WeVote
Log In

Bill

Bill

HB 2527

BURIAL TRANSPORT AGREEMENTS

104th Regular Session Introduced by Jaime Andrade

Creates a new transportation protection agreement category exempt from the Illinois Insurance Code, shifting regulatory oversight away from insurance rules.

Rule 19(a) / Re-referred to Rules Committee
0
WeVote Research Nonpartisan
Bill Summary · HB 2527

Summary — HB 2527: “Transportation Protection Agreements” (Illinois Funeral or Burial Funds Act)

Note: The materials provided include two different bills numbered HB 2527 (one from Arizona addressing electric‑generation retirements and one from Illinois addressing funeral/burial regulation). This summary focuses on the Illinois measure titled or described as relating to “burial transport agreements” (amendments to the Illinois Funeral or Burial Funds Act, 225 ILCS 45).

Purpose

The bill creates a new category called a “transportation protection agreement” (TPA) and clarifies that TPAs are not governed by the Illinois Insurance Code and are excluded from certain provisions of the Illinois Funeral or Burial Funds Act. The intent is to remove TPAs from insurance regulation and to explicitly exempt them from some requirements that apply to pre‑need funeral/burial contracts.

Key provisions

  • Adds Section 2c to the Illinois Funeral or Burial Funds Act (225 ILCS 45) establishing:
    • A definition for “transportation protection agreement”: an agreement that primarily provides or arranges services related to the preparation and transportation of human remains or cremated remains.
    • A statement that the Illinois Insurance Code does not apply to any transportation protection agreement sold by any seller.
  • Amends Sections 1, 1a, and 10 of the Act to:
    • Incorporate the TPA definition into the Act’s definitions section.
    • Clarify that nothing in the Funeral or Burial Funds Act applies to:
    • Merchandise delivered within 30 days of purchase,
    • A transportation protection agreement, or
    • Pre‑need cemetery sales under the Illinois Pre‑Need Cemetery Sales Act.
  • Retains existing statutory framework for pre‑need contracts, trusts, and other covered transactions unaffected by the carve‑out.

Who would be affected

  • Funeral homes, mortuaries, cemeteries and other sellers offering pre‑need contracts or transportation services.
  • Insurers and entities that previously treated transport‑related offerings as insurance products or subject to Insurance Code requirements.
  • Consumers purchasing transportation protection agreements — their regulatory protections and oversight would shift because TPAs would be outside the Insurance Code.

Potential impacts and considerations

  • Regulatory: Removing TPAs from the Insurance Code eliminates insurer‑style oversight (licensing, solvency, policy form/regulation) for those agreements. Oversight would fall to other applicable statutes or remain with the Funeral or Burial Funds Act only to the extent not explicitly preempted.
  • Consumer protection: Consumers might face different disclosure, trust, escrow or solvency protections than those that apply to insurance products. The practical effect depends on how TPAs are sold and what consumer protections remain under funeral/burial statutes or general consumer protection laws.
  • Market/practice: Funeral providers may be able to offer transport‑only products with fewer regulatory constraints, potentially simplifying product offerings but also raising questions about purchaser safeguards.

Procedural history (as provided)

  • Filed/introduced in Illinois: 2/4/2025 by Rep. Jaime M. Andrade, Jr.; first reading 2/4/2025; referred to Rules Committee and later to Consumer Protection Committee.
  • Committee actions and readings occurred in February–March 2025. The bill record supplied indicates it advanced through chamber readings and was transmitted to the Governor on 4/16/2025 and, per the provided actions, was vetoed on 4/18/2025.
  • Because the provided materials conflate actions and text from multiple states (Arizona and Illinois), verify the official legislative record (Illinois General Assembly website) for final status, exact votes, and any veto messages or subsequent override attempts.

Where to look for more detail

  • Text references: amendments to 225 ILCS 45 (Sections 1, 1a, new 2c, and 10).
  • Official Illinois General Assembly bill page for HB2527 (2025–2026) for full text, amendments, vote tallies, sponsor statements, and veto explanation (if any).

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.