(215 ILCS 5/Art. IV heading)
RECIPROCALS
(215 ILCS 5/61) (from Ch. 73, par. 673)
(Section scheduled to be repealed on January 1, 2027)
Sec. 61.
Scope of Article.
(1) This Article shall apply to all reciprocals transacting or being
organized to transact any of the kinds of business specified in this
Article.
(2) As used in this Article the word “subscriber” shall mean the
participant or policyholder. The word “attorney-in-fact” shall mean
the
representative of the subscribers. The word “reciprocal” shall mean
the
organization or group of all the subscribers. The word “governmental
reciprocal” shall mean a reciprocal in which all subscribers are governmental
entities, including, but not limited to, federal, State, territorial,
commonwealth, and local governments and agencies, subdivisions, departments,
joint ventures, partnerships, and consortia of these governments.
(Source: P.A. 88-364.)
(215 ILCS 5/62) (from Ch. 73, par. 674)
(Section scheduled to be repealed on January 1, 2027)
Sec. 62.
Authority
to exchange contracts.
Individuals, partnerships and corporations of this State are hereby
authorized to exchange reciprocal or inter-insurance contracts with each
other or with individuals, partnerships and corporations of other states
and countries, in accordance with the provisions of this Code and not
otherwise. All insurance contracts so exchanged shall be executed by an
attorney-in-fact duly authorized and acting for the subscribers.
(Source: Laws 1937, p. 696.)
(215 ILCS 5/63) (from Ch. 73, par. 675)
(Section scheduled to be repealed on January 1, 2027)
Sec. 63.
Name.
The name or designation under which contracts are to be exchanged shall
include the words “Reciprocal” or “Inter-Insurance Exchange” or be
supplemented by the following words immediately below the name or
designation under which such contracts are exchanged: “A Reciprocal” or “An
Inter-Insurance Exchange.” Such name or designation shall not be the same
as or deceptively similar to the name or designation adopted by any other
domestic company or any foreign or alien company authorized to transact
business in this State.
(Source: Laws 1937, p. 696.)
(215 ILCS 5/64) (from Ch. 73, par. 676)
(Section scheduled to be repealed on January 1, 2027)
Sec. 64.
Principal
office.
The principal office of the attorney-in-fact of a domestic reciprocal
shall be maintained in this State, at such place as may be designated by
the subscribers in the power of attorney or other authority under which
insurance is to be effected or exchanged.
(Source: Laws 1937, p. 696.)
(215 ILCS 5/65) (from Ch. 73, par. 677)
(Section scheduled to be repealed on January 1, 2027)
Sec. 65.
Authorized
kinds of business.
A reciprocal may be authorized to exchange contracts covering any or all
of the kinds of insurance enumerated in Classes 2 and 3 of Section 4.
(Source: Laws 1951, p. 605.)
(215 ILCS 5/66) (from Ch. 73, par. 678)
(Section scheduled to be repealed on January 1, 2027)
Sec. 66.
Minimum surplus requirements.
(1) No reciprocal may after
December 31, 1985 receive a certificate of
authority from the Director to exchange contracts under this Article in the
name of the subscribers until it has complied with the requirements in
respect of original surplus applicable to the class or classes and clause
or clauses of section 4 describing the kind or kinds of insurance it seeks
to exchange, as set forth in the following table:
- (a) Class 2, Clauses (a), (b), (c), (d), (g), (h), (i) or (j), a surplus of at least $2,000,000; more than one clause, a surplus of at least $2,000,000.
Fire and Marine - (b) Class 2, Clauses (e), (f), (k) or (l) or Class 3, any or all clauses or any combination thereof, a surplus of at least $1,000,000.
Multiple Line - (c) Class 2, any or all clauses other than those specified in (b) above, and Class 3, any or all clauses, a surplus of at least $2,000,000.
