5-12-2011; News from around the IWCC. Reinsurance Insurance Company of America liquidating and transcript payments clarified by new Notice form

While our sources at RIMS tell us most of their insurance was in the life insurance and personal sectors, Reinsurance Insurance Company of America wrote some WC coverage. If you have claims for which funds may be sought from Reinsurance Company of America, you will have to hold your water.

The IWCC has formally confirmed an Order of Liquidation was entered against Reinsurance Company of America on April 27, 2011. This order triggers the obligations of the Illinois Insurance Guaranty Fund for workers' compensation claims.

It also triggers a 120-day stay from the date of the order against insureds of Reinsurance, pursuant to 215 ILCS 5/551. This means that no findings, orders, judgments, or penalties should be made or awarded during the stay period. 

A copy of the order can be found on the web at http://www.iwcc.il.gov/RCAorder.pdf

In other and unrelated news, the IWCC Notice of Motion and Order form has also been revised in an effort to clarify responsibility for the payment of transcripts. A line was added to the top of the Notice of Motion and Order (IC4) form which indicates:

"Upon filing of a motion before a Commissioner on review, the moving party is responsible for payment for preparation of the transcript."

The forms section of the IWCC website reflects this change at http://www.iwcc.il.gov/IC04FORM.pdf