CORPORATE OPPORTUNITIES

Illinois General Assembly - Full Text of HB4273

Select Language

×

The Illinois General Assembly offers the Google Translate™ service for visitor convenience. In no way should it be considered accurate as to the translation of any content herein.

Visitors of the Illinois General Assembly website are encouraged to use other translation services available on the internet.

The English language version is always the official and authoritative version of this website.

NOTE: To return to the original English language version, select the "Show Original" button on the Google Translate™ menu bar at the top of the window.

Choose Language

English

Afrikaans

Albanian

Arabic

Armenian

Azerbaijani

Basque

Bengali

Bosnian

Catalan

Croatian

Czech

Danish

Dutch

Esperanto

Estonian

Filipino

Finnish

French

Galician

Georgian

German

Greek

Gujarati

Haitian Creole

Hausa

Hawaiian

Hebrew

Hindi

Hungarian

Icelandic

Indonesian

Interlingua

Interlingue

Inuktitut

Irish

Italian

Japanese

Javanese

Kannada

Khmer

Korean

Latin

Latvian

Lithuanian

Luxembourgish

Macedonian

Malagasy

Malayalam

Maltese

Maori

Marathi

Myanmar

Nepali

Norwegian

Odia

Pashto

Punjabi

Romanian

Russian

Samoan

Sango

Sanskrit

Sardinian

Sindhi

Sinhala

Slovak

Slovenian

Somali

Southern Sotho

Spanish

Sundanese

Swahili

Swedish

Tamil

Telugu

Thai

Tigrinya

Tonga

Turkish

Ukrainian

Urdu

Vietnamese

Welsh

Xhosa

Yiddish

Yoruba

Zulu

Powered by
Translate

Close

Illinois General Assembly

Top Navigation Bar

Translate

Learn

Select General Assembly

Search the 104th General Assembly

Enter search terms for legislation, members, committees, or schedules.

ILGA.GOV

LEGISLATION & LAWS

Bills & Resolutions

Public Acts

Illinois Compiled Statutes

Illinois Constitution

Search Legislation

Glossary

Guide

Reports & Inquiry

Legislative Reports

Special Reports

FTP Site

Legislator Lookup

Capitol Complex Phone Numbers

Rules & Regulations

Illinois Register

Administrative Rules

Senate

Members

Schedules

Committees

Request for Remote Testimony

Journals

Transcripts

Rules

Audio/Video

FOIA Information

Senate Employment Opportunities

Media Guidelines

House

Members

Schedules

Committees

Submit testimony for House Committees

Journals

Transcripts

Rules

Audio/Video

FOIA Information

House Employment Opportunities

Log In

Mobile Top Bar

Search the 104th General Assembly

Enter keywords to search the Illinois General Assembly website.

Full Text of HB4273

Home

Legislation

Full Text

HB4273 - 104th General Assembly

Bill Status

Full Text

Votes

Witness Slips

Select Menu

Bill Status

Full Text

Votes

Witness Slips

Printer Friendly Version

Introduced

Engrossed

Enrolled

Senate Amendment 001

Printer Friendly Version

Introduced

Engrossed

Enrolled

Senate Amendment 001

Open PDF

HB4273 Enrolled
LRB104 17031 SPS 30446 b
1

AN ACT concerning business.

2

Be it enacted by the People of the State of Illinois,
3
represented in the General Assembly:

4

Section 5.
The Illinois Insurance Code is amended by
5
changing Sections 143.17 and 143.29 and by adding Article
6
XLVIII as follows:

7

(215 ILCS 5/143.17)

(from Ch. 73, par. 755.17)
8

Sec. 143.17.
Notice of intention not to renew.
9

a. No company shall fail to renew any policy of insurance,
10
as defined in subsections (a), (b), (c), and (h) of Section
11
143.13, to which Section 143.11 applies, unless it shall send
12
by mail to the named insured at least 30 days advance notice of
13
its intention not to renew. The company shall maintain proof
14
of mailing of such notice on a recognized U.S. Post Office form
15
or a form acceptable to the U. S. Post Office or other
16
commercial mail delivery service. The nonrenewal shall not
17
become effective until at least 30 days from the proof of
18
mailing date of the notice to the name insured. Notification
19
shall also be sent to the insured's broker, if known, or the
20
agent of record, if known, and to the last known mortgagee or
21
lien holder. For purposes of this Section, the mortgagee or
22
lien holder, insured's broker, or the agent of record may opt
23
to accept notification electronically. However, where

