SPRINGFIELD, Ill. (WAND) — A bill heading to Gov. JB Pritzker’s desk could protect homeowners from unfair tax hikes.

The legislation could ban insurance companies from increasing homeowner insurance premiums by more than 10% without notifying consumers 60 days prior. It would also prohibit homeowner insurance premiums from being excessive, inadequate, or unfairly discriminatory.

Sponsors said insurance companies would be banned from shifting the cost of losses in other states to Illinois homeowners as well.

"This is a great bill for affordability for our consumers," said Rep. Thaddeus Jones (D-Calumet City). "This is negotiated as perfectly as we could with the industry, adding their language to this bill." 

Although the Illinois Insurance Association said this change could cause homeowner insurance premiums to increase on average up to 20% or $230. 

"The impacts may not be felt immediately, but in the long term, the state’s current highly competitive market is likely to suffer, and consumers could ultimately pay the price through higher insurance costs and more limited coverage options," said the Illinois Insurance Association, American Property Casualty Insurance Association and the National Association of Mutual Insurance Companies.

House Bill 4273 passed out of the House on a 72-38 vote Wednesday night. The measure previously received a 43-14 vote in the Senate. 

"The average Illinois homeowner now pays well over $3,000 annually for coverage," said Sen. Michael Hastings (D-Frankfort). "Those aren’t just numbers on a page. These are real people in Frankfort, Springfield, and Chicago and every community in between, who are forced [to choose] between paying their insurance [premiums] and covering groceries." 

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