Illinois prompt pay law: deadlines, interest, and how to use it

Yes. Illinois's prompt-pay law (215 ILCS 5/368a) requires insurers and HMOs to pay clean claims within a set window or pay interest on the overdue amount.

The key rules

• Clean claims are generally due within 30 days of receipt (with electronic submission emphasized)
• Late payment accrues statutory interest, commonly cited around 9% per annum, on the overdue amount
• The payer must pay or take proper action within the window; unjustified delay triggers the interest
• Applies to state-regulated commercial insurers and HMOs

How to use it

• Use the receipt date to measure the 30-day window and flag late clean claims
• Calculate interest at the statutory rate and request it; Illinois interest is owed automatically on qualifying late claims
• Cite 215 ILCS 5/368a when raising it with the payer
• Escalate patterns of late payment to the Illinois Department of Insurance

Confirm the current statutory interest rate and the exact day-count. Prompt-pay rules reach state-regulated (fully insured) commercial plans, not ERISA self-funded employer plans, which are a large share of commercial volume. Medicare and Medicaid pay under their own separate prompt-payment rules. Confirm the current payment window, interest rate, and penalty against the statute or your state insurance department before citing a figure in an appeal, since rates are reset by legislation and by annual DOI rate-setting.

See the revenue Illinois payers owe you.

Volari finds the denials and underpayments in your written-off pile — no risk, paid only on what we recover.