SB0132 94TH GENERAL ASSEMBLY

LRB094 06592 LJB 36683 b

94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
SB0132

Introduced 2/1/2005, by Sen. Deanna Demuzio

SYNOPSIS AS INTRODUCED:

215 ILCS 5/143.33 new

Amends the Illinois Insurance Code. Requires insurers to reimburse repair facilities directly for the costs of repairs related to a claim when there is a lien on the vehicle repaired and the insurer has notice of the lien. Prohibits insureds or claimants from taking an interest in money paid directly to repair facilities.

A BILL FOR

AN ACT concerning insurance.

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

Section 5. The Illinois Insurance Code is amended by adding Section 143.33 as follows:

(215 ILCS 5/143.33 new)

Sec. 143.33. Payment directly to repair facilities. An insurance company authorized to do business in this State and paying a claim related to services performed in the repair of a motor vehicle shall pay the repair facility directly for the services when there is any lien on the motor vehicle that is the subject of the claim and the insurance company has notice of the lien. No insured or claimant shall have an interest in any money paid to a repair facility pursuant to this Section.