Terms Used In Illinois Compiled Statutes > 110 ILCS 350 - University of Illinois Institutes for Juvenile Research and Developmental Disabilities Act
Advisory Organization: means every person, other than an insurance company who as its primary functions (i) compiles insurance statistics, or (ii) prepares insurance policies, bond forms, and underwriting rules, and (iii) furnishes that which it compiles and prepares to insurance companies who are its only members and subscribers. See Illinois Compiled Statutes 215 ILCS 5/123A-2
Affiliated company: includes a parent entity that controls a captive insurance company and: (1) is an affiliate of another entity if the entity
directly or indirectly, through one or more intermediaries, controls, is controlled by, or is under common control with the other entity. See Illinois Compiled Statutes 215 ILCS 5/123C-1
Amortization: Paying off a loan by regular installments.
Appellate: About appeals; an appellate court has the power to review the judgement of another lower court or tribunal.
Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
Association: means any entity meeting the requirements set forth in either of the following paragraphs (1), (2) or (3): (1) any organized association of individuals, legal
representatives, corporations (whether for profit or not for profit), partnerships, trusts, associations, units of government or other organizations, or any combination of the foregoing, that has been in continuous existence for at least one year, the member organizations of which collectively:
(a) own, control, or hold with power to vote
(directly or indirectly) all of the outstanding voting securities of an association captive insurance company incorporated as a stock insurer; or
(b) have complete voting control (directly or
indirectly) over an association captive insurance company organized as a mutual insurer;
(2) any organized association of individuals, legal
representatives, corporations (whether for profit or not for profit), partnerships, trusts, associations, units of government or other organizations, or any combination of the foregoing:
(a) whose member organizations are engaged in
businesses or activities similar or related with respect to the liability of which such members are exposed by virtue of any related, similar, or common business, trade, product, services, premises, or operations; and
(b) whose member organizations: (i) directly or indirectly own or control,
and hold with power to vote, at least 80% of all of the outstanding voting securities of an association captive insurance company incorporated as a stock insurer; or
(ii) directly or indirectly have at least 80%
of the voting control over an association captive insurance company organized as a mutual insurer; or
(3) any risk retention group, as defined in
subsection (11) of Section 123B-2, domiciled in this State and organized under this Article; however, beginning 6 months after the effective date of this amendatory Act of 1995, a risk retention group shall no longer qualify as an association under this Article. See Illinois Compiled Statutes 215 ILCS 5/123C-1
Association captive insurance company: means any company that insures risks of (i) the member organizations of an association, and (ii) their affiliated companies. See Illinois Compiled Statutes 215 ILCS 5/123C-1
Attorney-in-fact: A person who, acting as an agent, is given written authorization by another person to transact business for him (her) out of court.
Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
Captive insurance company: means any pure captive insurance company, association captive insurance company or industrial insured captive insurance company organized under the provisions of this Article. See Illinois Compiled Statutes 215 ILCS 5/123C-1
Completed operations liability: means liability arising out of the installation, maintenance, or repair of any product at a site which is not owned or controlled by: (a) any person who performs that work; or (b) any person who hires an independent contractor to
perform that work; but shall include liability for activities which are completed or abandoned before the date of the occurrence giving rise to the liability. See Illinois Compiled Statutes 215 ILCS 5/123B-2
Control: means the power to direct, or cause the direction of, the management and policies of an entity, other than the power that results from an official position with or corporate office held in the entity. See Illinois Compiled Statutes 215 ILCS 5/123C-1
Controlled unaffiliated business: means an entity: (1) that is not an affiliate; (2) that has an existing contractual relationship
with an affiliate under which the affiliate bears a potential financial loss; and
Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
Discovery: Lawyers' examination, before trial, of facts and documents in possession of the opponents to help the lawyers prepare for trial.
Entitlement: A Federal program or provision of law that requires payments to any person or unit of government that meets the eligibility criteria established by law. Entitlements constitute a binding obligation on the part of the Federal Government, and eligible recipients have legal recourse if the obligation is not fulfilled. Social Security and veterans' compensation and pensions are examples of entitlement programs.
Escrow: Money given to a third party to be held for payment until certain conditions are met.
Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
Fiduciary: A trustee, executor, or administrator.
Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
Fraud: Intentional deception resulting in injury to another.
Freedom of Information Act: A federal law that mandates that all the records created and kept by federal agencies in the executive branch of government must be open for public inspection and copying. The only exceptions are those records that fall into one of nine exempted categories listed in the statute. Source: OCC
Gift: A voluntary transfer or conveyance of property without consideration, or for less than full and adequate consideration based on fair market value.
