(215 ILCS 5/123B-5) (from Ch. 73, par. 735B-5)
(Section scheduled to be repealed on January 1, 2027)
Sec. 123B-5.
Compulsory associations.
A. No risk retention group shall
be required or permitted
to join or contribute financially to the Illinois Insurance
Guaranty Fund, or any other plan, pool, association or guaranty or
insolvency fund or any similar mechanism, in this State,
nor shall any risk retention group, or its insureds
or claimants against its insureds, receive any benefit
from any such fund or any such plan, pool, association or guaranty or insolvency fund for
claims arising under the insurance
policies issued by such risk retention group.
B. When a purchasing group obtains insurance covering
its members' risks from an insurer not authorized in
this State or a risk retention group, no such risks,
wherever resident or located, shall be covered by an
insurance guaranty fund or similar mechanism in this
State.
C. When a purchasing group obtains insurance covering
its members' risks from an authorized insurer, only
risks resident or located in this State shall be covered
by the State guaranty fund subject to the provisions
of Article XXXIV.
(Source: P.A. 85-131.)
|