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CATA readies for new session of Illinois General Assembly

November 23, 2010
The Chicago Automobile Trade Association and its lobbyists are preparing for the new session of the state's General Assembly, which convenes next week, to petition for legislation that would benefit CATA dealers. One matter dealers have discussed pertains to a law that took effect last week, wherein a driver's insurance is primary on loaner vehicles. Previously, a dealer's insurance was primary both for loaners and test-drives. However, the new law indicates that a dealer's insurance reverts to primary status if the driver's insurance policy does not carry a 100/ 300/50 liability minimum ($100,000 for bodily injury or death of any person; $300,000 for bodily injury or death of any two or more persons in one accident; and $50,000 for property damage). The state's current minimum insurance amounts are 20/40/15. Some dealers have indicated they could be hampered by the 100/300/50 minimum stipulation because insurance coverage amounts do not appear on drivers insurance cards, and few drivers can readily recite their coverage limits. Lobbyists for the CATA said they might appeal for a reduction to state liability minimums so that it is clear whose insurance is primary if an accident occurs involving a loaner vehicle. Any bills to be considered during this year's session of the General Assembly must be submitted in January or February. If CATA dealers have a matter they believe can be resolved by legislation, they should contact the association this month. Lobbyists have cautioned that 2003 may be a challenging session with a new administration in the governor's mansion.
 

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