Chicago City Wire

Brad Stephens introduced HB3426 in the Illinois House on Feb. 7, 2025, during the general assembly session 104, according to the Illinois General Assembly.

According to the Illinois General Assembly site, the legislature summarized the bill's official text as follows: "Amends the Illinois Insurance Code. Increases one of the fees allowed as part of the taxable costs in a specified action to $240,000 (instead of $60,000). Provides that it shall be unlawful for any company transacting insurance business in this State to pay a claim of an insured property owner for loss by fire or explosion to a structure located in this State where the amount recoverable for loss to the structure under a policy exceeds $100,000 (instead of $25,000), until the insurance company receives the required certificate. Sets forth provisions concerning adjustment and settlement of first party property insurance losses based on replacement cost. Requires the insurer to replace items with material of like kind and quality so as to conform to a reasonably uniform appearance, including interior and exterior covered losses, when a covered loss for real property requires the replacement of an item or items and the replacement item or items do not match adjacent items in quality, color, or size. Excludes expenses to be reimbursed to the public adjuster from the 10% cap on a public adjuster's salary, fee, commission, compensation, or consideration. Provides that the policies must be individually underwritten for personal, family, or household use. Provides that expenses to be reimbursed to the public adjuster are not limited to emergency mitigation expenses, and requires expenses to be reimbursed to the public adjuster regardless of whether the expense is covered by the applicable insurance policy. Includes the named insured's public adjuster and the named insured's attorney as designees."

The following is our breakdown, based on the actual bill text, and may include interpretation to clarify its provisions.

In essence, this bill amends the Illinois Insurance Code to increase certain fees and adjust procedures related to insurance claims in Illinois. The allowable attorney's fee as part of the taxable costs in certain actions is increased to $240,000. Insurance companies cannot pay more than $100,000 for fire or explosion loss claims to a property until they receive a required certificate. The bill details that insurers must replace items with materials of similar quality for both interior and exterior losses if replacement items do not match existing ones. It excludes reimbursed expenses from the 10% cap on public adjuster fees, stipulating that these adjuster fees and the associated processes must be explicitly underwritten for personal use. New standards of conduct for public adjusters are also established, with requirements for transparency and ethical behavior. These include the prohibition of misleading representations and financial conflicts of interest. The bill takes effect Jan. 1, 2024.

Brad Stephens has proposed another five bills since the beginning of the 104th session.

Brad Stephens is currently serving in the Illinois State House, representing the state's 20th House District. He replaced previous state representative Michael P. McAuliffe in 2019.

Bills in Illinois follow a multi-step legislative process, beginning with introduction in either the House or Senate, followed by committee review, floor debates, and votes in both chambers before reaching the governor for approval or veto. The General Assembly operates on a biennial schedule, and while typically thousands of bills are introduced each session, only a fraction successfully pass through the process to become law.

You can read more about bills and other measures here.

Bill Number	Date Introduced	Short Description
HB3426	02/07/2025	Amends the Illinois Insurance Code. Increases one of the fees allowed as part of the taxable costs in a specified action to $240,000 (instead of $60,000). Provides that it shall be unlawful for any company transacting insurance business in this State to pay a claim of an insured property owner for loss by fire or explosion to a structure located in this State where the amount recoverable for loss to the structure under a policy exceeds $100,000 (instead of $25,000), until the insurance company receives the required certificate. Sets forth provisions concerning adjustment and settlement of first party property insurance losses based on replacement cost. Requires the insurer to replace items with material of like kind and quality so as to conform to a reasonably uniform appearance, including interior and exterior covered losses, when a covered loss for real property requires the replacement of an item or items and the replacement item or items do not match adjacent items in quality, color, or size. Excludes expenses to be reimbursed to the public adjuster from the 10% cap on a public adjuster's salary, fee, commission, compensation, or consideration. Provides that the policies must be individually underwritten for personal, family, or household use. Provides that expenses to be reimbursed to the public adjuster are not limited to emergency mitigation expenses, and requires expenses to be reimbursed to the public adjuster regardless of whether the expense is covered by the applicable insurance policy. Includes the named insured's public adjuster and the named insured's attorney as designees.
HB3427	02/07/2025	Amends the Department of Insurance Law of the Civil Administrative Code of Illinois. Creates the Public Adjuster Advisory Board within the Department of Insurance. Provides that the Board shall review and recommend changes to the licensure, license issuance, and requirements for licensed public adjusters in the State. Provides that the Board shall also prepare rules that may be adopted by the Department to protect commercial and residential consumers in situations where a catastrophic event has taken place. Sets forth provisions concerning membership, compensation, administrative support, and meetings. Provides that, no later than January 1, 2026, and each year thereafter, the Board shall submit a report to the Governor and the General Assembly concerning any issues relating to the licensing and operations of public adjusters in the State and any recommend policy changes to address those issues. Effective immediately.
HB3072	02/06/2025	Amends the Illinois Police Training Act. Provides that one member of the Office of the Sheriff of Cook County shall take the place of the Sheriff of Cook County on the Illinois Law Enforcement Training Standards Board.
HB2510	02/03/2025	Amends the Property Tax Code. Provides that a copy of the complaint shall also be served on each taxing district in which the property is located at least 90 days prior to the board of review hearing on the complaint. Effective immediately.
HB1752	01/24/2025	Amends the Illinois Income Tax Act. Creates an income tax deduction for any amounts paid by the taxpayer's employer on behalf of the taxpayer as part of an educational assistance program. Creates an income tax deduction for any amounts paid by the taxpayer on behalf of an employee of the taxpayer as part of an educational assistance program. Provides that the deductions are limited to the first $5,250 of such assistance so furnished to any individual. Effective immediately.
HB1648	01/23/2025	Amends the Downstate Firefighter Article of the Illinois Pension Code. Provides that a pensioner, annuitant, applicant for a refund, disability beneficiary, or other beneficiary does not have the right to transfer or assign his or her pension, annuity, refund, or disability benefit, or any part thereof, by mortgage or otherwise; except that an annuitant or disability beneficiary may direct, in writing, that a monthly payment be made to an association or organization with which the annuitant or disability beneficiary or the annuitant's or disability beneficiary's surviving spouse may be affiliated by virtue of his or her fire service or for hospitalization insurance purposes.
HB1502	01/21/2025	Amends the O'Hare Driver Safety Act. Defines "Department" as the Illinois Department of Transportation. In a provision prohibition stopping or standing within one-half mile of O'Hare International Airport, provides that "traffic route" refers to all routes within the defined radii, including routes that are under the jurisdiction or partial jurisdiction of the Department. Effective immediately.