HB 4160 Illinois House · 104th Regular Session

AUTO INS-RIGHT TO APPRAISAL

Summary
Amends the Illinois Insurance Code. Provides that every automobile insurance policy issued, renewed, or delivered in Illinois that includes first-party coverage for physical damage shall contain a provision granting either the insured or the insurer the right to invoke appraisal in the event of a dispute over (i) the actual cash value or amount of a loss, including repairable or total loss amounts; or (ii) the value of a settlement offer made to a third-party claimant. Sets forth provisions concerning the selection of appraisers; appointment of an umpire in the event of a disagreement between appraisers; issuance of the award following the appraisal; the binding effect of an agreement between appraisers or one appraiser and the umpire; cost allocation and consumer protections; the right of appraisal for third-party claimants; and enforcement and penalties. Creates the Automotive Appraisal Standards Advisory Board to provide guidance on rulemaking, enforcement priorities, and best practices. Sets forth membership provisions and provides that the Board shall meet no less than quarterly and may issue nonbinding recommendations to the Department of Insurance regarding updates to rules and emerging trends impacting fair claim resolution. Requires the Department to publish meeting summaries and any formal recommendations on its public website. Provides that the Department may adopt rules necessary to implement and enforce provisions concerning the right to appraisal. Effective 90 days after becoming law.
Bill status signed all 5 stages cleared
Introduction
Apr 2026
Committee Review
May 2026
House Passage
May 2026
Senate Passage
May 2026
Signed into Law
Aug 2026
Introduced Apr 15, 2026 Signed Aug 7, 2026
Maddy AI version diff · 2 comparisons

What changed between versions

Engrossed Enrolled · 6 edits · Aug 7, 2026
MODERATE
The bill was finalized as Enrolled, changing the section number from 143.13b to 398 and updating the effective date to July 1, 2027. Key policy changes include shifting from 'calendar days' to 'business days' for appraisal timelines, removing the right to appraise third-party settlement offers, and clarifying that the insured has the sole right to invoke the appraisal process without needing the insurer's consent.
Scope change
The bill now applies only to policies issued, renewed, or delivered on or after July 1, 2027, and the right to appraisal is limited to disputes over the amount of a loss, excluding third-party settlement offers.
TIMELINE

Changed all time limits for selecting appraisers and umpires from 'calendar days' to 'business days' to provide more time for the process.

Set a specific effective date of July 1, 2027, replacing the previous 90-day waiting period after the bill becomes law.

ELIGIBILITY

Removed the right to invoke appraisal for disputes regarding third-party settlement offers, limiting the process to first-party loss amounts only.

REQUIREMENT

Clarified that the insured has the sole discretion to invoke the appraisal process without requiring the insurance company's consent or agreement.

DEFINITION

Added specific definitions for 'Actual cash value' and 'Amount of loss' to clarify what is being appraised.

Updated the definition of 'Umpire' to explicitly require them to be 'neutral, competent, and disinterested'.

Floor votes · Senate May 28, 2026 · House Apr 14, 2026

How they voted

552
Passed · 1 other
Total votes 58
May 28, 2026
D Democratic39
39 Yea
100% Yea
R Republican19
16 Yea 2 Nay 1
84% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
63
Key actions
20
Committee
23
Amendments
7
Aug 7, 2026
Signed into law
Governor Approved
lower
May 31, 2026
Lower · Passed
Passed Both Houses
lower
May 31, 2026
Lower · Passed
Senate Committee Amendment No. 2 House Concurs 115-000-000
lower
May 29, 2026
Lower · Passed
Senate Committee Amendment No. 2 Motion to Concur Recommends Be Adopted Insurance Committee; 016-000-000
lower
May 29, 2026
Committee
Senate Committee Amendment No. 2 Motion to Concur Rules Referred to Insurance Committee
lower
May 28, 2026
Committee
Senate Committee Amendment No. 2 Motion to Concur Referred to Rules Committee
lower
May 28, 2026
Lower · Passed
Senate Committee Amendment No. 2 Motion Filed Concur Rep. Tracy Katz Muhl
lower
May 28, 2026
Introduced
Placed on Calendar Order of Concurrence Senate Amendment(s) 2
lower
May 28, 2026
Introduced
Arrived in House
lower
May 28, 2026
Amended
Senate Committee Amendment No. 1 Tabled Pursuant to Rule 5-4(a)
upper
May 28, 2026
Upper · Passed
Third Reading - Passed; 056-002-000
upper
May 19, 2026
Upper · Passed
Do Pass as Amended Insurance; 008-000-000
upper
May 19, 2026
Upper · Passed
Senate Committee Amendment No. 2 Adopted
upper
May 19, 2026
Upper · Passed
Senate Committee Amendment No. 1 Postponed - Insurance
upper
May 19, 2026
Upper · Passed
Senate Committee Amendment No. 2 Assignments Refers to Insurance
upper
May 15, 2026
Committee
Senate Committee Amendment No. 2 Referred to Assignments
upper
May 15, 2026
Introduced
Senate Committee Amendment No. 2 Filed with Secretary by Sen. Julie A. Morrison
upper
May 15, 2026
Upper · Passed
Rule 2-10 Committee Deadline Established As May 22, 2026
upper
May 12, 2026
Upper · Passed
Senate Committee Amendment No. 1 Postponed - Insurance
upper
May 8, 2026
Upper · Passed
Rule 2-10 Committee Deadline Established As May 15, 2026
upper
May 5, 2026
Upper · Passed
Senate Committee Amendment No. 1 Postponed - Insurance
upper
May 5, 2026
Upper · Passed
Senate Committee Amendment No. 1 Assignments Refers to Insurance
upper
Apr 29, 2026
Committee
Senate Committee Amendment No. 1 Referred to Assignments
upper
Apr 29, 2026
Introduced
Senate Committee Amendment No. 1 Filed with Secretary by Sen. Julie A. Morrison
upper
Apr 28, 2026
Committee
Assigned to Insurance
upper
Apr 15, 2026
Committee
Referred to Assignments
upper
Apr 15, 2026
Introduced
Arrive in Senate
upper
Apr 14, 2026
Lower · Passed
Third Reading - Short Debate - Passed 073-038-000
lower
Apr 14, 2026
Lower · Passed
House Floor Amendment No. 1 Adopted
lower
Apr 9, 2026
Lower · Passed
House Floor Amendment No. 1 Recommends Be Adopted Insurance Committee; 010-006-000
lower
Apr 8, 2026
Lower · Passed
House Floor Amendment No. 1 Rules Refers to Insurance Committee
lower
Apr 8, 2026
Committee
House Floor Amendment No. 1 Referred to Rules Committee
lower
Apr 8, 2026
Introduced
House Floor Amendment No. 1 Filed with Clerk by Rep. Tracy Katz Muhl
lower
Mar 18, 2026
Lower · Passed
Do Pass / Short Debate Insurance Committee; 010-004-000
lower
Feb 24, 2026
Committee
Assigned to Insurance Committee
lower
Oct 15, 2025
Committee
Referred to Rules Committee
lower
2 primary · 8 co-sponsors

Sponsors