State of Illinois
Public Acts
92^nd General Assembly

Public Act 92-0480

HB2419 Enrolled                                LRB9207370JSpc

    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 155.37 as follows:

    (215 ILCS 5/155.37 new)
    Sec. 155.37.  Use of credit reports  in  connection  with
certain policies.
    (a)  This   Section  applies  to  policies  of  insurance
defined in subsections (a), (b), and (c) of  Section  143.13,
except  that  this  Section  does not apply to those personal
lines policies defined in subsection (c)  of  Section  143.13
that  could  be classified under clause (g) or (i) of Class 2
of Section 4 or to policies of insurance subject  to  Article
IX 1/2.
    (b)  An  insurance  company  authorized to do business in
this State may not refuse to  issue  or  renew  a  policy  of
insurance solely on the basis of a credit report. An offer by
an  insurance  company  to  write a policy through an insurer
that is an affiliate, as defined in  Section  131.1  of  this
Code,  with continuous coverage does not constitute a refusal
to issue a policy or a nonrenewal within the meaning of  this
Section. "Credit report" means a collection of data regarding
a  consumer's  credit  history,  credit  capacity,  or credit
worthiness that has been assembled or evaluated by a consumer
reporting agency as defined in 15 USC 1681a(f).
    (c)  If a credit report is used in conjunction with other
criteria to underwrite an application or renewal of a  policy
of  insurance,  it may not include or be based upon the race,
income, gender, religion, or national origin of the applicant
or insured.
    (d)  If a credit report is used in conjunction with other
criteria to refuse to issue or renew a policy  of  insurance,
the  insurer shall provide the applicant or policyholder with
a notice of the underwriting action taken.  For  purposes  of
this  Section,  compliance with the notification requirements
of the federal Fair Credit Reporting Act, 15 U.S.C.  1681  et
seq.,  shall  be  considered  to  be  in compliance with this
Section.

    Section 99. Effective date.  This  Act  takes  effect  on
October 1, 2001.
    Passed in the General Assembly May 30, 2001.
    Approved August 23, 2001.
    Effective October 01, 2001.