HB4273 Enrolled
- 2 -
LRB104 17031 SPS 30446 b
1
cancellation is for nonpayment of premium, the notice of
2
cancellation must be mailed at least 10 days before the
3
effective date of the cancellation.
4

b. This Section does not apply if the company has
5
manifested its willingness to renew directly to the named
6
insured. Such written notice shall specify the premium amount
7
payable, including any premium payment plan available, and the
8
name of any person or persons, if any, authorized to receive
9
payment on behalf of the company. If no person is so
10
authorized, the premium notice shall so state.
11

b-5. This Section does not apply if the company manifested
12
its willingness to renew directly to the named insured.
13
However,
no company may impose renewal premium increases of
14
more than 10% for lines of business enumerated in subsection
15
(b) of Section 143.13 to which Section 143.11 applies unless
16
the company mails or delivers by electronic means, in
17
compliance with Section 143.34, to the named insured the
18
increase in renewal premium at least 60 days prior to the
19
renewal or anniversary date. No

no
company may impose changes
20
in deductibles or coverage for any policy forms applicable to
21
an entire line of business enumerated in subsections (a), (b),
22
(c), and (h) of Section 143.13 to which Section 143.11 applies
23
unless the company mails
or delivers by electronic means, in
24
compliance with Section 143.34,
to the named insured written
25
notice of the change in deductible or coverage at least 60 days
26
prior to the renewal or anniversary date.
For purposes of this

HB4273 Enrolled
- 3 -
LRB104 17031 SPS 30446 b
1
subsection, "lines of business enumerated in subsection (b) of
2
Section 143.13 to which Section 143.11 applies" does not
3
include lines of business excluded under paragraph (1), (2),
4
(3), or (4) of Section 1802.

5

Notice shall also be sent to the insured's broker, if
6
known, or the agent of record.
For purposes of this subsection
7
b-5, policyholder-initiated changes to coverage and exposure
8
changes are not included in the renewal premium increases that
9
require a company to provide notice to the insured.

10

c. Should a company fail to comply with (a) or (b) of this
11
Section, the policy shall terminate only on the effective date
12
of any similar insurance procured by the insured with respect
13
to the same subject or location designated in both policies.
14

d. Renewal of a policy does not constitute a waiver or
15
estoppel with respect to grounds for cancellation which
16
existed before the effective date of such renewal.
17

e. In all notices of intention not to renew any policy of
18
insurance, as defined in Section 143.11 the company shall
19
provide the named insured a specific explanation of the
20
reasons for nonrenewal.
21

f. For purposes of this Section, the insured's broker, if
22
known, or the agent of record and the mortgagee or lien holder
23
may opt to accept notification electronically.
24

g. The changes made to this Section by this amendatory Act
25
of the 104th General Assembly apply to renewal premium notices
26
sent on or after July 1, 2027.

HB4273 Enrolled
- 4 -
LRB104 17031 SPS 30446 b
1
(Source: P.A. 100-475, eff. 1-1-18
.)

2

(215 ILCS 5/Art. XLVIII heading new)
3
ARTICLE XLVIII.

RATES FOR FIRE AND EXTENDED COVERAGE INSURANCE

4

(215 ILCS 5/1801 new)
5

Sec. 1801.
Purpose.
The purpose of this Article is to
6
promote the public welfare by regulating fire and extended
7
coverage insurance rates so that the rates will not be
8
excessive, inadequate, or unfairly discriminatory. Nothing in
9
this Article is intended to prohibit or discourage reasonable
10
competition or to authorize or encourage, except to the extent
11
necessary to accomplish the purpose of this Article,
12
uniformity in insurance rates, rating systems, rating plans,
13
or practices. This Article shall be liberally construed to
14
carry into effect the provisions of this Section.

15

(215 ILCS 5/1802 new)
16

Sec. 1802.
Applicability.

17

(a) This Article applies to policies of fire and extended
18
coverage insurance, as defined in subsection (b) of Section
19
143.13 of this Code, to which Section 143.11 of this Code
20
applies. This Article does not apply to the following:
21

(1) policies for any commercial liability and property
22

insurance;
23

(2) policies for a structure, all or part of which is

HB4273 Enrolled
- 5 -
LRB104 17031 SPS 30446 b
1

leased or rented, regardless of whether the insured
2

occupied all or part of the structure as a primary
3

residence;
4

(3) policies for a structure that is unoccupied and
5

intended by the insured to be sold, leased, or rented or
6

policies for a structure that is unoccupied and under
7

active construction, renovation, or substantial
8

improvement and that is intended by the insured to be
9

sold, leased, or rented; and
10

(4) policies for a home or dwelling that is part of a
11

farm policy, regardless of whether the insured owned the
12

dwelling or occupied the dwelling as a primary residence.
13

(b) The provisions of this Article apply only to filings
14
made on or after July 1, 2027.

15

(215 ILCS 5/1803 new)
16

Sec. 1803.
Rate standards; excessive, inadequate, or
17
unfairly discriminatory.

