IL HB1081

Amends the Department of Central Management Services Law to prohibit the Department and State agencies from requiring employees to reimburse costs of liability insurance for State-owned, leased, or controlled motor vehicles assigned to them.

Establishes that the State shall defend, indemnify, and hold harmless employees operating State vehicles or engaging in covered activities against tort claims arising from employment duties.

Sets maximum State liability limits at $2,000,000 per occurrence for motor vehicle operations and $100,000 per person per occurrence for other activities, with $500,000 maximum for medical malpractice claims by licensed physician employees.

Permits the Director to exclude employees from future coverage or limit coverage after claims resulting from gross negligence, willful and wanton misconduct, or when an employee becomes an unacceptable risk based on prior accident history.

Applies to all State employees, elected officials, commissioners, board members, university personnel, and National Guard members on active duty using State vehicles for authorized business purposes.