provided
that scaled scores on test forms administered after July 1, 1993, shall be made
comparable to
scaled scores on test forms administered in 1991 by use of professionally
acceptable methods so
as to minimize changes in passing rates related to the presence or absence of
or changes in
equating or scaling equations or methods or content outlines. Each calendar
year, the scaled
cutoff score for each part of each examination shall fluctuate by no more than
the standard error
of measurement from the scaled cutoff score employed during the preceding year.
(g) No later than May 1, 2003 and no later than May 1 of every fourth year
thereafter,
the Director must release to the public and make generally available one
representative test form
and set of answer keys for each part of each examination.
(h) The Director must maintain, for a period of 3 years after they are
prepared or
used, all registration forms, test forms, answer sheets, operational items and
pretest items, item
analyses, and other statistical analyses relating to the examinations.  All
personal identifying
information regarding examinees and the content of test items must be
maintained confidentially
as necessary for purposes of protecting the personal privacy of examinees and
the maintenance of
test security.
(i) In administering the examinations, the Director must make such
accommodations
for examinees with disabilities as are reasonably warranted by the particular disability
involved,
including the provision of additional time if necessary to complete an
examination or special
assistance in taking an examination.
(j) For the purposes of this Section:
(1) "American Indian or Alaska Native" means a person     having origins in any of the original peoples of North and South America, including Central America, and who maintains tribal affiliation or community attachment.
(2) "Asian" means a person having origins in any of     the original peoples of the Far East, Southeast Asia, or the Indian subcontinent, including, but not limited to, Cambodia, China, India, Japan, Korea, Malaysia, Pakistan, the Philippine Islands, Thailand, and Vietnam.
(3) "Black or African American" means a person having     origins in any of the black racial groups of Africa.
(4) "Hispanic or Latino" means a person of Cuban,     Mexican, Puerto Rican, South or Central American, or other Spanish culture or origin, regardless of race.
(5) "Native Hawaiian or Other Pacific Islander" means     a person having origins in any of the original peoples of Hawaii, Guam, Samoa, or other Pacific Islands.
(6) "White" means a person having origins in any of     the original peoples of Europe, the Middle East, or North Africa.(Source: P.A. 102-465, eff. 1-1-22; 102-1100, eff. 1-1-23.)
(215 ILCS 5/500-55)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-55. 
		Assumed names. 
		An insurance producer doing business under
any
name other than
the producer's legal name must notify the Director before using the assumed
name.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-60)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-60. Temporary licensing.
(a) The Director may issue a temporary insurance producer license for a
period not to
exceed 180 days and, at the discretion of the Director, may renew the temporary
producer license
for an additional 180 days without requiring an examination if the Director
deems that the
temporary license is necessary for the servicing of an insurance business in
the following cases:
(1) to the surviving spouse or court-appointed     personal representative of a licensed insurance producer who dies or becomes a person with a mental or physical disability  to allow adequate time for the sale of the insurance business owned by the producer or for the recovery or return of the producer to the business or to provide for the training and licensing of new personnel to operate the producer's business;
(2) to a member or employee of a business entity     licensed as an insurance producer, upon the death or disability of an individual designated in the business entity application or the license; or
(3) to the designee of a licensed insurance producer     entering active service in the armed forces of the United States of America.
(b) The Director may by order limit the authority of any temporary licensee
in any
way deemed necessary to protect insureds and the public.  The Director may
require the
temporary licensee to have a suitable sponsor who is a licensed producer or
insurer and who
assumes responsibility for all acts of the temporary licensee and may impose
other similar
requirements designed to protect insureds and the public.  The Director may by
order revoke a
temporary license if the interest of insureds or the public are endangered.  A
temporary license
may not continue after the owner or the personal representative disposes of the
business.
(c) Before any temporary insurance producer license is issued, there must be
filed
with the Director a written application by the person desiring the license in
the form, with the
supplements, and containing the information that the Director requires.
License fees, as
provided for in Section 500-135, must be paid upon the issuance of the original
temporary
insurance producer license, but not for any renewal thereof.
(Source: P.A. 99-143, eff. 7-27-15.)
(215 ILCS 5/500-65)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-65. 
		Temporary insurance producer license for an applicant.
(a) The Director may grant a temporary insurance producer license to an
applicant for
an insurance producer license, without requiring an examination, for a period
of 90 days, when
the applicant otherwise meets the requirements of this Article. During that
90-day period, the
applicant must be enrolled in a training course or training program conducted
by or on behalf of
the appointing insurance company and be in the process of fulfilling the
pre-licensing
requirements of Sections 500-25 and 500-30.
(b) An individual applicant may not hold more than one temporary insurance
producer license during his or her lifetime.
(c) The Director may refuse to grant temporary insurance producer licenses
to
applicants from an insurance company when during a 6-month period more than 50%
of that
company's temporary insurance producer license holders have failed to obtain
insurance producer
licenses prior to the expiration of their temporary insurance producer
licenses.
(d) Before the Director approves any temporary insurance producer license,
the
insurance company requesting the license must file with the Director an
application and the fee
required by Section 500-135. The application must be made on the form and in
the manner the
Director requires.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-70)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-70. License denial, nonrenewal, or revocation.
(a) The Director may place on probation, suspend, revoke, or refuse to issue
or renew
an insurance producer's license or may levy a civil penalty in accordance with
this Section or
take any combination of actions, for any one or more of the following causes:
(1) providing incorrect, misleading, incomplete, or     materially untrue information in the license application;
(2) violating any insurance laws, or violating any     rule, subpoena, or order of the Director or of another state's insurance commissioner;
(3) obtaining or attempting to obtain a license     through misrepresentation or fraud;
(4) improperly withholding, misappropriating or     converting any moneys or properties received in the course of doing insurance business;
(5) intentionally misrepresenting the terms of an     actual or proposed insurance contract or application for insurance;
(6)  having been convicted of a felony, unless the     individual demonstrates to the Director sufficient rehabilitation to warrant the public trust; consideration of such conviction of an applicant shall be in accordance with Section 500-76;
(7) having admitted or been found to have committed     any insurance unfair trade practice or fraud;
(8) using fraudulent, coercive, or dishonest     practices, or demonstrating incompetence, untrustworthiness or financial irresponsibility in the conduct of business in this State or elsewhere;
(9) having an insurance producer license, or its     equivalent, denied, suspended, or revoked in any other state, province, district or territory;
(10) forging a name to an application for insurance     or to a document related to an insurance transaction;
(11) improperly using notes or any other reference     material to complete an examination for an insurance license;
(12) knowingly accepting insurance business from an     individual who is not licensed;
(13) failing to comply with an administrative or     court order imposing a child support obligation;
(14) failing to pay state income tax or penalty or     interest or comply with any administrative or court order directing payment of state income tax or failed to file a return or to pay any final assessment of any tax due to the Department of Revenue;
(15) (blank); or
(16) failing to comply with any provision of the     Viatical Settlements Act of 2009.
