JOINT SELF-INSURANCE POOLS Senate SponsorsSen. John G. Mulroe-Pamela J. Althoff-Michael E. Hastings-Bill Cunningham and Antonio Muņoz-Jacqueline Y. Collins House Sponsors(Rep. Frank J. Mautino, Elgie R. Sims, Jr. and Monique D. Davis) 8/16/2013SenatePublic Act . . . . . . . . . 98-0504 5 ILCS 220/6from Ch. 127, par. 746Amends the Intergovernmental Cooperation Act. Requires joint insurance pools to annually file with the Director of Insurance a certification by an independent actuary that the pool's reserves are in accordance with sound loss-reserving standards and adequate for the payment of claims. Authorizes the Director to adopt, by administrative rule, appropriate penalties for joint insurance pools that fail to comply with certain auditing, reporting, and certification requirements. Authorizes the Director, or his or her designees, to examine the affairs, transactions, accounts, records, and assets and liabilities of each joint insurance pool as often as the Director deems advisable. Requires the joint insurance pools to cooperate fully with the Director's representatives in all evaluations and audits and to resolve issues raised in those evaluations and audits. Provides that the failure to resolve those issues shall constitute a violation of the Act and may, after notice and an opportunity to be heard, result in the imposition of penalties established by the Director by administrative rule. Provides that if a joint insurance pool requires a member to submit written notice in order for the member to withdraw from a qualified pool, then the period in which the member must provide the written notice cannot, except in certain circumstances, be greater than 90 days.Senate Committee Amendment No. 1 Replaces everything after the enacting clause. Reinserts the provisions of the introduced bill with the following changes. Provides that if the joint insurance pool obtains aggregate coverage or uses any other reinsurance mechanism, then the independent actuary's certification need only account for the primary level of coverage provided by the joint insurance pool prior to reinsurance. Requires the independent actuary's certification to also indicate the conditions under which the aggregate coverage or other reinsurance mechanism takes effect. Requires the joint insurance pool to annually provide the Department with an accurate statement of the amount of coverage provided through aggregate coverage or other reinsurance mechanism. Provides that the 90-day maximum does not apply during the initial year of membership in the joint insurance pool. Requires the joint insurance pool to notify each public agency member of the deadline for withdrawing from the pool at least 30 days before the deadline for withdrawal.Senate Floor Amendment No. 2 Replaces everything after the enacting clause. Reinserts the provisions of Senate Amendment No. 1 to Senate Bill 2339 with the following changes. Requires the joint insurance pool to annually file with the Director of Insurance a statement of actuarial opinion by an independent actuary who is an associate or fellow in a casualty actuarial society (rather than a certification by an independent actuary). Requires the statement to be filed no later than 150 days after the end of each fiscal year. Provides that the joint insurance pool shall be exempt from filing the statement if the joint insurance pool files with the Director, by the reporting deadline, a statement on the pool's aggregate coverage, reinsurance, or other similar excess insurance coverage. Caps the civil penalties that may assessed by the Director of Insurance for specified violations. Authorizes not only the Director (or his or her staff), but also a Director-selected independent auditor (or actuarial firm) that is not owned or affiliated with an insurance brokerage firm, insurance company, or other insurance industry affiliated entity to examine the affairs, transactions, accounts, records, and assets and liabilities of each non-complying joint insurance pool.Senate Floor Amendment No. 3 Requires the statement of actuarial opinion that must be filed on the joint insurance pool's aggregate coverage, reinsurance, or excess insurance coverage to be supplied by the provider of that coverage. 2/15/2013SenateFiled with Secretary by Sen. John G. Mulroe 2/15/2013SenateFirst Reading 2/15/2013SenateReferred to Assignments 2/28/2013SenateAdded as Co-Sponsor Sen. Michael E. Hastings 2/28/2013SenateAdded as Chief Co-Sponsor Sen. Jacqueline Y. Collins 2/28/2013SenateAdded as Chief Co-Sponsor Sen. Pamela J. Althoff 2/28/2013SenateSponsor Removed Sen. Michael E. Hastings 2/28/2013SenateAdded as Chief Co-Sponsor Sen. Michael E. Hastings 2/28/2013SenateAdded as Chief Co-Sponsor Sen. Bill Cunningham 3/5/2013SenateAssigned to Insurance 3/7/2013SenateAdded as Co-Sponsor Sen. Antonio Muņoz 3/12/2013SenateSponsor Removed Sen. Jacqueline Y. Collins 3/13/2013SenatePostponed - Insurance 3/15/2013SenateSenate Committee Amendment No. 1 Filed with Secretary by Sen. John G. Mulroe 3/15/2013SenateSenate Committee Amendment No. 1 Referred to Assignments 3/19/2013SenateSenate Committee Amendment No. 1 Assignments Refers to Insurance 3/20/2013SenateAdded as Chief Co-Sponsor Sen. Jacqueline Y. Collins 3/20/2013SenateSenate Committee Amendment No. 1 Adopted 3/20/2013SenateDo Pass as Amended Insurance; 011-000-000 3/20/2013SenatePlaced on Calendar Order of 2nd Reading March 21, 2013 4/15/2013SenateSenate Floor Amendment No. 2 Filed with Secretary by Sen. John G. Mulroe 4/15/2013SenateSenate Floor Amendment No. 2 Referred to Assignments 4/15/2013SenateSenate Floor Amendment No. 3 Filed with Secretary by Sen. John G. Mulroe 4/15/2013SenateSenate Floor Amendment No. 3 Referred to Assignments 4/16/2013SenateSecond Reading 4/16/2013SenatePlaced on Calendar Order of 3rd Reading April 17, 2013 4/17/2013SenateSenate Floor Amendment No. 2 Assignments Refers to Insurance 4/17/2013SenateSenate Floor Amendment No. 3 Assignments Refers to Insurance 4/17/2013SenateSenate Floor Amendment No. 2 Recommend Do Adopt Insurance; 008-000-000 4/17/2013SenateSenate Floor Amendment No. 3 Recommend Do Adopt Insurance; 008-000-000 4/18/2013SenateRecalled to Second Reading 4/18/2013SenateSenate Floor Amendment No. 2 Adopted; Mulroe 4/18/2013SenateSenate Floor Amendment No. 3 Adopted; Mulroe 4/18/2013SenatePlaced on Calendar Order of 3rd Reading April 23, 2013 4/23/2013SenateThird Reading - Passed; 055-000-000 4/24/2013HouseArrived in House 4/24/2013HouseChief House Sponsor Rep. Frank J. Mautino 4/29/2013HouseFirst Reading 4/29/2013HouseReferred to Rules Committee 4/29/2013HouseAssigned to Insurance Committee 5/7/2013HouseDo Pass / Short Debate Insurance Committee; 024-000-000 5/8/2013HousePlaced on Calendar 2nd Reading - Short Debate 5/9/2013HouseSecond Reading - Short Debate 5/9/2013HousePlaced on Calendar Order of 3rd Reading - Short Debate 5/17/2013HouseAdded Alternate Co-Sponsor Rep. Elgie R. Sims, Jr. 5/17/2013HouseAdded Alternate Co-Sponsor Rep. Monique D. Davis 5/22/2013HouseThird Reading - Short Debate - Passed 115-001-000 5/22/2013SenatePassed Both Houses 6/20/2013SenateSent to the Governor 8/16/2013SenateGovernor Approved 8/16/2013SenateEffective Date January 1, 2014 8/16/2013SenatePublic Act . . . . . . . . . 98-0504