IL HB3463

Amends Section 155 of the Illinois Insurance Code to expand attorney fees provisions to include arbitration proceedings, not just court actions.

Allows courts, arbitrators, or a majority of an arbitration panel to award reasonable attorney fees and costs when an insurance company's action or delay in settling a claim is found to be vexatious and unreasonable.

Permits awards up to the greater of: 60% of the amount the party is entitled to recover, $60,000, or the excess over any settlement amount the company previously offered.

Applies the same fee-limitation rules to multiple policies insuring the same loss, preventing increased attorney fees when an insured brings separate proceedings on different policies covering one loss.