CHICAGO -- Grieving Illinois families may not get all the life insurance benefits they are entitled to when a loved one dies.
That’s why State Treasurer Mike Frerichs and others are calling on the General Assembly to override Governor Bruce Rauner’s amendatory veto of House Bill 302 (The Live insurance Reform Act).
The legislation would require life insurers to search their records for unpaid death benefits dating back to 2000.
Audits conducted by the treasurer’s office from 2011 to 2015 found more than $550 million in benefits that were not paid to Illinois families.
Rauner’s veto would stop such audits. The governor said in his veto, HB 302 contradicts Illinois’ administrative rules which only require insurance companies to keep lapsed or terminated policy records for five years.
At a news conference Wednesday morning at the Thompson Center in the Loop, Lynn Lucchese-Soto talked about a life insurance policy for her two adopted sons, whose mother was killed in a car accident.
A treasurer’s office audit found the policy, which Lucchese-Soto says she didn’t know existed.