SB0375 Summary

• Authorizes the Illinois Insurance Guaranty Fund to form and own a not-for-profit corporation to handle claims and perform Fund duties, subject to board approval and Director of Insurance approval.

• Allows the not-for-profit corporation to contract with the Office of Special Deputy Receiver, the Illinois Life and Health Insurance Guaranty Association, and similar organizations in other states to provide consulting and claims administration services.

• Expands the Fund's purpose statement to include facilitating asset marshaling and distribution of insolvent companies and providing assistance to receivers and other guaranty organizations.

• Requires that any services provided by the not-for-profit corporation remain subordinate to the Fund's statutory obligations to timely pay covered claims and protect claimants from financial loss.

• Takes effect immediately upon becoming law.