(b) If the action by the Director is to nonrenew, suspend, or revoke a
license or to
deny an application for a license, the Director shall notify the applicant or
licensee and advise, in
writing, the applicant or licensee of the reason for the suspension,
revocation, denial or
nonrenewal of the applicant's or licensee's license. The applicant or licensee
may make written
demand upon the Director within 30 days after the date of mailing for a hearing
before the
Director to determine the reasonableness of the Director's action.  The hearing
must be held
within not fewer than 20 days nor more than 30 days after the mailing of the
notice of hearing
and shall be held pursuant to 50 Ill. Adm. Code 2402.
(c) The license of a business entity may be suspended, revoked, or refused
if the
Director finds, after hearing, that an individual licensee's violation was
known or should have
been known by one or more of the partners, officers, or managers acting on
behalf of the
partnership, corporation, limited liability company, or limited liability
partnership and the
violation was neither reported to the Director nor corrective action taken.
(d) In addition to or instead of any applicable denial, suspension, or
revocation of a
license, a person may, after hearing, be subject to a civil penalty of up to
$10,000 for each cause for
denial, suspension, or revocation, however, the civil penalty may total no more
than $100,000.
(e) The Director has the authority to enforce the provisions of and impose
any penalty
or remedy authorized by this Article against any person who is under
investigation for or charged
with a violation of this Code or rules even if the person's license or
registration has been
surrendered or has lapsed by operation of law.
(f) Upon the suspension, denial, or revocation of a license, the licensee or
other
person having possession or custody of the license shall promptly deliver it to
the Director in
person or by mail. The Director shall publish all suspensions, denials, or
revocations after the
suspensions, denials, or revocations become final in a manner designed to
notify interested
insurance companies and other persons.
(g) A person whose license is revoked or whose application is denied
pursuant to this
Section is ineligible to apply for any license for 3 years after the revocation
or denial.  A person
whose license as an insurance producer has been revoked, suspended, or denied
may not be
employed, contracted, or engaged in any insurance related capacity during the
time the
revocation, suspension, or denial is in effect.
(Source: P.A. 100-286, eff. 1-1-18; 100-872, eff. 8-14-18.)
(215 ILCS 5/500-75)
Sec. 500-75. (Repealed).
(Source: P.A. 92-386, eff. 1-1-02. Repealed by P.A. 96-1332, eff. 1-1-11.)
(215 ILCS 5/500-76)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-76. Applicant convictions.
(a) The Director and the Department shall not require applicants to report the following information and shall not collect and consider the following  criminal history records in connection with an insurance producer license application:
(1) Juvenile adjudications of delinquent minors as     defined in Section 5-105 of the Juvenile Court Act of 1987, subject to the restrictions set forth in Section 5-130 of that Act.
(2) Law enforcement records, court records, and     conviction records of an individual who was 17 years old at the time of the offense and before January 1, 2014, unless the nature of the offense required the individual to be tried as an adult.
(3) Records of arrest not followed by a charge or     conviction.
(4) Records of arrest where charges were dismissed     unless related to the duties and responsibilities of an insurance producer.  However, applicants shall not be asked to report any arrests, and any arrest not followed by a conviction shall not be the basis of a denial and may be used only to assess an applicant's rehabilitation.
(5) Convictions overturned by a higher court.
(6) Convictions or arrests that have been sealed or     expunged.
(b) The Director, upon a finding that an applicant for a license under this Act was previously convicted of a felony, shall consider any mitigating factors and evidence of rehabilitation contained in the applicant's record, including any of the following factors and evidence, to determine if  a license may be denied because the prior conviction will impair the ability of the applicant to engage in the position for which a license is sought:
(1) the  bearing, if any, of the offense    for which     the applicant was previously convicted  on the duties and functions of the position for which a license is sought;
(2) whether the conviction suggests a future     propensity to endanger the safety and property of others while performing the duties and responsibilities for which a license is sought;
(3) whether 5 years since a felony conviction or 3     years since release from confinement for the conviction, whichever is later, have passed without a subsequent conviction;
(4) if the applicant was previously licensed or     employed in this State or other states or jurisdictions, then the lack of prior misconduct arising from or related to the licensed position or position of employment;
(5) the age of the person at the time of the criminal     offense;
(6) successful completion of sentence and, for     applicants serving a term of parole or probation, a progress report provided by the applicant's probation or parole officer that documents the applicant's compliance with conditions of supervision;
(7) evidence of the applicant's present fitness and     professional character;
(8) evidence of rehabilitation or rehabilitative     effort during or after incarceration or during or after a term of supervision, including, but not limited to, a certificate of good conduct under Section 5-5.5-25 of the Unified Code of Corrections or certificate of relief from disabilities under Section 5-5.5-10 of the Unified Code of Corrections; and
(9) any other mitigating factors that contribute to     the person's potential and current ability to perform the duties and responsibilities of an insurance producer.
(c) If a nonresident licensee meets the standards set forth in items (1) through (4) of subsection (a) of Section 500-40 and has received consent pursuant to 18 U.S.C. 1033(e)(2) from his or her home state, the Director shall grant the nonresident licensee a license.
(d) If the Director refuses to issue a license to an applicant based upon a conviction or convictions in whole or in part, then the Director shall notify the applicant of the denial in writing with the following included in the notice of denial:
(1) a statement about the decision to refuse to issue     a license;
(2) a list of convictions that the Director     determined will impair the applicant's ability to engage in the position for which a license is sought;
(3) a list of the convictions that were the sole or     partial basis for the refusal to issue a license; and
(4) a summary of the appeal process or the earliest     the applicant may reapply for a license, whichever is applicable.
(Source: P.A. 100-286, eff. 1-1-18.)
(215 ILCS 5/500-77)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-77. Policyholder information and exclusive ownership
of expirations.