Glass and Livestock and Domestic Animals - (d) Class 2, Clause (f) only or (k) only $250,000; provided any reciprocal to which this subparagraph is applicable shall not expose itself to any loss on any one risk in any amount exceeding $5,000.
(2) Every reciprocal subject to this Article issued a certificate of
authority on or after June 28, 1965 must have and at all times maintain a
minimum surplus in an amount equal to 2/3 of the original surplus required
for that particular company at the time it was organized. Any such
reciprocal organized prior to June 28, 1965 must have and at all times
maintain admitted assets in excess of all liabilities in an amount not less
than the minimum amount of advance cash deposits or surplus which was
required for that particular reciprocal at the time it was issued a
certificate of authority. Any reciprocal which has added any clause or
clauses must have and at all times maintain minimum surplus not less than
the minimum surplus requirement applicable to the class or classes and clause
or clauses of section 4 at the time that the additional clause or clauses
are authorized. Any reciprocal organized prior to October 1, 1972 must
have and at all times maintain, in addition to the minimum surplus required
to be maintained by that particular reciprocal, additional minimum surplus
of not less than $300,000.
(3) Any company organized prior to January 1, 1986 and regulated under
this Article, in addition to the minimum surplus which is required by
paragraph (2) of this Section must have by December 31, 1986 and at all
times maintain until December 31, 1990 additional minimum surplus of $200,000.
(4) Subsections (2) and (3) shall be applicable until
December 31, 1990 for all reciprocals organized prior to January 1, 1986,
thereafter, such reciprocals must have and maintain surplus as
required by subsections (6) and (7).
(5) Every reciprocal subject to this Article and organized after
December 31, 1985 must have and maintain at all times minimum surplus
applicable to the class or classes and clause or clauses of Section 4
describing the kind or kinds of insurance which it is authorized to
write, as follows:
- (a) Class 2, Clauses (a), (b), (c), (d), (g), (h) or (i), a surplus of at least $1,500,000; more than one clause, a surplus of at least $1,500,000.
Fire, Marine and Legal Expense - (b) Class 2, Clauses (e), (f), (k), (l) or Class 3, any or all clauses or any combination thereof, a surplus of at least $700,000.
Multiple Line - (c) Class 2, any or all clauses other than those specified in (b) above, and Class 3, any or all clauses, a surplus of at least $1,500,000.
Glass and Livestock and Domestic Animals - (d) Class 2, Clause (f) only or (k) only, $150,000; provided no reciprocal to which this subparagraph is applicable shall not expose itself to any loss on any one risk in an amount exceeding $5,000.
(6) Any reciprocal subject to this Article and organized prior to
January 1, 1986 must have by December 31, 1990, and thereafter maintain
until December 31, 1995, minimum surplus
applicable to the class or classes and clause or clauses of Section 4
describing the kind or kinds of insurance which it is authorized to write, as follows:
- (a) Class 2, Clauses (a), (b), (c), (d), (g), (h), (i) or (j), a surplus of at least $1,200,000; more than one clause, a surplus of at least $1,200,000.
Fire, Marine and Legal Expense - (b) Class 2, Clauses (e), (f), (k), (1) or Class 3, any or all clauses or any combination thereof, a surplus of at least $600,000.
Multiple Line - (c) Class 2, any or all clauses other than those specified in (b) above, and Class 3, any or all clauses, a surplus of at least $1,200,000.
Glass and Livestock and Domestic Animals - (d) Class 2, Clause (f) only or (k) only, $100,000; provided no reciprocal to which this subparagraph is applicable shall not expose itself to any loss on any one risk in an amount exceeding $5,000.
(7) Any reciprocal subject to this Article and organized prior
to January 1, 1986 must have by December 31, 1995 and thereafter maintain at
all times minimum surplus applicable to the class or classes and clause or
clauses of Section 4
describing the kind or kinds of insurance which it is authorized to write, as follows:
- (a) Class 2, Clauses (a), (b), (c), (d), (g), (h), (i) or (j), a surplus of at least $1,500,000; more than one clause, a surplus of at least $1,500,000.
