Illinois · statute · 215 ILCS 120 · 17 active provisions
Scope. This Act shall apply to: (1) companies organized or operating prior to the effective date of this Act, under an Act entitled, "An Act relating to local mutual district, county and township insurance companies", approved March 13, 1936, as amended, and (2) any fire insurance company, corporation or association op…
Farm Mutual Insurance Companies. Any district, county, township or special act mutual insurance company now authorized to write insurance in this State shall hereafter be known as a "Farm Mutual Insurance Company". (Source: P.A. 84-1431.)
Definitions. For purposes of this Act unless the context clearly requires otherwise: "Policyholders' Surplus" means a company's admitted assets less its liabilities, including its liability for an unearned premium reserve. "Direct Premium Written" means those amounts charged policyholders pursuant to the company's rati…
Definition of Admitted Assets. Admitted assets shall include those investments permitted under Section 12 of this Act and in addition thereto, only the following: (1) Cash funds held in the company's office and under the company's control. (2) Interest due and accrued on bonds, certificates of deposit and other investm…
Kinds of Insurance. (1) Any company operating under this Act is authorized to insure or to accept reinsurance from other farm mutual companies against loss or damage by: (a) any peril or perils, except earthquake, resulting in physical loss or damage to property; (b) animal mortality; (c) consequential loss coverages i…
Territories. The territories of a farm mutual insurance company are limited to its domiciliary county and counties contiguous thereto. However, territories may be expanded by amendment to its articles of incorporation in accordance with Section 7 of this Act. Territorial limitations shall not apply to reinsurance assum…
Additional Territory. Any farm mutual insurance company may amend its articles of incorporation to include other adjoining counties, provided that the company's net written premium did not exceed 3 times its policyholders' surplus as reported in its last financial statement. Subject to the approval of the Director of I…
Amendment of Articles of Incorporation. (1) A farm mutual company may amend its articles of incorporation in any respect not in violation of this Act. (2) Amendments to the articles shall be made in the following manner: The board of directors shall adopt a resolution to amend the articles of incorporation and sign a S…
Qualification of Membership - Of Directors - Representatives - Personal Liability. Only policyholders residing in the territory in which the farm mutual insurance company is authorized to write insurance shall become a director of such company. Any person, public or private corporation, board, estate or association own…
Property insurable; limitations of risk. (a) Until the date that is 5 years after the effective date of this amendatory Act of the 103rd General Assembly this subsection (a) applies: (1) Farm mutual insurance companies are permitted to insure the following classes of property: (A) Farm property, including residences an…
Premium and assessments. The company shall collect from its members such premiums, fees and assessments as the directors shall find necessary or as prescribed in the bylaws. Every policy issued pursuant to this Act shall contain a provision setting forth the contingent liability of its members. Each member shall be lia…
Investments. Without the prior approval of the Director, the funds of any company operating under or regulated by the provisions of this Act, shall be invested only in the following: (1) Direct obligations of the United States of America, or obligations of agencies or instrumentalities of the United States to the exten…
Annual statement - filing of - penalty for late filing. Every company authorized under this Act shall file with the Director by January 31 of each year a financial statement for the year ending December 31 of the year preceding on forms prescribed by the Director. A company may request the Director to grant an extensio…
Membership requirement. Any company which, on or after December 31, 1988, fails to maintain a minimum of 100 members shall be subject to liquidation pursuant to Article XIII of the Illinois Insurance Code. (Source: P.A. 84-1431.)
Application of law. Companies subject to this Act shall be subject to the provisions of Article X (Merger) and Article XXV of the Illinois Insurance Code but shall not be subject to any other provisions of the Illinois Insurance Code unless specifically enumerated therein. (Source: P.A. 90-583, eff. 5-29-98.)
New companies prohibited. No farm mutual insurance company shall be incorporated after the effective date of this Act. (Source: P.A. 84-1431.)
This Article shall be known and may be cited as the "Farm Mutual Insurance Company Act of 1986". (Source: P.A. 84-1431.)