(a) As used in this Section, "expirations" means all information relative to
an insurance policy including, but not limited to, the name and address of the
insured, the location and description of the property insured, the value of the
insurance policy, the inception date, the renewal date, and the expiration date
of the insurance policy, the premiums, the limits and a description of the
terms and coverage of the insurance policy, and any other personal and
privileged information, as defined by Section 1003 of this Code, compiled by a
business entity or furnished by the insured to the
insurer or any agent,
contractor, or representative of the insurer.
For purposes of this Section only, a business entity
						
also includes a sole
proprietorship that transacts the business of insurance as an insurance agency.
(b) All "expirations" as defined in subsection (a) of this Section shall be
mutually and exclusively owned by the insured and the business entity.  The
limitations on the use of expirations as provided in subsections (c) and (d)
of this Section shall be for mutual benefit of the insured and the business
entity.
(c) Except as otherwise provided in this Section, for
purposes of soliciting, selling, or negotiating the renewal or
sale of insurance coverage, insurance products, or insurance
services or for any other marketing purpose, a business entity shall own
and have the exclusive
use of expirations, records, and other written or electronically
stored information directly related to an insurance application
submitted by, or an insurance policy written through, the
business entity.  No insurance company, managing
general agent, surplus
lines insurance broker, wholesale broker, group self-insurance
fund, third-party administrator, or any other entity, other than a financial
institution as defined in Section 1402 of this Code, shall use such
expirations, records, or other written or electronically stored information
to solicit, sell, or negotiate the renewal or sale of insurance coverage,
insurance products, or insurance services to the insured or for
any other marketing purposes, either directly or by providing such
information to others,
 without, separate from the general agency
contract, the written consent of the business entity.
However, such
expirations,
records, or other written or electronically stored information may be used
for any purpose necessary for placing such business through the
insurance producer including reviewing an application and issuing
or renewing a policy and for loss control services.
(d) With respect to a business entity, this Section
shall not apply:
(1) when the insured requests either orally or in     writing that another business entity obtain quotes for insurance from another insurance company or when the insured requests in writing individually or through another business entity, that the insurance company renew the policy;
(2) to policies in the Illinois Fair Plan, the     Illinois Automobile Insurance Plan, or the Illinois Assigned Risk Plan for coverage under the Workers' Compensation Act and the Workers' Occupational Diseases Act;
(3) when the insurance producer is employed by or has     agreed to act exclusively or primarily for one company or group of affiliated insurance companies or to a producer who submits to the company or group of affiliated companies that are organized to transact business in this State as a reciprocal company, as defined in Article IV of this Code, every request or application for insurance for the classes and lines underwritten by the company or group of affiliated companies;
(4) to policies providing life and accident and     health insurance;
(5) when the business entity is in default for     nonpayment of premiums under the contract with the insurer or is guilty of conversion of the insured's or insurer's premiums or its license is revoked by or surrendered to the Department;
(6) to any insurance company's obligations under     Sections 143.17 and 143.17a of this Code; or
(7) to any insurer that, separate from a producer or     business entity, creates, develops, compiles, and assembles its own, identifiable expirations as defined in subsection (a).
For purposes of this Section, an insurance producer shall be deemed to
have
agreed to act primarily for one company or a group of affiliated insurance
companies if the producer (i) receives 75% or more of his or her insurance
related commissions from one company or a group of affiliated companies or (ii)
places 75% or more of his or her policies with one company or a group of
affiliated companies.
Nothing in this Section prohibits an insurance company, with respect to any
items herein, from conveying to the insured or the business entity any
additional benefits or ownership rights including, but not limited to, the
ownership of expirations on any policy issued or the imposition of further
restrictions on the insurance company's use of the insured's personal
information.
(e) Nothing in this Section prevents a financial institution, as defined
in Section 1402 of this Code, from obtaining from the insured, the insurer, or
the business entity the expiration dates of an
insurance policy placed on
collateral or otherwise used as security in connection with a loan made or
serviced by the
financial institution when the financial institution requires the expiration
dates for evidence of insurance.
(f) For purposes of this Section, "financial institution" does not include
an insurance company, business entity, managing general
agent, surplus lines
broker, wholesale broker, group self-funded insurance fund, or third-party
administrator.
(g) The Director may adopt rules in accordance with Section
401 of this Code for the enforcement of this Section.
(h) This Section applies to the expirations relative to all policies of
insurance bound, applied for, sold, renewed, or otherwise taking effect on or
after
June 1, 2001.
(Source: P.A. 94-248, eff. 7-19-05.)
(215 ILCS 5/500-80)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-80. 
		Commissions.
(a) An insurer or insurance producer may not pay a commission, service fee,
brokerage, or other valuable consideration to a person for selling, soliciting,
or negotiating
insurance in this State if that person is required to be licensed under this
Article and is not so
licensed at the time of selling, soliciting, or negotiating the insurance.
(b) A person may not accept a commission, service fee, brokerage, or other
valuable
consideration for selling, soliciting, or negotiating insurance in this State
if that person is
required to be licensed under this Article and is not so licensed.
(c) Renewal or other deferred commissions may be paid to a person for
selling,
soliciting, or negotiating
insurance in this State if the person was required to be licensed under
this Article at the time of
the sale, solicitation, or negotiation and was so licensed at that time.
(d) An insurer or insurance producer may pay or assign commissions, service
fees,
brokerages, or other valuable consideration to an insurance agency or to
persons who do not sell,
solicit, or negotiate insurance in this State, unless the payment would violate
Section 151 of this
Code.
(e) When an insurance producer or business entity charges any fee or
compensation separate from commissions deductible from, or directly
attributable to, premiums on insurance
policies or contracts, it must comply with all of the following:
(1) It must provide written disclosure to the     consumer or contracting party that clearly specifies the amount or extent of the compensation or fee prior to the delivery of the corresponding policy.  A copy of the written disclosure must be maintained by the producer or business entity that collects the compensation or fee for a period of 7 years.
(2) If the combined compensation or fee exceeds 10%     of a directly attributable premium amount of a corresponding contract or policy, the disclosure must also include the signature of the consumer or contracting party acknowledging the compensation or fee.
(3) If an insurance policy or contract is cancelled     for any reason within 90 days following the inception date, the producer or business entity shall refund to the consumer a prorated portion of the fee or compensation within 30 days after the producer or business entity receives proper documentation that the corresponding insurance policy or contract has been cancelled. At no time shall a producer or business entity charge the consumer a fee or compensation for cancellation of any insurance policy or contract.