Fire, Marine and Legal Expense - (b) Class 2, Clauses (e), (f), (k), (l) or Class 3, any or all clauses or any combination thereof, a surplus of at least $700,000.
Multiple Line - (c) Class 2, any or all clauses other than those specified in (b) above, and Class 3, any or all clauses, a surplus of at least $1,500,000.
Glass and Livestock and Domestic Animals - (d) Class 2, Clause (f) only or (k) only, $150,000; provided no reciprocal to which this subparagraph is applicable shall not expose itself to any loss on any one risk in the amount exceeding $5,000.
(8) The Director shall take action under
Section 83 of this Code against
any reciprocal which fails to maintain the minimum surplus required
by this section. The words “minimum surplus” mean the “surplus as regards
policyholders” as it appears on the annual statement of a reciprocal
company on the usual and proper annual statement form prescribed by the
National Association of Insurance Commissioners.
(Source: P.A. 85-293.)
(215 ILCS 5/67) (from Ch. 73, par. 679)
(Section scheduled to be repealed on January 1, 2027)
Sec. 67.
Power of
attorney.
The power of attorney or other authority of the attorney-in-fact under
which contracts of insurance are to be exchanged pursuant to this Article
shall set forth
- (a) the address of the principal office of the attorney-in-fact;
- (b) that the attorney-in-fact is authorized to accept service of process on behalf of the reciprocal and to appoint the Director and his successor or successors in office the true and lawful attorney of such reciprocal for the service of process in actions upon contracts exchanged;
- (c) the amount to be deducted from advance deposits to be paid to the attorney-in-fact and the items of expense, in addition to losses, to be paid by the reciprocal;
- (d) a provision for a cash deposit;
- (e) except as provided in Section 75, a provision for a contingent several liability of each subscriber in an amount of not less than one nor more than ten times the cash deposit stated in the contract; and
- (f) such other provisions not inconsistent with law as may be deemed necessary or advisable.
(Source: Laws 1937, p. 696.)
(215 ILCS 5/68) (from Ch. 73, par. 680)
(Section scheduled to be repealed on January 1, 2027)
Sec. 68.
Declaration
of organization.
The attorney-in-fact of subscribers who desire to form a reciprocal
under this Article shall sign and acknowledge, before an officer authorized
to take acknowledgments, a declaration of organization in duplicate. When
the attorney-in-fact is a corporation, the declaration shall be
acknowledged by an officer thereof. The declaration shall set forth
- (a) the name of the attorney-in-fact and the name or designation under which contracts are to be exchanged;
- (b) the location of the principal office of the attorney-in-fact;
- (c) the class or classes of insurance, as provided in Section 65, which it proposes to effect or exchange and the kinds of insurance in each class to be effected or exchanged;
- (d) such other provisions not inconsistent with law which may be deemed by the attorney-in-fact or subscribers to be necessary or advisable.
(Source: Laws 1937, p. 696.)
(215 ILCS 5/69) (from Ch. 73, par. 681)
(Section scheduled to be repealed on January 1, 2027)
Sec. 69.
Documents to be delivered to Director.
Upon the execution of a declaration of organization, there shall be
delivered to the Director
- (a) duplicate originals of the declaration of organization;
- (b) a copy of the power of attorney of the attorney-in-fact under or by virtue of which such insurance is to be effected or exchanged;
- (c) an instrument authorizing service of process on the Director provided for in Section 77;
- (d) 2 organization bonds, or the cash or securities, provided for in Section 70;
- (e) the form of guaranty fund agreements and of guaranty capital shares, if any, as provided in Section 76 to be issued in connection with solicitation of surplus; and
- (f) the form of escrow agreement for the deposit of cash or securities.
(Source: P.A. 84-502.)
