IL SB0061

Adds improper claims practice provisions to the Illinois Insurance Code, including failing to pay use or occupation taxes, title, and transfer fees on total loss vehicle claims.

Requires insurers to pay applicable state and local use or occupation taxes, title, and transfer fees when an insured's private passenger vehicle is determined to be a total loss under policies issued or renewed on or after July 1, 2022.

When an insurer replaces the vehicle, the insurer must pay taxes and fees on the replacement vehicle; when providing a cash settlement, the insurer must reimburse the claimant for taxes and fees if a replacement vehicle is purchased or leased within 30 days and documented within 33 days.

Limits reimbursement to amounts based on the value of the total loss vehicle at the time of loss and only for taxes and fees actually paid by the claimant; allows insurers to directly pay these amounts at settlement as an alternative to reimbursement.

Authorizes the Department of Insurance to adopt rules establishing uniform standards for implementation, including methods for determining vehicle market value.