(4) If the policy file contains documentation that     the producer performed a service corresponding to the applicable coverage or policy and the written disclosure stated that the fees were fully earned, then those fees shall be fully earned at inception of the disclosure's execution.
(Source: P.A. 92-386, eff. 1-1-02; 92-587, eff. 6-26-02.)
(215 ILCS 5/500-85)
(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.)
(215 ILCS 5/500-90)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-90. 
		Reciprocity.
(a) The Director shall waive any requirements for a nonresident license
applicant
with a valid license from his or her home state, except the requirements
imposed by Section 500-40 of this Article, if the applicant's home state awards
nonresident licenses to residents of this
State on the same basis.
(b) A nonresident producer's satisfaction of his or her home state's
continuing
education
requirements for licensed insurance producers shall constitute satisfaction of
this
State's continuing
education requirements if the non-resident producer's home state recognizes
the satisfaction of
its continuing education requirements imposed upon producers from this State
on the same basis.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-95)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-95. 
		Reporting of actions. 
		An individual who, while licensed as an
insurance producer,
is convicted of a felony, must report the conviction to the Director within 30
days after the entry
date of the judgment.  Within that 30-day period, the individual must also
provide the Director
with a copy of the judgment, the probation or commitment order, and any other
relevant
documents.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-100)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-100. Limited lines producer license.
(a) An individual who is at least 18 years of age and whom the Director
considers to
be competent, trustworthy, and of good business reputation may obtain a limited
lines producer
license for one or more of the following classes:
(1) travel insurance, as defined in Section 500-10 of     this Article;
(2) industrial life insurance, as defined in Section     228 of this Code;
(3) industrial accident and health insurance, as     defined in Section 368 of this Code;
(4) insurance issued by a company organized under the     Farm Mutual Insurance Company Act of 1986;
(5) legal expense insurance;
(6) enrollment of recipients of public aid or     medicare in a health maintenance organization;
(7) a limited health care plan issued by an     organization having a certificate of authority under the Limited Health Service Organization Act;
(8) credit life and credit accident and health     insurance  and other credit insurance policies approved or permitted by the Director; a credit insurance company must conduct a training program in which an applicant shall receive basic instruction about the credit insurance products that he or she will be selling.
(b) The application for a limited lines producer license must be submitted
on a form
prescribed by the Director by a designee of the insurance company, health
maintenance
organization, or limited health service organization appointing the limited
insurance
representative.  The insurance company, health maintenance organization, or
limited health
service organization must pay the fee required by Section 500-135.
(c) A limited lines producer may represent more than one insurance company,
health
maintenance organization, or limited health service organization.
(d) An applicant who has met the requirements of this Section shall be
issued a
perpetual limited lines producer license.
(e) A limited lines producer license shall remain in effect as long as the
appointing
insurance company pays the respective fee required by Section 500-135 prior to
January 1 of
each year, unless the license is revoked or suspended pursuant to
Section 500-70.  Failure of the
insurance company to pay the license fee or to submit the required documents
shall cause
immediate termination of the limited line insurance producer license with
respect to which the
failure occurs.
(f) A limited lines producer license may be terminated by the insurance
company or
the licensee.
(g) A person whom the Director considers to be competent, trustworthy, and
of
good
business reputation may be issued a car rental limited line license. A car
rental limited line
license for a rental company shall remain in effect as long as the car rental
limited line licensee
pays the respective fee required by Section 500-135 prior to the next fee date
unless the car rental
license is revoked or suspended pursuant to Section 500-70.  Failure of the car
rental limited line
licensee to pay the license fee or to submit the required documents shall cause
immediate
suspension of the car rental limited line license. A car rental limited line
license for rental
companies may be voluntarily
terminated by the car rental limited line licensee. The license fee
shall not be refunded upon termination of the car rental limited line license
by the car rental
limited line licensee.
(g-5) A business entity may be issued  a limited lines producer license for credit life and credit accident and health insurance and other credit insurance policies approved or permitted by the Director, provided that:
(1) application for the limited lines producer     license for credit insurance is made on a form specified by the Director;
(2) the appointing insurance company has paid the     application fee amount required by the Director for the business entity's  application; and
(3) the business entity has designated an individual     with an in force limited license producer license issued under paragraph (8) of subsection (a) of this Section to be responsible for the business entity's compliance with the insurance laws and regulations of this State related to credit life and credit accident and health insurance and other credit insurance policies approved or permitted by the Director that are offered or sold by that business entity.
Except as specifically authorized by paragraph (8) of subsection (a) of this Section or this subsection (g-5), a business entity holding a limited lines license under this subsection (g-5) may not advertise, represent, or otherwise hold itself or any of its employees out as licensed insurers, insurance producers, insurance agents, or insurance brokers.
(h) A limited lines producer issued a license pursuant to this Section is
not
subject to
the requirements of Section 500-30.
(i) A limited lines producer license must contain the name, address and
personal
identification number of the licensee, the date the license was issued,
general conditions relative
to the license's expiration or termination, and any other information the
Director considers
proper.  A limited line producer license, if applicable, must also contain the
name and address of
the appointing insurance company.
(Source: P.A. 98-159, eff. 8-2-13; 98-756, eff. 7-16-14; 98-1165, eff. 6-1-15; 99-161, eff. 1-1-16.)
(215 ILCS 5/500-105)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-105. 
		Car rental limited line license for rental companies.
(a) A rental company must obtain a producer license or obtain a car rental
limited line
license before offering or selling insurance in connection with and incidental
to the rental of
vehicles.  The sale of the insurance may occur at the rental office or by
preselection of coverage
in a master, corporate, group rental, or individual agreement.  The following
general categories
of coverage may be offered or sold:
(1) personal accident insurance covering the risks of     travel including, but not limited to, accident and health insurance that provides coverage, as applicable, to renters and other rental vehicle occupants for accidental death or dismemberment and reimbursement for medical expenses resulting from an accident that occurs during the rental period;
(2) liability insurance, including uninsured and     underinsured motorist coverage, that provides coverage, as applicable, to renters and other authorized drivers of rental vehicles for liability arising from the operation of the rental vehicle;
(3) personal effects insurance that provides     coverage, as applicable, to renters and other vehicle occupants for the loss of, or damage to, personal effects that occurs during the rental period;
(4) roadside assistance and emergency sickness     protection programs; and
(5) any other travel or auto-related coverage that a     rental company offers in connection with and incidental to the rental of vehicles.
