NICB Urges Illinois Governor to Sign Measure Aimed at Towing Fraud

The National Insurance Crime Bureau (NICB) urges Illinois Governor Bruce Rauner to sign into law Senate Bill 2261 to help protect consumers from the rampant towing fraud that has long plagued the state.

The bill, which has passed both the House and Senate, was supported by NICB, the Illinois Insurance Association and others.

If signed by the Governor, it would create a Statewide Relocation Towing Licensure Commission — a task force that will work over the next year to fully examine the towing laws in the state and report back to the legislature. The commission would have representation from the auto insurance industry in addition to state lawmakers, the towing industry and law enforcement.

In addition SB 2261:

• Makes it a class 4 felony for a tower to illegally solicit business at an accident scene; and
• Allows a vehicle owner or the owner's insurer to file suit against a tower that violates the accident scene solicitation section, including recovery of all attorney fees and court costs.

"This is a major step forward as we attempt to put limitations on the rogue tow operators that have plagued many areas of the state, especially the Chicago area," said NICB President and CEO Joe Wehrle. "Motorists should not be subject to predatory towing practices that result in outrageous charges and tactics, such as holding cars hostage in salvage yards until the owner or their insurance company pay what amounts to a ransom to get the vehicle returned."

Anyone with information concerning insurance fraud or vehicle theft can report it anonymously by calling toll-free 800-TEL-NICB (800-835-6422) or by submitting a form on our website.