IL SB1760

Amends Section 173.1 of the Illinois Insurance Code to add a new subsection (1)(D-5) allowing credit for reinsurance ceded to assuming insurers with surplus exceeding $250 million, at the Director's discretion.

Director must consider nine specified factors when determining acceptable credit risk, including financial strength ratings from at least 2 nationally recognized rating organizations, domiciliary regulator authority and standards, financial reporting requirements, and regulatory cooperation.

Director may grant full credit or alternatively reduce the amount required in trust funds under subsection (1)(C)(1) or the funds required under subsection (2)(A) based on the risk assessment.

Establishes that the assuming insurer must hold a secure financial strength rating and meet various regulatory and financial standards in its domiciliary jurisdiction.

Takes effect immediately upon becoming law.