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A bill that would give agents the flexibility to place certain auto insurance business with surplus line carriers instead of the state’s auto insurance plan passed the Illinois House Insurance Committee 14-0. The bill has already passed the Senate. A similar bill was vetoed last year by Democratic Gov. Rod Blagojevich last year, but the governor’s concerns have been addressed, according to Surplus Lines Association of Illinois Executive Director David Ocasek. The governor was concerned that consumers would have less redress against insolvent surplus lines insurers, but he was assuaged by A.M. Best data showing that domestic surplus line carriers’ insolvency rates are superior to domestically licensed insurers, according to Ocasek. The bill would allow agents to directly seek a surplus lines quote for commercial auto risk after three standard-market declinations. Currently, agents are forced to place the business with the Illinois Automobile Insurance Plan. For personal auto risks, if the limits and coverage being sought are available in the residual market, the business must be placed there. If not, an agent can place the business with a surplus line carrier. Again, this can only be done after three declinations from standard-market insurers. The “overwhelming majority” of business affected by the bill would be commercial auto, according to Ocasek.Chances of the bill’s passage appear good.