(215 ILCS 5/69.1) (from Ch. 73, par. 681.1)
(Section scheduled to be repealed on January 1, 2027)
Sec. 69.1.
Escrow agreements.
The company shall designate a bank or
trust company with whom it will enter into an escrow agreement, which agreement
shall state that the organization surplus shall be placed in escrow and
remain so, until an organization examination has been completed. When the
exam has been completed the escrow agent is authorized to purchase securities
for deposit as required by Section 74 and forward them to the Director.
The escrow agent is authorized to release the balance of the escrow funds
to the company only upon notification that a Certificate of Authority or
similar documentation has been issued by the Director.
(Source: P.A. 84-502.)
(215 ILCS 5/70) (from Ch. 73, par. 682)
(Section scheduled to be repealed on January 1, 2027)
Sec. 70.
Organization bonds.
The attorney-in-fact shall deliver to the Director two bonds in the same
penalties and containing the same provisions, so far as applicable, as the
bonds required for the organization of a stock company by Section 16 for
the use and benefit of the State of Illinois, subscribers and creditors, or
in lieu of delivering such bonds, the attorney-in-fact may deposit cash or
securities of the same kind and amount and on the same terms and
conditions, so far as applicable, as provided by said Section.
(Source: Laws 1937, p. 696.)
(215 ILCS 5/71) (from Ch. 73, par. 683)
(Section scheduled to be repealed on January 1, 2027)
Sec. 71.
Approval of
documents.
The documents and papers so delivered to the Director may be approved or
disapproved by the Director, and the attorney-in-fact is entitled to a
hearing, in the same manner as provided in Section 18 in the case of
documents delivered for approval in connection with the organization of
stock companies. If the documents and papers so delivered are approved by
the Director he must file in his office the power of attorney, forms of
policies and applications, bonds or securities and one of the duplicate
originals of the declaration of organization, and endorse upon the other
duplicate original his approval and the month, day and year of approval and
deliver it to the attorney-in-fact. Upon the date of approval of the
declaration of organization by the Director, the reciprocal is deemed to be
organized.
(Source: P.A. 77-747.)
(215 ILCS 5/72) (from Ch. 73, par. 684)
(Section scheduled to be repealed on January 1, 2027)
Sec. 72.
Authority
to solicit subscriptions to surplus.
Upon the approval of the declaration of organization by the Director, he
shall issue to the attorney-in-fact a permit, which shall expire at the end
of two years from its date, authorizing him to solicit subscriptions to
surplus in accordance with this Code and to do such other acts as may be
necessary and proper in order to complete its organization and to entitle
it to receive a certificate of authority to transact an insurance business.
(Source: Laws 1951, p. 1565.)
(215 ILCS 5/73) (from Ch. 73, par. 685)
(Section scheduled to be repealed on January 1, 2027)
Sec. 73.
Issuance of
certificate of authority.
When the Director has been notified that the required surplus has been
fully collected, he shall conduct an examination of the reciprocal. If he
finds that the organization is complete, that all of the requirements of
this Code have been met, that the required surplus has been fully
collected, and that the deposits provided for by Section 74 have been
met, he shall issue to the attorney-in-fact a certificate of authority to
transact the kind or kinds of business specified therein. No
attorney-in-fact shall transact any business of insurance until he or it
has received a certificate of authority as herein prescribed nor any
business of insurance not specified in such certificate of authority.
(Source: Laws 1951, p. 1565.)
(215 ILCS 5/74) (from Ch. 73, par. 686)
(Section scheduled to be repealed on January 1, 2027)
Sec. 74.
Deposit.
A domestic reciprocal subject to the
provisions of this Article shall make and maintain with the Director, for
the protection of all creditors, policyholders and policy obligations of
the reciprocal, a deposit of securities that are
authorized investments under Section 126.11A(1), 126.11A(2), 126.24A(1), or
126.24A(2), having a fair market value equal to the surplus required to be
maintained under Section 66.
