On March 25, 2021, the Illinois Legislature passed SB 72, which, if not vetoed, will establish prejudgment interest at a 6% annual rate on personal injury actions in Illinois. As passed, the bill would:
- Set the prejudgment interest rate at 6% annually. As with all Illinois prejudgment and post-judgment interest, the rate is simple interest and not compounded.
- The prejudgment interest will only apply to compensatory damages. It will not apply to punitive damages, statutory attorneys’ fees, or costs.
- The interest will run from the date the complaint is filed.
- Interest will be cut off after 5 years, so the