97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
SB3825

 

Introduced 2/10/2012, by Sen. Kwame Raoul

 

SYNOPSIS AS INTRODUCED:
 
New Act

    Creates the Workers' Compensation Insurance Fund Act. Creates the Workers' Compensation Insurance State Fund as an independent body corporate and politic for the purpose of insuring employers against liability for compensation under the Workers' Compensation Act. Provides that the Fund shall be administered by the Department of Insurance without liability on the part of the State.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB3825LRB097 18124 JLS 63348 b

1    AN ACT concerning workers' compensation insurance.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the
5Workers' Compensation Insurance Fund Act.
 
6    Section 5. Creation of the Workers' Compensation Insurance
7State Fund.
8    (a) There is hereby created an independent body corporate
9and politic to be known as the Workers' Compensation Insurance
10State Fund for the purpose of insuring employers against
11liability for compensation under the Workers' Compensation
12Act. The Fund shall consist of all premiums and penalties
13received and paid into the Fund, of property and securities
14acquired by and through the use of money belonging to the Fund,
15and of interest earned upon money belonging to the Fund and
16deposited or invested.
17    (b) The Fund shall be administered by the Department of
18Insurance without liability on the part of the State. The Fund
19shall be applicable to the payment of losses sustained on
20account of insurance and to the payment of compensation under
21the Workers' Compensation Act and of expenses of administering
22the Fund.
23    (c) The Director of Insurance shall appoint 5 persons to be

 

 

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1the board of directors of the Workers' Compensation Insurance
2State Fund and shall appoint a chairman from the 5 directors.
3The directors shall be appointed for terms of 4 years, except
4that all vacancies shall be filled for the unexpired term,
5provided that the first 2 appointments that the Director makes
6after the effective date of this Act shall serve a term of 2
7years and the other 3 members shall serve a term of 4 years.
8Thereafter, a member shall serve a term of 4 years. The members
9of the board of directors shall appoint a manager of the
10Workers' Compensation Insurance State Fund who shall serve at
11their pleasure and such other officers and employees as they
12may require for the performance of their duties and shall
13prescribe the duties and compensation of each officer and
14employee.
15    (d) It shall be the duty of the board of directors to
16direct the policies and operation of the Workers' Compensation
17Insurance State Fund to ensure that the Fund is run as an
18efficient insurance company, remains actuarially sound, and
19maintains the public purposes for which the Workers'
20Compensation Insurance State Fund was created.
21    (e) The Workers' Compensation Insurance State Fund is
22subject to and shall comply with the provisions of the Illinois
23Insurance Code. For purposes of regulation, the Workers'
24Compensation Insurance State Fund shall be deemed to be a
25mutual insurer.