The Director may release the required deposit of securities
upon receipt of
an order of a court having proper jurisdiction or
upon: (i)
certification by the reciprocal company that it has no outstanding creditors,
policyholders, or policy obligations in effect and no plans to engage in the
business of insurance; (ii) receipt of a lawful resolution of the
governing body of the reciprocal’s attorney-in-fact effecting the surrender of
its certificate of authority and declaration of organization for
administrative dissolution by the Director; and (iii) receipt of the name and
forwarding address for each of the final officers and directors of the
reciprocal’s attorney-in-fact,
together with a plan of dissolution approved by the Director.
(Source: P.A. 92-75, eff. 7-12-01.)
(215 ILCS 5/75) (from Ch. 73, par. 687)
(Section scheduled to be repealed on January 1, 2027)
Sec. 75.
Contingent
liability policy provisions.
(1) Except as provided in subsection (2) any contract of insurance
exchanged under this Article shall provide for a cash deposit and a
contingent several liability of the subscriber in an amount not less than
one nor more than 10 times the amount of the cash deposit stated in the
contract.
(2) In cases where contingent liability of subscribers is provided for,
the provision therefor must be plainly stated in each policy with
prominence equal to the indemnifying clause. In addition, each assessable
policy, other than an accident and health policy, issued or delivered in
this State after September 1, 1967 must have the following statement
printed in bold face type on the face of the policy: “This is an assessable
policy”. If a reciprocal has a surplus equal to the minimum capital and
surplus required in Section 13 for a stock company transacting the same
kind or kinds of business, such reciprocal may issue policies without
contingent liability. Any such reciprocal which has issued policies without
contingent liability after the acquisition of such surplus may continue to
do so as long as it maintains a surplus equal to the capital and minimum
surplus of a stock company doing the same kind or kinds of business, but no
reciprocal may issue such policies except during such time as it continues
to have such a surplus, provided, however, that any reciprocal which is,
immediately prior to July 1, 1965, issuing policies without contingent
liability, may continue to do so as long as it maintains a surplus equal in
amount to that which would have been required immediately prior to July 1,
1965. Any reciprocal with a surplus equal to the minimum capital and
surplus required in Section 13 for a stock company transacting the same
kind or kinds of business may issue policies without the limitations
contained in subsection (1). After July 18, 1967, no company subject to
this Article may make, levy or impose upon its subscribers any assessment
based on their contingent liability unless ordered by the Director pursuant
to Section 83 of this Code.
(Source: P.A. 83-333.)
(215 ILCS 5/76) (from Ch. 73, par. 688)
(Section scheduled to be repealed on January 1, 2027)
Sec. 76.
Guaranty
fund or guaranty capital.
Any domestic reciprocal may provide for a surplus by accumulating a
guaranty fund or guaranty capital in the same manner and upon the same
terms and conditions as is provided in Section 56 for mutual companies.
(Source: Laws 1937, p. 696.)
(215 ILCS 5/77) (from Ch. 73, par. 689)
(Section scheduled to be repealed on January 1, 2027)
Sec. 77.
Director as attorney – Service of process.
(1) The attorney-in-fact of every reciprocal transacting business in
this State shall file with the Director a duly executed instrument whereby
the attorney-in-fact shall appoint and constitute the Director and his
successor or successors in office, the true and lawful attorney of such
reciprocal upon whom all lawful process in any action or legal proceeding
against such reciprocal may be served and shall agree that any lawful
process against such reciprocal which may be served upon said attorney
shall be of the same force and validity as if served upon the
attorney-in-fact and that the authority thereof shall continue in force
irrevocably so long as any liability of the reciprocal in the State shall
remain outstanding.
