VIATICAL SETTLEMENTS ACT House SponsorsRep. Frank J. Mautino-JoAnn D. Osmond-Jim Durkin-Bill Mitchell-Ron Stephens and Elizabeth Hernandez 1/13/2009HouseSession Sine Die New Act5 ILCS 140/7from Ch. 116, par. 207215 ILCS 5/500-70815 ILCS 5/2.1from Ch. 121 1/2, par. 137.2-1815 ILCS 5/2.33 new215 ILCS 158/Act rep. Creates the Viatical Settlements Act of 2008. Provides for the regulation of viatical settlement providers, brokers, and life insurance producers acting as brokers who enter into viatical settlements. Provides license requirements and establishes grounds for the suspension, denial, nonrenewal, or revocation of a license. Requires viatical settlement contracts and disclosure statements to be approved by the Director of the Division of Insurance. Requires certain documents to be kept by licensees for examination by the Director and sets guidelines for examination by the Director. Provides a period of time for rescission after certain disclosures are made. Requires certain disclosures to be made in connection with viatical settlements. Sets forth prohibited practices and exceptions. Grants the Director the authority to adopt rules. Sets forth violations and penalties for violations. Provides standards for advertisement of viatical settlement services and contracts. Amends the Freedom of Information Act to exempt from disclosure certain documents required under the Viatical Settlements Act of 2008. Provides that violations of the Act constitute unfair trade practices subject to penalty under the Illinois Insurance Code and amends the Illinois Insurance Code to include the violations. Amends the Illinois Security Law of 1953 to include viatical investments in a definition of "security" and to add a definition of "viatical investment". Repeals the Viatical Settlements Act. Provides that the provisions of the Act are severable. Effective July 1, 2009.House Amendment No. 1 Replaces everything after the enacting clause with the bill as introduced with the following changes. Makes changes in provisions concerning definitions, license and bond requirements, license revocation, approval of viatical settlement contracts, disclosure statements, reporting requirements, examination, disclosures to viators and insurers, general rules, prohibited practices, conflicts of interest, advertising, fraud prevention, and remedies and penalties. Adds provisions concerning powers of the Director and applicability of specified provisions of the Illinois Insurance Code. Effective July 1, 2009.House Amendment No. 2 Provides that there is no rulemaking authority under the new Act or amendatory provisions, but that the Governor may suggest rules by filing them with the General Assembly and requesting that the General Assembly authorize such rulemaking by law, enact the suggested rules into law, or take other appropriate action in the General Assembly's discretion. 2/13/2008HouseFiled with the Clerk by Rep. Frank J. Mautino 2/13/2008HouseFirst Reading 2/13/2008HouseReferred to Rules Committee 2/15/2008HouseAdded Chief Co-Sponsor Rep. JoAnn D. Osmond 2/25/2008HouseAssigned to Insurance Committee 2/27/2008HouseAdded Chief Co-Sponsor Rep. Jim Durkin 2/28/2008HouseAdded Chief Co-Sponsor Rep. Bill Mitchell 2/28/2008HouseAdded Chief Co-Sponsor Rep. Ron Stephens 3/11/2008HouseHouse Amendment No. 1 Filed with Clerk by Insurance Committee 3/11/2008HouseHouse Amendment No. 2 Filed with Clerk by Insurance Committee 3/11/2008HouseHouse Amendment No. 1 Adopted in Insurance Committee; by Voice Vote 3/11/2008HouseHouse Amendment No. 2 Adopted in Insurance Committee; by Voice Vote 3/11/2008HouseDo Pass as Amended / Short Debate Insurance Committee; 014-000-000 3/12/2008HousePlaced on Calendar 2nd Reading - Short Debate 4/18/2008HouseFinal Action Deadline Extended-9(b) May 9, 2008 4/22/2008HouseAdded Co-Sponsor Rep. Elizabeth Hernandez 5/9/2008HouseFinal Action Deadline Extended-9(b) May 23, 2008 5/23/2008HouseFinal Action Deadline Extended-9(b) May 31, 2008 5/29/2008HouseSecond Reading - Short Debate 5/29/2008HouseHeld on Calendar Order of Second Reading - Short Debate 5/31/2008HouseRule 19(a) / Re-referred to Rules Committee 1/13/2009HouseSession Sine Die