Legislative Audit Commission
RESOLUTION NO. 121
Presented by Representative Mautino
WHEREAS, as of December 31, 1999, 26 Group Workers Compensation Self-insured Pools were licensed by the Department of Insurance (the Department);
WHEREAS, Workers Compensation Insurance is required for most employers under the Workers Compensation Act which is administered by the Illinois Industrial Commission (the Commission);
WHEREAS, during the past year, several Group Workers Compensation Self-insured Pools have been placed into liquidation due to insolvency, with deficits of over $15 million;
WHEREAS, for those Self-insured Pools that have been placed into liquidation, payment on compensation claims from injured workers have been delayed; an
WHEREAS, the Director of the Department of Insurance, acting as the Court Appointed Receiver, and by or through one or more special deputy receivers (herein referred to as the Office of the Special Deputy Receiver or OSD), is responsible for overseeing the conservation, rehabilitation and liquidation of insolvent domestic insurance companies; therefor
BE IT RESOLVED, BY THE Legislative Audit Commission that the Auditor General is directed to conduct a management audit of the Department, the OSD, the Commission and any other State agency with regard to their responsibilities pertaining to Group Workers Compensation Self-insured Pools in the State of Illinois; and be it further
RESOLVED that the audit include, but need not be limited to, the following determinations with regard to the Group Workers Compensation Self-insured Pools (Pools) in liquidation:
RESOLVED, that the Department, OSD, the Industrial Commission and any other entity that may have relevant information pertaining to this audit cooperate fully and promptly with the Auditor General's Office in the conduct of this audit;
RESOLVED, that the Auditor General commence this audit as soon as possible and report his findings and recommendations upon completion to the Legislative Audit Commission, the Governor and the members of the General Assembly.
Adopted this 26th day of June 2001.