(2) Any reciprocal transacting business in this State may sue or be sued
in the name or designation under which its contracts are authorized to be
exchanged. Any such suit may be brought in the county in which the cause of
action arises or in which the claimant resides, or in the county in which
the attorney-in-fact has his principal office. Service may be had upon such
reciprocal by service upon the last appointed attorney-in-fact or by
service upon the Director. Service of process on an individual subscriber
shall not constitute service upon the reciprocal. When such process is
served upon the Director, duplicate copies of such process shall be
delivered to him and he shall immediately forward one copy of such process
to the last appointed attorney-in-fact, by certified or registered mail, postage
prepaid, giving the date and hour of such service.
(Source: P.A. 83-598.)
(215 ILCS 5/78) (from Ch. 73, par. 690)
(Section scheduled to be repealed on January 1, 2027)
Sec. 78.
Governmental subscribers
accounts; dividends; other returns.
(a) The attorney-in-fact of a governmental reciprocal, in addition to
the books of account of the
reciprocal, shall keep and maintain from and after the effective date of
this amendatory Act of 1993, a separate account for each
individual subscriber, setting forth
therein the date or periods of the subscriber’s participation in the
reciprocal, the subscriber’s deposits, the
savings returned to
the subscriber and such other information as
may be necessary for the
determination of the subscriber’s proportionate share, if any, of the
surplus funds of the reciprocal in case of liquidation. The
attorney-in-fact shall not be required to file a list of the subscribers
with the Department.
(b) The board of directors of the attorney-in-fact of any governmental
reciprocal may in its discretion and subject to the prior approval of the
advisory
committee of the governmental reciprocal and the Director of Insurance:
- (1) declare dividends to its subscribers in the same manner and upon and subject to the same terms and conditions as are provided in Section 54 for mutual companies, except that the reference to “articles of incorporation” in Section 54 shall mean the declaration of organization or the power of attorney or other authority of the attorney-in-fact under which contracts of insurance are to be exchanged pursuant to this article as applied to governmental reciprocals; and
- (2) return guaranty fund or guaranty capital contributions in the same manner and upon and subject to the same terms and conditions as are provided in Section 56 for mutual companies and upon compliance with the provisions of the agreement to subscribe (the agreement to make the contributions), if any.
No payment or return of surplus (other than return of guaranty fund or
of guaranty capital) shall be made except in accordance with this Section and
sound business judgment.
(Source: P.A. 90-817, eff. 3-23-99.)
(215 ILCS 5/79) (from Ch. 73, par. 691)
(Section scheduled to be repealed on January 1, 2027)
Sec. 79.
Reserves.
All reciprocals subject to this Article shall maintain reserves
calculated in the same manner and upon the same basis as stock and mutual
companies doing the same kind or kinds of business are required to
maintain.
(Source: Laws 1937, p. 696.)
(215 ILCS 5/80) (from Ch. 73, par. 692)
(Section scheduled to be repealed on January 1, 2027)
Sec. 80. Amendments
to power of attorney and other documents.
(1) The attorney-in-fact of any reciprocal subject to the provisions of
this article may amend the declaration of organization or power of attorney
in any respect not in violation of law, but may not amend such documents to
insert any provision prohibited, or to delete any provision required, in
original declarations of organization or powers of attorney of a similar
domestic reciprocal organized under this Code.
(2) Amendments of the declarations of organization or powers of
attorney, shall be made in the following manner:
- (a) Amendment of declaration of organization. The attorney-in-fact shall sign and acknowledge, before an officer authorized to take acknowledgments, an amendment to the declaration of organization, in duplicate. When the attorney-in-fact is a corporation, such amendment shall be acknowledged by an officer thereof. The attorney-in-fact shall deliver such duplicate originals of the amendment to the Director. Such amendment may be approved or disapproved by the Director in the same manner as the original declaration of organization. If approved, the Director shall place on file in his office one of the duplicate originals of the amendment and shall endorse upon the other duplicate original his approval thereof and the month, day and year of such approval, and deliver it to the attorney-in-fact. The amendment shall be effective as of the date of the approval thereof by the Director.