(b) Insurance may not be offered by a car rental limited line producer
pursuant to this
Section unless:
(1) the rental company has applied for and obtained a     car rental limited line license;
(2) the rental period of the rental agreement does     not exceed 30 consecutive days;
(3) at every rental location where rental agreements     are executed, brochures or other written materials are readily available to the prospective renter that:
(A) summarize clearly and correctly, the material         terms of coverage offered to renters, including the identity of the insurer;
(B) disclose that the coverage offered by the         rental company may provide a duplication of coverage already provided by a renter's personal automobile insurance policy, homeowner's insurance policy, personal liability insurance policy, or other source of coverage;
(C) state that the purchase by the renter of the         kinds of coverage specified in this Section is not required in order to rent a vehicle; and
(D) describe the process for filing a claim in         the event the renter elects to purchase coverage and in the event of a claim; and
(4) evidence of coverage in the rental agreement is     disclosed to every renter who elects to purchase such coverage.
(c) Car rental company franchisees must apply for a car rental limited line
license
independent of the franchisor if insurance provided pursuant to this Section is
offered by the
franchisee.
(d) A car rental limited line license issued under this Section shall also
authorize any
employee of the car rental
limited line licensee to act individually on behalf and
under the
supervision of the car rental limited line licensee with respect to the kinds
of coverage specified
in this Section.
(e) A rental company licensed pursuant to this Section must conduct a
training
program in which employees being trained shall receive basic instruction about
the kinds of
coverage specified in this Section and offered for purchase by  prospective
renters of rental
vehicles.
(f) Notwithstanding any other provision of this Section or any rule adopted
by the
Director, a car rental limited line producer pursuant to this Section is not
required to treat moneys
collected from renters purchasing insurance when renting vehicles as funds
received in a
fiduciary capacity, provided that the charges for coverage shall be itemized
and be ancillary to a
rental transaction.
(g) The sale of insurance not in conjunction with a rental transaction shall
not be
permitted.
(h) A car rental limited line producer under this Section may not advertise,
represent,
or otherwise hold itself or any of its employees out as licensed insurers,
insurance producers,
insurance agents, or insurance brokers.
(i) Direct commissions may not be paid to rental car company employees by
the
insurer or the customer purchasing insurance products.  The rental car company
may include
insurance products in an overall employee performance compensation incentive
program.
(j) An application for a car rental limited line license must be made on a
form
specified by the Director.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-107)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-107. 
		Self-service storage facility limited line license for
self-storage
facilities.
(a) Except as permitted by
subsection (j) of this Section, a
self-service storage facility must obtain a producer license or obtain
a
self-service storage facility limited line license before offering or selling
insurance in
connection with and incidental to the rental of storage space provided by a
self-service
storage facility. The sale of insurance may occur at the rental office or by
preselection of
coverage in a master, corporate, group rental, or individual agreement. The
following
general categories of coverage may be offered or sold:
(1) insurance that provides hazard insurance coverage     to renters for the loss of, or damage to, tangible personal property in storage or in transit during the rental period; or
(2) any other coverage the Director may approve as     meaningful and appropriate in connection with the rental of storage space.
(b) Insurance may not be offered by a self-service storage limited line
producer
pursuant to this Section unless:
(1) the self-service storage facility has applied for     and obtained a self-service storage facility limited line license;
(2) at every rental location where rental agreements     are executed, brochures or other written materials are readily available to the prospective renter that:
(A) summarize clearly and correctly the material         terms of coverage offered to renters, including the identity of the insurer;
(B) disclose that the coverage offered by the         self-service storage facility may provide a duplication of coverage already provided by the renter's personal homeowner's insurance policy, automobile insurance policy, personal liability insurance policy, or other source of coverage;
(C) state that the purchase by the renter of the         kinds of coverage specified in this Section is not required in order to rent storage space; and
(D) describe the process for filing a claim in         the event the consumer elects to purchase coverage and in the event of a claim; and
(3) evidence of coverage is provided to each renter     who elects to purchase the coverage.
(c) A self-service storage facility limited line license issued under this
Section
shall also authorize any employee of the self-service storage facility limited
line licensee
to act individually on behalf and under the supervision of the self-service
storage facility
limited line licensee with respect to the kinds of coverage specified in this
Section.
(d) A self-service storage facility licensed pursuant to this Section must
conduct a
training program in which employees being trained shall receive basic
instruction about
the kinds of coverage specified in this Section and offered for purchase by
prospective
renters of storage space.
(e) Notwithstanding any other provision of this Section or any rule adopted
by the
Director, a self-service storage facility limited line producer pursuant to
this Section is
not required to treat moneys collected from renters purchasing insurance when
renting
storage space as funds received in a fiduciary capacity, provided that the
charges for
coverage shall be itemized and ancillary to a rental transaction.
(f) The sale of insurance not in conjunction with a rental transaction shall
not be
permitted.
(g) A self-service storage facility limited line producer under this Section
may not
advertise, represent, or otherwise hold itself or any of its employees out as
licensed
insurers, insurance producers, insurance agents, or insurance brokers.
(h) Direct commissions may not be paid to self-service storage facility
employees
by the insurer or the customer purchasing insurance products. The self-service
storage
facility may include insurance products in an overall employee performance
compensation incentive program.
(i) An application for a self-service storage facility limited line license
must be
made on a form specified by the Director.
(j) Nothing contained in this Section
shall prohibit an unlicensed person from enrolling, issuing, or otherwise
distributing certificates
of insurance under a group master policy lawfully issued in this or another
state when:
(1) the enrollment or distribution is by an employee     of the group master policyholder;
(2) no commission is paid for such enrollment or     distribution;
(3) the distribution is incidental and ancillary to     the primary rental business of the group master policyholder; and
(4) the group master policy is sold to the group     master policyholder by a licensed producer.
(k) Nothing in this Section applies to or affects common carriers regulated
by
the Illinois Commerce Commission.
(Source: P.A. 93-288, eff. 1-1-04.)
(215 ILCS 5/500-108)
Sec. 500-108. (Repealed).
(Source: P.A. 98-1165, eff. 6-1-15. Repealed by P.A. 102-212, eff. 10-28-21.)
(215 ILCS 5/500-110)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-110. 
		Regulatory examinations.
(a) The Director may examine any applicant for or holder of an insurance
producer
license, limited line producer license or
temporary insurance producer license or any business
entity.
