SB1327 EngrossedLRB104 10928 BAB 21010 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois, 
3represented in the General Assembly:
 
4    Section 5. The Illinois Insurance Code is amended by 
5adding Section 370c.5 as follows:
 
6    (215 ILCS 5/370c.5 new)
7    Sec. 370c.5. Disability income insurance mental health and 
8substance use disorder coverage disclosure. 
9    (a) No group or individual policy or contract of long-term 
10disability income insurance in this State that limits the 
11duration of coverage for mental health and substance use 
12disorders shall be offered without a disclosure, provided at 
13the time of application, that includes a notification stating 
14that:
15        (1) the long-term disability coverage selected by the 
16    potential policyholder or plan sponsor limits the duration 
17    of coverage for mental health or substance use disorders; 
18    and
19        (2) the potential policyholder or plan sponsor has the 
20    right to request more information about the limitation and 
21    other coverage options that include an unlimited duration, 
22    if available.
23    (b) Receipt of the disclosure described in subsection (a) 
 
 
SB1327 Engrossed- 2 -LRB104 10928 BAB 21010 b

1must be acknowledged by the potential policyholder or plan 
2sponsor, and evidence of the disclosure and acknowledgment 
3must be retained by the insurance company offering the 
4coverage.
 
5    Section 99. Effective date. This Act takes effect January 
61, 2028.