HB4248*LRB10416598AAS38193a* EngrossedRep. LRB104 16598 SPS 29998 b AN ACT concerning business.

BeMaura itHirschauer enactedFiled: by the People of the State of Illinois, represented in the General Assembly:

Section5/21/2026 1.10400HB4248ham003 LRB104 16598 AAS 38193 a AMENDMENT TO HOUSE BILL 4248 AMENDMENT NO.

Short______. title.

ThisAmend ActHouse mayBill be4248, citedAS asAMENDED, thewith Algorithmicreference Pricingto Prohibitionpage Act.and line numbers of House Amendment No.

Section2, 5.on page 5, line 11, by replacing "relationship;" with "relationship.";

Legislativeand findings.on page 5, by deleting lines 12 through 15;

Theand Generalon Assemblypage finds5, line 18, by replacing "demand." with "demand, which includes changes in market demand, competitive conditions, and declares:the seller's cost structure.";

(1) Consumers increasingly purchase goods and serviceson frompage businesses5, thatimmediately collectbelow andline process21, browsingby behavior,inserting geolocationthe data,following: purchase history, and other personal data.

(2)"(d) BusinessesThis useAct automateddoes systemsnot andapply data-drivento algorithmsthe topricing generateof pricesany contract or policy of insurance that mayis varysubject amongto rules regarding pricing to consumers foradopted by the sameDepartment goodsof Insurance, including a surety contract, a dental service plan, a health 10400HB4248ham003 -2- LRB104 16598 AAS 38193 a care plan, a limited health care plan, or services.a voluntary health services plan.

(3)(e) TheseThis practices,Act sometimesdoes referrednot apply to asany "surveillanceprovider pricing",of mayfinancial limitservices, including a consumer'sfinancial abilityinstitution, a financial institution affiliate, a broker-dealer, a registered investment advisor, or an entity that provides consumer credit products, such as credit cards, personal loans, and mortgages, that is subject to comparison-shoprules adopted by the Department of Financial and mayProfessional enableRegulation pricingor basedrules onor aregulations consumer'sadopted perceivedby willingnessany federal financial regulatory agency regarding pricing or disclosures, including terms disclosed to pay.consumers.".

(4) Prohibiting these practices is necessary to promote fair dealing, consumer protection, and market integrity.

Section 10.

Definitions.

In this Act:

HB4248 Engrossed - 2 - LRB104 16598 SPS 29998 b "Algorithmic pricing" means a price for consumer goods or services generated, in whole or in part, using an automated decision system, machine-learning model, or data-driven algorithm.

"Consumer" means a natural person who is an Illinois resident acting only in an individual or household context.

"Covered entity" means any person or entity that sells or offers to sell consumer goods or services to consumers in this State.

"Personal data" means information linked or reasonably linkable to a specific consumer, including, but not limited to, browsing history, search queries, geolocation data, prior purchases, digital identifiers, or demographic profile data.

"Personalized price" means a price for consumer goods or services that is set for a consumer based on the consumer's personal data.

"Surveillance pricing" means algorithmic pricing that uses a consumer's personal data to generate a personalized price.

Section 15.

Surveillance pricing prohibition.

A covered entity shall not engage in surveillance pricing.

Section 20.

Application of law.

(a) This Act does not apply to price changes that are the result of:

(1) fluctuations in the cost of acquiring, producing, HB4248 Engrossed - 3 - LRB104 16598 SPS 29998 b transporting, or distributing inventory, including, but not limited to, changes in wholesale prices, manufacturing costs, labor, insurance, or other input costs associated with providing goods or services to different consumers;

(2) objective cost differences directly related to the provision, supply, or sale of goods or services to consumers in different geographic areas, market regions, or delivery locations, including, but not limited to, reasonable variations reflecting the costs or conditions associated with serving particular areas or responding to differing levels of supply or demand;

(3) supply chain disruptions, including, but not limited to, delays, shortages, allocation by suppliers, changes in shipping modes or routes, or other logistical constraints that reasonably affect the seller's costs or available quantities;

(4) time-limited sales, promotions, or discounts that are offered in good faith and in the usual course of the seller's business, including introductory pricing, seasonal or clearance sales, and advertised promotional events;

(5) the imposition, repeal, or adjustment of any tax, fee, surcharge, or assessment imposed by federal, State, or local law, or any pass-through of such amounts to the consumer;

(6) variations in shipping, delivery, or handling HB4248 Engrossed - 4 - LRB104 16598 SPS 29998 b costs, including fuel surcharges and carrier rate changes, and any pass-through of such costs to the consumer;

(7) application of any discounts, coupons, promotional offers, rebates, limited-time sales, loyalty or club member pricing, price comparison tools, competition price matching or other reductions or incentives offered to the consumer, including differentiated pricing based on participation in the programs, or accumulation or redemption of rewards;

(8) special discount programs, including differentiated pricing offered to individuals who meet publicly disclosed eligibility criteria, such as teachers, employees, active-duty or retired military personnel, senior citizens, and students;

(9) any fees, surcharges, or other charges that are imposed or set by third parties, including payment processors, delivery platforms, or other intermediaries, and any pass-through of such amounts to the consumer;

(10) differential prices that are offered or provided to a consumer as a good faith credit, refund, rebate, or discount issued in response to:

(A) a service disruption, error, or other failure to deliver a good or service as promised or expected;

(B) a billing dispute or discrepancy;

(C) a request for account retention or cancellation;