(b) All persons being examined, as well
as their officers, directors, insurance
producers, limited lines producers, and temporary
insurance producers must provide to the
Director convenient and free access, at all reasonable
hours at their offices, to all books, records,
documents, and other papers relating to the persons' insurance business
affairs.  The officers,
directors, insurance producers, limited
lines producers, temporary insurance producers, and
employees must facilitate and aid
the Director in the examinations as much as it is in their power
to do so.
(c) The Director may designate an examiner or examiners to conduct any
examination under this Section.  The Director or his or her designee may
administer oaths and
examine under oath any individual relative to the business of the person being
examined.
(d) The examiners designated by the Director under this Section may make
reports to
the Director. A report alleging substantive violations of this Article or any
rules prescribed by
the Director must be in writing and be based upon facts
ascertained from the books, records,
documents, papers, and other evidence obtained by the
examiners or from sworn or affirmed
testimony of or written affidavits from the person's
officers, directors, insurance producers,
limited lines producer, temporary insurance producers,
or employees or other individuals, as
given to the examiners.  The report of an examination
must be verified by the examiners.
(e) If a report is made, the Director must either
deliver a duplicate of the report to the
person being examined or send the duplicate by
certified or registered mail to the person's
address of record.  The Director shall afford
the person an opportunity to demand a hearing with
reference to the facts and other evidence contained
in the report.  The person may request a
hearing within 14 calendar days after he or she receives
the duplicate of the examination report
by giving the Director written notice of that request,
together with a written statement of the
person's objections to the report.  The Director must,
if requested to do so, conduct a hearing in
accordance with Sections 402 and 403 of this Code.  The
Director must issue a written order
based upon the examination report and upon the hearing, if
a hearing is held, within 90 days after
the report is filed, or within 90 days after the hearing if
a hearing is held.  If the report is refused
or otherwise undeliverable, or a hearing is not requested in
a timely fashion, the right to a hearing
is waived.  After the hearing or the expiration of the time
period in which a person may request a
hearing, if the examination reveals that the person is operating
in violation of any law, rule, or
prior order, the Director in the written
order may require the person to take any action the
Director considers necessary or appropriate
in accordance with the report or examination hearing.
The order is subject to review under the
Administrative Review Law.
(f) The Director may adopt reasonable rules
to further the purposes of this Section.
(g) A person who violates or aids and abets
any violation of a written order
issued
under this Section shall be guilty of a business
offense and his or her license
may be revoked or
suspended pursuant to Section 500-70 of this
Article and he or she may be subjected to a civil penalty of
not more than
$20,000.
(Source: P.A. 92-386, eff. 1-1-02; 93-32, eff. 7-1-03.)
(215 ILCS 5/500-115)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-115. 
		Financial responsibilities.
(a) Any money that an insurance producer, limited line producer, temporary
insurance producer, business entity, or surplus line producer receives for
soliciting, negotiating,
effecting, procuring, renewing,
continuing, or binding policies of insurance shall be held in a
fiduciary capacity and shall not
be misappropriated, converted, or improperly withheld.  An
insurance company that delivers to
any insurance producer in this State a policy or contract for
insurance pursuant to the application
or request of an insurance producer, authorizes the producer
to collect or receive on its behalf payment
of any premium that is due on the policy or contract for
insurance at the time of its issuance or delivery and any premium that becomes
due on the policy
or contract not more than 90 days thereafter.
(b) An insurer that issues a policy of insurance shall be deemed to have
received
payment of the premium
if the insured paid any insurance producer requesting the coverage.  The
insurer shall be responsible
to the insured for any return premium.
(c) In the case of open
accounts receivable with the balance payable to an insurance
producer within a specified
period of 90 days or less, where the balance is not fully paid within
that period, a late charge
not exceeding 1.5% per month may be added by the insurance producer
to the unpaid balance to induce
payment of the premium.
(d) If an insurance producer or surplus line producer knowingly
misappropriates or converts to his or her own use or illegally withholds
fiduciary moneys in the amount of $150 or less, he or she is guilty of a Class
A misdemeanor for a first offense and a Class 4 felony for subsequent
conversions, misappropriations, and withholdings of that nature.  If an
insurance producer or surplus line producer knowingly misappropriates or
converts to his or her own use or illegally withholds premiums in excess of
$150, he or she is guilty of a Class 3 felony.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-120)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-120. 
		Conflicts of interest; inactive status.
(a) A person, partnership, association, or
corporation licensed by the
Department
who, due to employment with any unit of government
that would cause a conflict
of interest with
the holding of that license, notifies the Director
in writing on forms
prescribed by the Department
and, subject to rules of the Department, makes payment
of applicable licensing
renewal fees, may
elect to place the license on an inactive status.
(b) A licensee whose license is on inactive status
may have the license
restored by
making application to the Department on such form as may
be prescribed by the
Department.
The application must be accompanied with a fee of $100 plus
the current
applicable license fee.
(c) A license may be placed on inactive status for a 2-year period, and upon
request,
the inactive status may be extended for a successive 2-year period not to
exceed a cumulative 4-year inactive period.  After a license has been  on
inactive status for 4 years or more, the licensee
must meet all of the standards required of a new applicant before the license
may be restored to
active status.
(d) If requests for inactive
status are not renewed as set forth in subsection
(c), the
license will be taken off the inactive status and the license will lapse
immediately.
(Source: P.A. 92-386, eff. 1-1-02; 93-32, eff. 7-1-03.)
(215 ILCS 5/500-125)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-125. 
		Controlled business.
(a) An insurance producer license may not be granted or extended to any
person if the
Director has reasonable cause to believe:
(1) that during either of the 2 calendar years     immediately preceding the extension date of the license the aggregate amount of premiums on insurance represented by controlled business exceeded the aggregate amount of premiums on all other insurance business of the licensee; or
(2) that during the 12-month period immediately     following the issuance or extension of the license, if so issued or extended, the aggregate amount of premiums on controlled business would exceed the aggregate amount of premiums on all other insurance business of the applicant or licensee.
(b) Controlled business means insurance procured or to be procured by or
through the
person upon:
(1) his own life, person, property or risks, or those     of his spouse; or
(2) the life, person, property, or risks of his     employer or his own business.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-130)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-130. Bond required of insurance producers.
(a) An insurance producer who places insurance either directly or indirectly
with an
insurer with which the insurance producer does not have an agency contract must
maintain in force
while licensed a bond in favor of the people of the
State of Illinois executed by an authorized
surety company and payable to any party injured under
the terms of the bond.  The bond shall be
continuous in form and in the amount of $2,500 or 5% of
the premiums brokered in the previous
calendar year, whichever is greater, but not to exceed
$50,000 total aggregate liability. The bond
shall be conditioned upon full accounting and due payment
to the person or company entitled
thereto, of funds coming into the insurance producer's
possession as an incident to insurance
transactions under the license or surplus line insurance
transactions under the license as a surplus
line producer.
