§ 155.25a

Illinois § 155.25a

• Jurisdiction: Illinois
• Topic: REGULATION
• Ch. 215: INSURANCE
• Act 215 ILCS 5/: Illinois Insurance Code.
• Art.: Article IX - Provisions Applicable To All Companies

Text

Notwithstanding the provisions of subsection (D) of Section 123B-9, a purchasing group may purchase insurance providing for a group aggregate limit from an insurer licensed to write medical liability insurance in this State if (1) such group is domiciled in Illinois and all or substantially all of such group's members are residents of Illinois, (2) each insured in the purchasing group is specifically informed prior to issuance of the policy to such insured of the existence of the group aggregate limit, and (3) either (a) the amount of the group aggregate limit is determined by the Director in his discretion to be sufficiently high (when considered in conjunction with other factors such as each individual insured's per claim limit and each individual insured's aggregate limit), such that the risk that the group aggregate limit will be exhausted is not substantial, or (b) (i) each individual insured's aggregate limit is not more than 300% of such individual insured's per claim limit and (ii) the group aggregate limit (at the time of the insured's claim) is equal to or exceeds the amount set forth in the following table: Number of Insureds Required Purchasing in Purchasing Group Aggregate Limit Group Less than 10 Individual claim limit X Number of Insureds 10 to 24 The sum of (i) 3 X the individual claim limit, plus (ii) the individual claim limit X the Number of Insureds X 2/3 25 to 50 The sum of (i) 7 X the individual claim limit, plus (ii) the individual claim limit X the Number of Insureds X 1/2 Over 50 The sum of (i) 17 X the individual claim limit, plus (ii) the individual claim limit X the Number of Insureds X 3/10.

Legislative History

(Source: P.A. 86-632 .)