Illinois Politicians Blame Governor for Bankrupt Auto-Accident Fund

By Marty Tallon | April 18, 2005

SPRINGFIELD, Ill.–Members of a government oversight committee haccused Gov. Rod Blagojevich’s administration of mismanagement for its handling of an auto insurance fund that ran out of money.

The $1.6 million insurance fund ran dry in October, leaving no money to pay claims against the state when some kinds of government employees are involved in auto accidents. At least 62 people have had to wait for their claim money and may face higher premiums.

Chairman Jack Franks (D-Woodstock) said the state would shut down a private insurance company if it operated so badly.
Daniel Fewkes, a lawyer for the Department of Central Management Services, said the state had reached agreements with insurance companies for many of the motorists involved in accidents with state employees. Their insurance companies will pay the claims and then be reimbursed by the state after the new budget year starts on July 1, he said. He said he doesn’t believe state employees would be held personally liable.

Copyright 2005 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Topics Auto Illinois

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Insurance Journal Magazine April 18, 2005
April 18, 2005
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