Section 415 ILCS 135/45 - Insurance account(a) The insurance account shall offer financial assurance for a qualified owner or operator of a drycleaning facility under the terms and conditions provided for under this Section. Coverage may be provided to either the owner or the operator of a drycleaning facility. Neither the Agency nor the Council is required to resolve whether the owner or operator, or both, are responsible for a release under the terms of an agreement between the owner and operator.(b) The source of funds for the insurance account shall be as follows: (1) moneys allocated to the insurance account;(2) moneys collected as an insurance premium, including service fees, if any; and(3) investment income attributed to the insurance account.(c) An owner or operator may purchase coverage of up to $500,000 per drycleaning facility subject to the terms and conditions under this Section and those adopted by the Council before July 1, 2020 or by the Board on or after that date. Coverage shall be limited to remedial action costs associated with soil and groundwater contamination resulting from a release of drycleaning solvent at an insured drycleaning facility, including third-party liability for soil and groundwater contamination. Coverage is not provided for a release that occurred before the date of coverage.(d) An owner or operator, subject to underwriting requirements and terms and conditions deemed necessary and convenient by the Council for periods before July 1, 2020 and subject to terms and conditions deemed necessary and convenient by the Board for periods on or after that date, may purchase insurance coverage from the insurance account provided that: (1) a site investigation designed to identify soil and groundwater contamination resulting from the release of a drycleaning solvent has been completed for the drycleaning facility to be insured and the site investigation has been found adequate by the Council before July 1, 2020 or by the Agency on or after that date;(2) the drycleaning facility is participating in and meets all drycleaning compliance program requirements adopted by the Board pursuant to Section 12 of this Act;(3) the drycleaning facility to be insured is licensed under Section 60 of this Act and all fees due under that Section have been paid;(4) the owner or operator of the drycleaning facility to be insured provides proof to the Agency or Council that: (A) all drycleaning solvent wastes generated at the facility are managed in accordance with applicable State waste management laws and rules;(B) there is no discharge of wastewater from drycleaning machines, or of drycleaning solvent from drycleaning operations, to a sanitary sewer or septic tank, to the surface, or in groundwater;(C) the facility has a containment dike or other containment structure around each machine, item of equipment, drycleaning area, and portable waste container in which any drycleaning solvent is utilized, that is capable of containing leaks, spills, or releases of drycleaning solvent from that machine, item, area, or container, including: (i) 100% of the drycleaning solvent in the largest tank or vessel; (ii) 100% of the drycleaning solvent of each item of drycleaning equipment; and (iii) 100% of the drycleaning solvent of the largest portable waste container or at least 10% of the total volume of the portable waste containers stored within the containment dike or structure, whichever is greater;(D) those portions of diked floor surfaces at the facility on which a drycleaning solvent may leak, spill, or otherwise be released are sealed or otherwise rendered impervious;(E) all drycleaning solvent is delivered to the facility by means of closed, direct-coupled delivery systems; and(F) the drycleaning facility is in compliance with paragraph (2) of this subsection (d) ; and(5) the owner or operator of the drycleaning facility to be insured has paid all insurance premiums for insurance coverage provided under this Section. Petroleum underground storage tank systems that are in compliance with applicable USEPA and State Fire Marshal rules, including, but not limited to, leak detection system rules, are exempt from the secondary containment requirement in subparagraph (C) of paragraph (4) of this subsection (d).
(e) The annual premium for insurance coverage shall be: (1) For the year July 1, 1999 through June 30, 2000, $250 per drycleaning facility.(2) For the year July 1, 2000 through June 30, 2001, $375 per drycleaning facility.(3) For the year July 1, 2001 through June 30, 2002, $500 per drycleaning facility.(4) For the year July 1, 2002 through June 30, 2003, $625 per drycleaning facility.(5) For each subsequent program year through the program year ending June 30, 2019, an owner or operator applying for coverage shall pay an annual actuarially sound insurance premium for coverage by the insurance account. The Council may approve Fund coverage through the payment of a premium established on an actuarially sound basis, taking into consideration the risk to the insurance account presented by the insured. Risk factor adjustments utilized to determine actuarially sound insurance premiums should reflect the range of risk presented by the variety of drycleaning systems, monitoring systems, drycleaning volume, risk management practices, and other factors as determined by the Council. As used in this item, "actuarially sound" is not limited to Fund premium revenue equaling or exceeding Fund expenditures for the general drycleaning facility population. Actuarially determined premiums shall be published at least 180 days prior to the premiums becoming effective.(6) For the year July 1, 2020 through June 30, 2021, and for subsequent years through June 30, 2029, $1,500 per drycleaning facility per year.(7) For July 1, 2029 through January 1, 2030, $750 per drycleaning facility.(f) If coverage is purchased for any part of a year, the purchaser shall pay the full annual premium. Until July 1, 2020, the insurance premium is fully earned upon issuance of the insurance policy. Beginning July 1, 2020, coverage first commences for a purchaser only after payment of the full annual premium due for the applicable program year.(g) Any insurance coverage provided under this Section shall be subject to a $10,000 deductible.(h) A future repeal of this Section shall not terminate the obligations under this Section or authority necessary to administer the obligations until the obligations are satisfied, including, but not limited to, the payment of claims filed prior to the effective date of any future repeal against the insurance account until moneys in the account are exhausted. Upon exhaustion of the moneys in the account, any remaining claims shall be invalid. If moneys remain in the account following satisfaction of the obligations under this Section, the remaining moneys in and moneys due to the account shall be deposited in the remedial action account.Amended by P.A. 103-0154,§ 610, eff. 6/30/2023.Amended by P.A. 101-0605,§ 10, eff. 12/31/2019.Amended by P.A. 101-0400,§ 15, eff. 7/1/2020, effective date amended to 12/31/2019 by P.A. 101-0605,§ 5.Amended by P.A. 098-0327,§ 5, eff. 8/13/2013.Amended by P.A. 093-0201, § 5, eff. 1/1/2004. P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.