Grand jury: agreement providing that a lender will delay exercising its rights (in the case of a mortgage,
Guardian: A person legally empowered and charged with the duty of taking care of and managing the property of another person who because of age, intellect, or health, is incapable of managing his (her) own affairs.
Hazardous financial condition: means that, based on its present or reasonably anticipated financial condition, a risk retention group, although not yet financially impaired or insolvent, is unlikely to be able: (a) to meet obligations to policyholders with respect
to known claims and reasonably anticipated claims; or
(b) to pay other obligations in the normal course of
Heretofore: means any time previous to the day on which the statute takes effect; and the word "hereafter" at any time after such day. See Illinois Compiled Statutes 5 ILCS 70/1.17
Industrial insured: means an insured which (together with its affiliates) at the time of its initial procurement of insurance from an industrial insured captive insurance company: (1) has available to it advice with respect to the
purchase of insurance through the use of the services of a full-time employee acting as an insurance manager or buyer or the services of a regularly and continuously retained qualified insurance consultant; and
(2) pays aggregate annual premiums in excess of
$100,000 for insurance on all risks except for life, accident and health; and
(3) either (i) has at least 25 full-time employees,
Industrial insured captive insurance company: means any company that insures risks of industrial insureds that are members of the industrial insured group, and their affiliated companies. See Illinois Compiled Statutes 215 ILCS 5/123C-1
Industrial insured group: means any group of industrial insureds that collectively: (1) directly or indirectly (including ownership or
control through a company which is wholly owned by such group of industrial insureds) own or control, and hold with power to vote, all of the outstanding voting securities of an industrial insured captive insurance company incorporated as a stock insurer; or
(2) directly or indirectly (including control through
a company which is wholly owned by such group of industrial insureds) have complete voting control over an industrial insured captive insurance company organized as a mutual insurer; provided, however, that no member organization may (i) own, control, or hold with power to vote in excess of 25% of the voting securities of an industrial insured captive insurance company incorporated as a stock insurer, or (ii) have more than 25% of the voting control of an industrial insured captive insurance company organized as a mutual insurer. See Illinois Compiled Statutes 215 ILCS 5/123C-1
Injunction: An order of the court prohibiting (or compelling) the performance of a specific act to prevent irreparable damage or injury.
Insurance: means primary insurance, excess insurance, reinsurance, surplus lines insurance, and any other arrangement for shifting and distributing risk which is determined to be insurance under the laws of Illinois. See Illinois Compiled Statutes 215 ILCS 5/123B-2
Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
Liability: means : (a) legal liability for damages (including costs of
defense, legal costs and fees, and other claims expenses) because of injuries to other persons, damage to their property, or other damage or loss to such other persons resulting from or arising out of:
(i) any business (whether for profit or not for
profit), trade, product, services (including professional services), premises, or operations; or
(ii) any activity of any state or local
government, or any agency or political subdivision thereof; but
(b) does not include personal risk liability and an
Member: means an insurance company who participates in or is entitled to participate in the management of an advisory organization. See Illinois Compiled Statutes 215 ILCS 5/123A-2
Member organization: means any individual, legal representative, corporation (whether for profit or not for profit), partnership, association, unit of government, trust or other organization that belongs to an association or an industrial insured group. See Illinois Compiled Statutes 215 ILCS 5/123C-1
Month: means a calendar month, and the word "year" a calendar year unless otherwise expressed; and the word "year" alone, is equivalent to the expression "year of our Lord. See Illinois Compiled Statutes 5 ILCS 70/1.10
Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
Nonprofit organizations: means organizations described in paragraph (3) of subsection (c), and exempt from taxation under subsection (a), of Section 501 of the Internal Revenue Code. See Illinois Compiled Statutes 215 ILCS 5/123D-5
Nonprofit risk organization: means a nonprofit company organized to do business solely with nonprofit organizations as a qualified charitable risk pool under subsection (n) of Section 501 of the Internal Revenue Code that is organized in accordance with this Article. See Illinois Compiled Statutes 215 ILCS 5/123D-5
Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
Oversight: Committee review of the activities of a Federal agency or program.
Parent: means a corporation, partnership, individual or other legal entity that directly or indirectly owns, controls, or holds with power to vote more than 50% of the outstanding voting securities of a company. See Illinois Compiled Statutes 215 ILCS 5/123C-1
Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
Personal property: All property that is not real property.
