50 Ill. Adm. Code Part 3113, complete Part: Secs. 3113.10 through 3113.70 and Exhibit A, 8 sections: Premium Fund Trust Account
Edition and licensing notes
Publisher. Illinois Joint Committee on Administrative Rules (JCAR), ilga.gov
Edition. Illinois Administrative Code, Title 50, as published by the Joint Committee on Administrative Rules (JCAR) on ilga.gov. JCAR prints each Part's amendment history as a SOURCE note on the Part's section index; the history for this Part was read at retrieval and is quoted in this note.
Status. Illinois Administrative Code, public domain (Joint Committee on Administrative Rules, Illinois General Assembly).
What this document is
50 Ill. Adm. Code Part 3113 - Premium Fund Trust Account (complete Part: Secs. 3113.10 through 3113.70 and Exhibit A, 8 sections) is a regulation published by Illinois Joint Committee on Administrative Rules (JCAR), ilga.gov. It is one of the Illinois documents that insurance license exam questions are written from, including illinois life & health, illinois property & casualty, illinois personal lines practice questions. This page summarizes it and points to the official version, which is the text to rely on.
Sections cited in practice questions
Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.
- 50 Ill. Adm. Code 3113.40(j) (Premium Fund Trust Account; required balance)
“The PFTA balance in the financial institution shall at all times be the amount deposited less lawful withdrawals. If the balance in the financial institution is less than the amount deposited less lawful withdrawals, the licensee shall be deemed to have misappropriated fiduciary funds and to have...”
- 50 Ill. Adm. Code 3113.40(c) (Premium Fund Trust Account)
“A PFTA must be established and maintained if a licensee: 1) Holds any premiums for 15 days or more before remitting to an insurer or other licensee. 2) Deposits any collected premiums into a financial institution account or other account or uses the premiums, even though the premiums are remitted within 15 days.”
- 50 Ill. Adm. Code 3113.60(a) (Return Premium)
“Return premiums must be paid to the insured or credited to the insured's account within 15 days after receipt from the insurer or other licensee. If the return premium is reflected as a credit on the licensee's billing statement from the insurer or other licensee, the licensee must pay the return...”
- 50 Ill. Adm. Code 3113.40(a) (Premium Fund Trust Account)
“All licensees required to maintain a PFTA, pursuant to subsection (c), shall establish and maintain a PFTA in a financial institution. All resident and quasi-resident licensees required to maintain a PFTA pursuant to this Section shall maintain such PFTA with one or more financial institutions...”
- 50 Ill. Adm. Code 3113.60(b) (Return Premium)
“If the credit results in a credit balance on the insured's account the credit must be returned within 15 days unless the licensee receives written authorization from the insured to retain the credit balance and other developed credit balances for a period of no more than 12 months from the date of...”
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