State of Illinois
91st General Assembly
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Public Act 91-0661

HB1388 Re-Enrolled                             LRB9104807KSpr

    AN ACT to amend the Illinois  Vehicle  Code  by  changing
Section 7-601.

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

    Section 5.  The  Illinois  Vehicle  Code  is  amended  by
changing Section 7-601 as follows:

    (625 ILCS 5/7-601) (from Ch. 95 1/2, par. 7-601)
    Sec. 7-601.  Required liability insurance policy.
    (a)  No   person  shall  operate,  register  or  maintain
registration of, and no owner shall permit another person  to
operate,  register  or  maintain  registration  of,  a  motor
vehicle  designed  to  be used on a public highway unless the
motor vehicle is covered by a liability insurance policy.
    The insurance policy shall be issued in amounts  no  less
than  the  minimum amounts set for bodily injury or death and
for destruction of property under Section 7-203 of this Code,
and shall be issued in accordance with  the  requirements  of
Sections  143a  and 143a-2 of the Illinois Insurance Code, as
amended.  No insurer other than an insurer authorized  to  do
business  in this State shall issue a policy pursuant to this
Section for any vehicle subject to  registration  under  this
Code.   Nothing herein shall deprive an insurer of any policy
defense available at common law.
    (b)  The  following  vehicles   are   exempt   from   the
requirements of this Section:
         (1)  vehicles  subject to the provisions of Chapters
    8 or 18a, Article III or Section 7-609 of Chapter  7,  or
    Sections 12-606 or 12-707.01 of Chapter 12 of this Code;
         (2)  vehicles  required  to  file proof of liability
    insurance with the Illinois Commerce Commission;
         (3)  vehicles   covered   by   a   certificate    of
    self-insurance under Section 7-502 of this Code;
         (4)  vehicles  owned by the United States, the State
    of Illinois, or any political  subdivision,  municipality
    or local mass transit district;
         (5)  implements of husbandry;
         (6)  other   vehicles   complying  with  laws  which
    require  them  to  be  insured  in  amounts  meeting   or
    exceeding   the   minimum  amounts  required  under  this
    Section; and
         (7)  inoperable or  stored  vehicles  that  are  not
    operated,  as  defined  by  rules  and regulations of the
    (c)  Every employee of a State agency, as  that  term  is
defined in the Illinois State Auditing Act, who is assigned a
specific  vehicle  owned or leased by the State on an ongoing
basis shall  provide  the  certification  described  in  this
Section  annually  to the director or chief executive officer
of his or her agency.
    The certification shall affirm that the employee is  duly
licensed  to  drive  the  assigned  vehicle  and that (i) the
employee has liability insurance coverage  extending  to  the
employee  when  the  assigned  vehicle is used for other than
official State business, or (ii) the  employee  has  filed  a
bond  with  the  Secretary  of  State  as  proof of financial
responsibility, in an amount equal to, or in  excess  of  the
requirements  stated within this Section. Upon request of the
agency director or  chief  executive  officer,  the  employee
shall present evidence to support the certification.
    The  certification  shall  be  provided during the period
July 1 through July 31 of each calendar year,  or  within  30
days  of any new assignment of a vehicle on an ongoing basis,
whichever is later.
    The employee's authorization to use the assigned  vehicle
shall automatically be rescinded upon:
         (1)  the  revocation  or  suspension  of the license
    required to drive the assigned vehicle;
         (2)  the cancellation or termination for any  reason
    of   the   automobile  liability  insurance  coverage  as
    required in item (c) (i); or
         (3)  the termination of  the  bond  filed  with  the
    Secretary of State.
    All  State employees providing the required certification
shall  immediately  notify  the  agency  director  or   chief
executive officer in the event any of these actions occur.
    All  peace  officers  employed  by a State agency who are
primarily responsible for prevention and detection  of  crime
and the enforcement of the criminal, traffic, or highway laws
of this State, and prohibited by agency rule or policy to use
an  assigned vehicle owned or leased by the State for regular
personal or off-duty use, are exempt from the requirements of
this Section.
(Source: P.A. 88-315; 89-669, eff. 1-1-97.)

    Section 99.  Effective date.  This Act  takes  effect  on
July 1, 1999.

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