215 ILCS 5/524: FAIR Plan Procedure.

(Text of Section before amendment by P.A. 104-645)

(1) Any person having an insurable interest in real or tangible personal property at a fixed location in an urban area who, after diligent effort has been unable to obtain basic property insurance, as evidenced by 3 attempts to procure such insurance, is entitled upon application to the Facility to an inspection and evaluation of the property by representatives of the Inspection Bureau.

(2) Any person who is an owner-resident of a one to four family dwelling unit at a fixed location in an urban area and whose residential real property insurance coverage has been nonrenewed through the voluntary insurance market shall be entitled to submit a binding application of coverage to the Facility for such period of time as is required by the Facility to conduct a reasonable inspection of the residential real property.

(3) The manner and scope of the inspection and evaluation report for nonresidential property shall be prescribed by the Facility with the approval of the Director. The inspection must include, but need not be limited to, pertinent structural and occupancy features as well as the general condition of the building and surrounding structures. A representative photograph of the property may be taken as part of the inspection.

(4) Promptly after the request for inspection is received an inspection must be made and an inspection report filed with the company or companies designated by the Facility. A copy of the completed inspection and evaluation report must be sent to the Facility and made available to the applicant and to insurers in the voluntary insurance market upon request.

(5) If the Inspection Bureau finds that the residential property meets the reasonable underwriting standards established under Section 525, the applicant shall be so informed in writing. If the residential property does not meet the criteria, the applicant shall be informed, in writing, of the reasons for the failure of the residential property to meet the criteria.

(6) If, at any time, the applicant makes improvements in the residential property or its condition which he or she believes are sufficient to make the residential property meet the criteria, a representative of the Inspection Bureau shall reinspect the residential property upon request. In any case, the applicant for residential property insurance shall be eligible for one reinspection any time beginning 60 days after his or her initial Fair plan inspection. If upon reinspection the residential property meets the reasonable underwriting standards established under Section 525, the applicant shall be so informed in writing.

(Text of Section after amendment by P.A. 104-645)

Association application procedure.

(1) Any person having an insurable interest in a one-family to 4-family residential real property at a fixed location in this State or nonresidential real property at a fixed location in this State who, after diligent effort, has been unable to obtain basic property insurance in the standard insurance market, as evidenced by the person's written representation to the Association of at least 3 unsuccessful attempts to procure such insurance, is entitled, upon application to the Association, to an evaluation of the property by representatives of the Inspector.

(2) Any person who is an owner-resident of a one-family to 4-family residential real property at a fixed location in this State and whose basic property insurance has been nonrenewed through the standard insurance market shall be entitled, upon application to the Association, to an evaluation of the property by representatives of the Inspector.

(2.5) Promptly after the Association receives a properly completed application for coverage, an evaluation in accordance with the Association's then-existing underwriting standards must be made by the Inspector and an evaluation report must be filed with the Association. A copy of the completed evaluation report must be made available to the applicant upon written request. On and after the effective date of this amendatory Act of the 104th General Assembly, all properly completed applications must be submitted to the Association by an Illinois-licensed agent registered with the Association. The Association's governing committee shall determine the commission rate for licensed insurance producers and the method of payment for the commissions.

(3) The manner and scope of the inspection and evaluation report for a property shall be consistent with reasonable underwriting standards. The inspection must include, but need not be limited to, pertinent structural and occupancy features as well as the general condition of the building and surrounding structures. Representative photographs or videos of the property may be taken as part of the inspection.

(4) (Blank).

(5) If the Association finds that the property meets the Association's underwriting standards, the applicant shall be so informed in writing. If the property does not meet the Association's underwriting standards, the applicant shall be informed, in writing, of the reasons for the failure of the property to meet the underwriting standards.

(6) If, at any time, the applicant makes improvements in the property or its condition that the applicant believes are sufficient to make the property meet the Association's underwriting standards, the Inspector shall reevaluate the property upon request. In any case, the applicant for residential property insurance shall be eligible for one reevaluation any time beginning 60 days after the initial evaluation. If, upon reevaluation, the property meets the reasonable underwriting standards established by the Association, the applicant shall be so informed in writing.