- (b) Amendment of power of attorney. The attorney-in-fact shall deliver to the Director a copy of any form of power of attorney under or by virtue of which it is proposed that insurance is to be effected or exchanged, which varies from the form of any power of attorney previously filed with the Director by such attorney-in-fact, before the same shall be used by any reciprocal. Such power of attorney may be approved or disapproved by the Director in the same manner as the original power of attorney. If approved, the Director shall place on file in his office a duplicate original of the power of attorney and shall endorse upon the other duplicate original his approval thereof and the month, day and year of such approval, and deliver it to the attorney-in-fact. The amendment shall be effective as of the date of approval thereof by the Director.
(Source: P.A. 96-328, eff. 8-11-09.)
(215 ILCS 5/81) (from Ch. 73, par. 693)
(Section scheduled to be repealed on January 1, 2027)
Sec. 81.
Governmental agencies and corporations may be subscribers.
Any government or governmental agency, state or political subdivision
thereof, public or private corporation, board, association, estate, trustee
or fiduciary in this State, or elsewhere, may make application, enter into
agreements for, and hold policies or contracts in or with, and be a
subscriber of any reciprocal subject to the provisions of this Article. Any
officer, representative, trustee, receiver, or legal representative of any
such subscriber shall be recognized as acting for or on its behalf for the
purpose of such contract but shall not be personally liable upon such
contract by reason of acting in such representative capacity.
(Source: Laws 1937, p. 696.)
(215 ILCS 5/82) (from Ch. 73, par. 694)
(Section scheduled to be repealed on January 1, 2027)
Sec. 82.
Reinsurance.
Any domestic reciprocal may enter into reinsurance contracts subject to
the provisions of Article XI.
(Source: Laws 1937, p. 696.)
(215 ILCS 5/83) (from Ch. 73, par. 695)
(Section scheduled to be repealed on January 1, 2027)
Sec. 83.
Procedure
when insufficient assets are possessed by reciprocal.
(1) Whenever the Director finds that the admitted assets in excess of
all liabilities of a reciprocal are less than the amount required by
subsection (2) of Section 66, the Director shall proceed in the manner
set forth as provided in Section 60 applicable to mutual companies and
the reciprocal, its attorney-in-fact or any officers thereof, shall be
subject to the same requirements and penalties in such Section provided.
Nothing contained in this paragraph shall be construed to limit or restrict
the authority of any liquidator, conservator or rehabilitator acting under
the provisions of Article XIII or XIII 1/2 of this Act.
(2) The attorney-in-fact of any such reciprocal may repair such
deficiency within the period designated by the Director, by advancing the
amount or any part thereof, at an interest rate not exceeding 7% per annum.
The funds so advanced shall not be treated as a liability of such
reciprocal and such advance including interest thereon shall be repaid only
out of the surplus funds of the reciprocal in excess of the amount required
by Section 66.
(Source: Laws 1965, p. 2630.)
(215 ILCS 5/84) (from Ch. 73, par. 696)
(Section scheduled to be repealed on January 1, 2027)
Sec. 84.
Penalties.
No person shall act as attorney-in-fact for a reciprocal except in
accordance with the provisions of this Article and any person, who violates
any of the provisions of this Section or who knowingly participates in or
abets such violation shall be guilty of a business offense and shall be
required to pay a penalty of not more than one thousand dollars, for each
offense, to be recovered in the name of the People of the State of Illinois
by the State’s Attorney of the county in which the violation occurs, and
the penalty so recovered shall be paid into the county treasury.
(Source: P.A. 77-2699.)
(215 ILCS 5/85) (from Ch. 73, par. 697)
(Section scheduled to be repealed on January 1, 2027)
Sec. 85.
Application
of other Code provisions.
Unless otherwise provided in this Article every reciprocal shall be
subject to other applicable provisions of this Code.
(Source: Laws 1937, p. 696.)