Insurance Department Proposes Rules on Large-Deductible Policies

The Illinois Department of Insurance has proposed rules to implement a law adopted last year that requires employers that purchase workers' compensation policies with deductibles of more than $100,000 to post collateral. The proposed Part 2909 of Section 155.44 of the Illinois Insurance Code applies only to insurers with less than $200 million in surplus or are rated less than A- by A.M. Best Co., or have no A.M. Best rating. The rules are required by Senate Bill 1805, which was signed into law by Gov. Bruce Rauner last August. The proposed rules would prohibit carriers that&nbs...