Personal risk liability: means liability for damage because of injury to any person, damage to property, or other loss or damage resulting from any personal, familial, or household responsibilities or activities, rather than from responsibilities or activities referred to in paragraph (a) of subsection (6) of this Section; (8) "Plan of operation or a feasibility study" means an analysis which presents the expected activities and results of a risk retention group including, at a minimum: (a) information sufficient to verify that its members
are engaged in businesses or activities similar or related with respect to the liability to which such members are exposed by virtue of any related, similar, or common business, trade, product, services, premises or operations;
(b) for each state in which it intends to operate,
the coverages, deductibles, coverage limits, rates, and rating classification systems for each line of insurance the group intends to offer;
(c) historical and expected loss experience of the
proposed members and national experience of similar exposures to the extent this experience is reasonably available;
(d) pro forma financial statements and projections; (e) appropriate opinions by a qualified, independent
casualty actuary, including a determination of minimum premium or participation levels required to commence operations and to prevent a hazardous financial condition;
(f) identification of management, underwriting and
risk retention group has obtained, or sought to obtain, a charter and license and a description of its status in each such state; and
(g) such other matters as may be prescribed by the
commissioner of the state in which the group is chartered for liability insurance companies authorized by the insurance laws of such state. See Illinois Compiled Statutes 215 ILCS 5/123B-2
Product liability: means liability for damages because of any personal injury, death, emotional harm, consequential economic damage, or property damage (including damages resulting from the loss of use of property) arising out of the manufacture, design, importation, distribution, packaging, labeling, lease, or sale of a product, but does not include the liability of any person for those damages if the product involved was in the possession of such a person when the incident giving rise to the claim occurred. See Illinois Compiled Statutes 215 ILCS 5/123B-2
Prosecute: To charge someone with a crime. A prosecutor tries a criminal case on behalf of the government.
Purchasing group: means any group which: (a) has as one of its purposes the purchase of
liability insurance on a group basis;
(b) purchases such insurance only for its group
members and only to cover their similar or related liability exposure, as described in paragraph (c) of this subsection (10);
(c) is composed of members whose businesses or
activities are similar or related with respect to the liability to which members are exposed by virtue of any related, similar, or common business, trade, product, services, premises, or operations; and
Qualified independent actuary: means a person that is either: (1) a member in good standing with the Casualty
Actuarial Society; or
(2) a member in good standing with the American
Academy of Actuaries who has been approved as qualified for signing casualty loss reserve opinions by the Casualty Practice Council of the American Academy of Actuaries. See Illinois Compiled Statutes 215 ILCS 5/123C-1
Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land.
Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
Risk retention group: means any corporation or other limited liability association: (a) whose primary activity consists of assuming and
spreading all, or any portion, of the liability exposure of its group members;
(b) which is organized for the primary purpose of
conducting the activity described under paragraph (a) of this subsection (11);
(c) which: (i) is organized and licensed as a liability
insurance company and authorized to engage in the business of insurance under the laws of any state; or
(ii) before January 1, 1985 was organized or
licensed and authorized to engage in the business of insurance under the laws of Bermuda or the Cayman Islands and, before such date, had certified to the insurance commissioner of at least one state that it satisfied the capitalization requirements of such state, except that any such group shall be considered to be a risk retention group only if it has been engaged in business continuously since such date and only for the purposes of continuing to provide insurance to cover product liability or completed operations liability (as such terms were defined in the Product Liability Risk Retention Act of 1981 before the date of the enactment of the Risk Retention Act of 1986);
(d) which does not exclude any person from membership
in the group solely to provide for members of such a group a competitive advantage over such a person;
(e) which: (i) has as its owners (directly or indirectly)
only persons who comprise the membership of the risk retention group and who are provided insurance by such group; or
(ii) has as its sole owner (directly or
indirectly) an organization which:
(I) has as its members only persons who
comprise the membership of the risk retention group; and
(II) has as its owners only persons who
comprise the membership of the risk retention group and who are provided insurance by such group;
(f) whose members are engaged in businesses or
activities similar or related with respect to the liability of which such members are exposed by virtue of any related, similar, or common business, trade, product, services, premises, or operations;
(g) whose activities do not include the provision of
insurance other than:
(i) liability insurance for assuming and
spreading all or any portion of the liability of its group members; and
(ii) reinsurance with respect to the liability of
any other risk retention group (or any members of such other group) which is engaged in businesses or activities so that such group or member meets the requirement described in paragraph (f) of this subsection (11) for membership in the risk retention group which provides such reinsurance; and
Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
Tort: A civil wrong or breach of a duty to another person, as outlined by law. A very common tort is negligent operation of a motor vehicle that results in property damage and personal injury in an automobile accident.
Unit of government: includes any state, regional or local government, or any agency or political subdivision thereof, or any district, authority, public educational institution or school district, public corporation or other unit of government in this State or any similar unit of government in any other state. See Illinois Compiled Statutes 215 ILCS 5/123C-1