(b) Authorized insurance producers of a business entity may
meet the requirements of this
Section with a bond in the name of the business entity,
continuous in form, and in the amounts
set forth in subsection (a) of this Section.  Insurance
producers may meet the requirements of this
Section with a bond in the name of an  association.  An
individual producer remains responsible
for assuring  that a producer bond is in effect and is for
the correct amount.  The association must
have been in existence for 5 years, have common membership,
and been formed for a purpose
other than obtaining a bond.
(c) The surety may cancel the bond and be released from further
liability thereunder upon
30 days' written notice in advance to the principal. The
cancellation does not affect any liability
incurred or accrued under the bond before the termination
of the 30-day period.
(d) The producer's license may be revoked if the producer acts without a
bond that is
required under this Section.
(e) If a party injured under the terms of the bond requests the producer to
provide the
name of the surety and the bond number, the producer must provide the
information within 3
working days after receiving the request.
(f) An association may meet the requirements of this Section for all of its
members with a
bond in the name of the association that is continuous in form and in the
amounts set forth in
subsection (a) of this Section.
(Source: P.A. 102-135, eff. 7-23-21.)
(215 ILCS 5/500-135)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-135. Fees.
(a) The fees required by this Article are as follows:
(1) a fee of $215 for a person who is a resident of     Illinois, and $380  for a person who is not a resident of Illinois, payable once every 2 years for an insurance producer license;
(2) a fee of $50 for the issuance of a temporary     insurance producer license;
(3) a fee of $150 payable once every 2 years for a     business entity;
(4) an annual $50 fee for a limited line producer     license issued under items (1) through (8) of subsection (a) of Section 500-100;
(5) a $50 application fee for the processing of a     request to take the written examination for an insurance producer license;
(6) an annual registration fee of $1,000 for     registration of an education provider;
(7) a certification fee of $50 for each certified     pre-licensing or continuing education course and an annual fee of $20 for renewing the certification of each such course;
(8) a fee of $215 for a person who is a resident of     Illinois, and $380  for a person who is not a resident of Illinois, payable once every 2 years for a car rental limited line license;
(9) a fee of $200 payable once every 2 years for a     limited lines license other than the licenses issued under items (1) through (8) of subsection (a) of Section 500-100, a car rental limited line license, or a self-service storage facility limited line license;
(10) a fee of $50 payable once every 2 years for a     self-service storage facility limited line license.
(a-5)    Beginning on July 1, 2021, an amount equal to the additional amount of revenue collected under paragraphs (1) and (8) of subsection (a) as a result of the increase in the fees under this amendatory Act of the 102nd General Assembly shall be transferred annually, with 10% of that amount paid into the State Police Training and Academy Fund and 90% of that amount paid into the Law Enforcement Training Fund.
(b) Except as otherwise provided, all
fees paid to and collected by the Director under
this Section shall be paid promptly after receipt thereof, together with a
detailed statement of
such fees, into a special fund in the State Treasury to be known as the
Insurance Producer
Administration Fund.  The moneys deposited into the  Insurance Producer
Administration Fund
may be used only for payment of the expenses of the Department in the
execution,
administration, and enforcement of the insurance laws of this State, and shall
be appropriated as
otherwise provided by law for the payment of those expenses with first priority
being any
expenses incident to or associated with the administration and enforcement of
this Article.
(Source: P.A. 102-16, eff. 6-17-21.)
(215 ILCS 5/500-140)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-140. Injunctive relief. A person required to be licensed under
this Article but failing to
obtain a valid and current license under this Article constitutes a public
nuisance.  The Director
may report the failure to obtain a license to the Attorney General, whose duty
it is to apply
forthwith by complaint on relation of the Director in the name of the people of
the State of
Illinois, for injunctive relief in the circuit court of the county where the
failure to obtain a license
occurred to enjoin that person from acting in any capacity that requires such a license.  Upon the
filing of a verified
petition in the court, the court, if satisfied by affidavit or otherwise that
the person is required to
have a license and does not
have a valid and current license, may enter a temporary restraining
order without notice or bond,
enjoining the defendant from acting in any capacity that requires such
license.  A copy of the verified
complaint shall be served upon the defendant, and the
proceedings shall thereafter be
conducted as in other civil cases.  If it is established that the
defendant has been, or is engaged
in any unlawful practice, the court may enter an order or
judgment perpetually enjoining the
defendant from further engaging in such practice.  In all
proceedings brought under this Section,
the court, in its discretion, may apportion the costs
among the parties, including the cost of
filing the complaint, service of process, witness fees and
expenses, court reporter charges, and
reasonable attorney fees.  In case of the violation of any
injunctive order entered under the provisions of this Section,
the court may summarily try and
punish the offender for contempt of court.  The injunctive relief
available
under this Section is in
addition to and not in lieu of all other penalties and remedies provided in
this Code.
(Source: P.A. 103-426, eff. 8-4-23.)
(215 ILCS 5/500-145)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-145. 
		Rules. 
		The Director may, in accordance with Section 401 of
this
Code, promulgate
reasonable rules as are necessary or proper to carry out the purposes of this
Article.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-150)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-150. 
		Severability. 
		The provisions of this Article are severable
under Section 1.31 of
the Statute on Statutes.
(Source: P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/500-155)
(Section scheduled to be repealed on January 1, 2027)
Sec. 500-155. Disclosure. A policy the solicitation of which involves an
insurance producer,
limited insurance representative, or temporary insurance producer must identify
the name of the
producer, representative, or firm.  An individual life or accident and health
application and a
master policy application for life or accident and health group coverages must
bear the name and
signature of the licensee who solicited and wrote the application.
(Source: P.A. 97-207, eff. 7-28-11.)
(215 ILCS 5/500.1) (from Ch. 73, par. 1065.47-1)
Sec. 500.1. 
		(Repealed).
(Source: P.A. 85-334. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/501.2) (from Ch. 73, par. 1065.48-2)
Sec. 501.2. 
		(Repealed).
(Source: P.A. 83-801. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/502.2) (from Ch. 73, par. 1065.49-2)
Sec. 502.2. 
		(Repealed).
(Source: P.A. 83-801. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/503.1) (from Ch. 73, par. 1065.50-1)
Sec. 503.1. 