18

(a) Rates shall not be excessive, inadequate, or unfairly
19
discriminatory.
20

(b) A rate is inadequate if it endangers the solvency of
21
the insurer.
22

(c) A rate is unfairly discriminatory if, after allowing
23
for practical limitations, the price differentials fail to
24
reflect the difference in expected losses and expenses. A rate
25
is not unfairly discriminatory if different rates result for

HB4273 Enrolled
- 6 -
LRB104 17031 SPS 30446 b
1
policyholders with similar loss exposures but different
2
expenses, or similar expenses but different loss exposures, so
3
long as the rate reflects the differences with reasonable
4
accuracy.
5

(d) A rate is reasonable and not excessive, inadequate, or
6
unfairly discriminatory if it is an actuarially sound estimate
7
of the expected value of all future costs associated with an
8
individual risk transfer.

9

(215 ILCS 5/1804 new)
10

Sec. 1804.
Determinations and notice; hearing.

11

(a) If the Department determines via actuarial review that
12
a filing is excessive, inadequate, or unfairly discriminatory
13
pursuant to Section 1803, the Department shall send the
14
company notice, within 60 days after receipt of a complete
15
filing, either via the System for Electronic Rates and Forms
16
Filing (SERFF) or another filing system determined by the
17
Department, specifying: (1) in what respects the filing fails
18
to meet the requirements of this Article and (2) if
19
applicable, any modifications that are required. The notice
20
shall specify a reasonable period after which the filing is no
21
longer effective if the company fails to timely request a
22
hearing under subsection (b). If the company timely requests a
23
hearing under subsection (b), the filing shall remain in
24
effect until the conclusion of the hearing and a final order is
25
issued. If the Department finds that a rate is excessive,

HB4273 Enrolled
- 7 -
LRB104 17031 SPS 30446 b
1
inadequate, or unfairly discriminatory pursuant to this
2
Article, the final order may specify a reasonable period after
3
which the filing is no longer effective and any rebates that
4
must be remitted to affected consumers. Failure of the
5
Department to provide timely notice under this Section within
6
60 days after the receipt of a complete filing as defined in
7
subsection (d) shall result in the filing being deemed
8
compliant with this Article. The 60-day period in which the
9
Department is authorized under this Section to determine a
10
filing is excessive, inadequate, or unfairly discriminatory is
11
neither waivable nor subject to extension.
12

(b) The company may request a hearing on the notice within
13
30 days after receipt. Failure to request a hearing within 30
14
days shall be deemed the company's acceptance of the
15
Department's determination. Failure by the Department to hold
16
the requested hearing within 60 days of request, and to
17
resolve the outcome of the hearing within 90 days of the
18
hearing date or the filing of post-briefing submissions
19
allowed by the Hearing Officer, whichever is later, shall
20
result in the dismissal of the Department's notice and shall
21
cause the filing to remain in effect.

22

(c) The action of the Director in objecting to a filing
23
under this Article is subject to judicial review under the
24
Administrative Review Law.

25

(d) A complete filing consists of a rate filing that
26
contains all new or revised rates, a new or revised rate manual

HB4273 Enrolled
- 8 -
LRB104 17031 SPS 30446 b
1
that includes new or revised rate manual rules, and any
2
experience, judgment, and interpretation of the statistical
3
data relied upon by the company. If the Department finds that
4
the filing is incomplete, then the Department must provide
5
notice to the company within 15 days after receipt of the
6
filing or the filing is deemed complete. The notice must set
7
forth the documents or other information that is required to
8
complete the filing. If such notice is provided, the filing is
9
deemed complete after the additional information specified by
10
the Department in its notice is provided by the company to the
11
Department.

12

(215 ILCS 5/1805 new)
13

Sec. 1805.
Prohibition on cost-shifting.
Credible
14
State-specific loss experience shall be used in the
15
development of rates whenever such data is available and
16
statistically reliable. To meet actuarial standards of
17
credibility, insurers may supplement State-specific loss
18
experience with countrywide, regional, or out-of-state loss
19
experience. Nothing in this Section shall apply to rating
20
relativity development during ratemaking. This Section shall
21
only apply to companies issuing policies that are subject to
22
this Article.

23

Section 99.
Effective date.
This Act takes effect July 1,
24
2027.

Footer

Disclaimer

This site is maintained for the Illinois General Assembly by the
Legislative Information System, 705 Stratton Building, Springfield, Illinois 62706.

Contact ILGA Webmaster

ILGA.gov uses cookies to ensure you get the best experience on our website. By continuing to browse ILGA.gov you consent to our use of cookies.
Read About Cookies

ILGA.GOV

2026 ILGA.gov | All Rights Reserved |
ADA

|
Disclaimers
|
Learn

This site is maintained for the Illinois General Assembly by the
Legislative Information System, 705 Stratton Building, Springfield, Illinois 62706.
Contact ILGA Webmaster

ILGA.gov uses cookies to ensure you get the best experience on our website. By continuing to browse ILGA.gov you consent to our use of cookies.
Read About Cookies

ILGA.GOV

2026 ILGA.gov | All Rights Reserved |
ADA

|
Disclaimers
|
Learn