		(Repealed).
(Source: P.A. 83-801. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/504) (from Ch. 73, par. 1065.51)
Sec. 504. 
		(Repealed).
(Source: P.A. 83-1007. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/504.1) (from Ch. 73, par. 1065.51-1)
Sec. 504.1. 
		(Repealed).
(Source: P.A. 83-1299. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/505.1) (from Ch. 73, par. 1065.52-1)
Sec. 505.1. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/505.2) (from Ch. 73, par. 1065.52-2)
Sec. 505.2. 
		(Repealed).
(Source: P.A. 86-905. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/506.1) (from Ch. 73, par. 1065.53-1)
Sec. 506.1. 
		(Repealed).
(Source: P.A. 83-1299. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/507.1) (from Ch. 73, par. 1065.54-1)
Sec. 507.1. 
		(Repealed).
(Source: P.A. 88-313. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/507.2)
(Section scheduled to be repealed on January 1, 2027)
Sec. 507.2. 
		Policyholder information and exclusive ownership
of expirations.
(a) As used in this Section, "expirations" means all
information relative to an insurance policy including, but not
limited to, the name and address of the insured, the location and
description of the property insured, the value of the insurance
policy, the inception date, the renewal date, and the expiration date of the
insurance policy, the premiums, the limits and a description of
the
terms and coverage
of
the insurance policy, and any other personal and privileged information, as
defined by Section 1003 of this Code,
compiled by a registered firm or furnished by the insured to
the insurer or any agent, contractor, or representative of the insurer.
For purposes of this Section only, a registered firm also includes a sole
proprietorship that transacts the
business of insurance as an insurance agency.
(b) All "expirations" as defined in subsection (a) of this Section shall be
mutually and exclusively owned by the insured and the registered firm.  The
limitations on the use of expirations as provided in subsections (c) and (d) of
this Section shall be for mutual benefit of the insured and the registered
firm.
(c) Except as otherwise provided in this Section, for
purposes of soliciting, selling, or negotiating the renewal or
sale of insurance coverage, insurance products, or insurance
services or for any other marketing purpose, a registered firm shall own
and have the exclusive
use of expirations, records, and other written or electronically
stored information directly related to an insurance application
submitted by, or an insurance policy written through, the
registered firm. No insurance company, managing general agent, surplus
lines insurance broker, wholesale broker, group self-insurance
fund, third-party administrator, or any other entity, other than a financial
institution as defined in Section 1402 of this Code, shall use
such expirations,
records, or other written or electronically stored information to solicit,
sell, or negotiate the renewal or sale of insurance coverage,
insurance products, or insurance services to the insured or for
any other marketing purposes, either directly or by providing such
information to others,
 without, separate from the general agency
contract, the written consent of the registered firm. However, such
expirations,
records, or other written or electronically stored information may be used
for any purpose necessary for placing such business through the
insurance producer including reviewing an application and issuing
or renewing a policy and for loss control services.
(d) With respect to a registered firm, this Section shall not apply:
(1) when the insured requests either orally or in     writing that another registered firm obtain quotes for insurance from another insurance company or when the insured requests in writing individually or through another registered firm, that the insurance company renew the policy;
(2) to policies in the Illinois Fair Plan, the     Illinois Automobile Insurance Plan, or the Illinois Assigned Risk Plan for coverage under the Workers' Compensation Act and the Workers' Occupational Diseases Act;
(3) when the insurance producer is employed by or has     agreed to act exclusively or primarily for one company or group of affiliated insurance companies or to a producer who submits to the company or group of affiliated companies that are organized to transact business in this State as a reciprocal company, as defined in Article IV of this Code, every request or application for insurance for the classes and lines underwritten by the company or group of affiliated companies;
(4) to policies providing life and accident and     health insurance;
(5) when the registered firm is in default for     nonpayment of premiums under the contract with the insurer or is guilty of conversion of the insured's or insurer's premiums or its license is revoked by or surrendered to the Department;
(6) to any insurance company's obligations under     Sections 143.17 and 143.17a of this Code; or
(7) to any insurer that, separate from a producer or     registered firm, creates, develops, compiles, and assembles its own, identifiable expirations as defined in subsection (a).
For purposes of this Section, an insurance producer shall be deemed to
have
agreed to act primarily for one company or a group of affiliated insurance
companies if the producer (i) receives 75% or more of his or her insurance
related commissions from one company or a group of affiliated companies or (ii)
places 75% or more of his or her policies with one company or a group of
affiliated companies.
Nothing in this Section prohibits an insurance company, with respect to any
items herein, from conveying to the insured or the registered firm any
additional benefits or ownership rights including, but not limited to, the
ownership of expirations on any policy issued or the imposition of further
restrictions on the insurance company's use of the insured's personal
information.
(e) Nothing in this Section prevents a financial institution, as defined
in Section 1402 of this Code, from obtaining from the insured, the insurer, or
the registered firm the expiration dates of an insurance policy placed on
collateral or otherwise used as security in connection with a loan made or
serviced by the
financial institution when the financial institution requires the expiration
dates for evidence of insurance.
(f) For purposes of this Section, "financial institution" does not include
an insurance company, registered firm, managing general agent, surplus lines
broker, wholesale broker, group self-funded insurance fund, or third-party
administrator.
(g) The Director may adopt rules in accordance with Section
401 of this Code for the enforcement of this Section.
(h) This Section applies to the expirations relative to all policies of
insurance bound, applied for, sold, renewed, or otherwise taking effect on or
after
the effective date of this amendatory Act of the 92nd General Assembly.
(Source: P.A. 92-5, eff. 6-1-01.)
(215 ILCS 5/508.1) (from Ch. 73, par. 1065.55-1)
Sec. 508.1. 
		(Repealed).
(Source: P.A. 85-334. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/508.2) (from Ch. 73, par. 1065.55-2)
Sec. 508.2. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/509.1) (from Ch. 73, par. 1065.56-1)
Sec. 509.1. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/510.2) (from Ch. 73, par. 1065.57-2)
Sec. 510.2. 
		(Repealed).
(Source: P.A. 91-234, eff. 1-1-00. Repealed by P.A. 92-386, eff. 1-1-02.)
(215 ILCS 5/511.1) (from Ch. 73, par. 1065.58-1)
Sec. 511.1. 
		(Repealed).
(Source: P.A. 84-548. Repealed by P.A. 92-386, eff. 1-1-02.)