2008 Telegraph Fire in Mariposa County
Sierra Sun Times file photo
Department of Insurance sponsored eleven new laws signed in legislative session
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October 17, 2019 - SACRAMENTO, Calif. — Insurance Commissioner Ricardo Lara today thanked Governor Gavin Newsom for his recent actions in signing insurance-related bills this legislative session that protect California consumers. Among other bills sponsored or supported by the California Department of Insurance (CDI), the Governor signed Assembly Bill 1816 (Daly) that requires insurers to provide at least a 75-day notice when they nonrenew a homeowners’ policy for a policy that expires on or after July 1, 2020, and AB 1209 (Nazarian) that mandates more level premiums for consumers of long-term care insurance policies. Both of these bills address important issues affecting California consumers today.
- Assembly Bill 1099 authored by Assembly Majority Leader Ian Calderon which extends CDI’s California Organized Investment Network (COIN) Advisory Board until January 1, 2029, reauthorizes the Community Investment data call for July 1, 2021, and adds definitions related to the COIN program, including investments made in reservation-based communities and rural areas.
- Assembly Bill 1104 authored by Assembly Majority Leader Ian Calderon which gives the Department greater ability to protect consumers and provides additional tools to identify possible insolvencies in an annual assessment of long-term care companies.
- Assembly Bill 1535 authored by Assembly Member Wendy Carrillo which requires pet insurers to disclose the contact information for the underwriting insurer, the agent or broker, and CDI to consumers that hold pet insurance policies. This new law will provide consumers with greater transparency and help streamline the line of communication between pet owners and their pet insurance carriers so that insurers cannot hide behind confusing brand names anymore to avoid claims or complaints.
- Assembly Bill 1538 authored by Assembly Member Shirley Weber which clarifies that consumers have the right to choose a cash payment in lieu of repairing a damaged vehicle under an automobile insurance policy. This new law will codify an existing best practice by more than 98 percent of insurers in the marketplace today and will protect low income drivers so policyholders can still collect an insurance claim even if they choose not to repair the car.
- Assembly Bill 1813 authored by the Assembly Committee on Insurance which resolves issues identified by the Department to clarify and cleanup obsolete and superseded code sections and ensures the California Insurance Code is in line with technical aspects of the National Association of Insurance Commissioners (NAIC) model laws.
- Senate Bill 508 authored by Senator Connie Leyva which puts residents of mobile homes, condominiums, and rental housing on equal footing with homeowners when it comes to knowing about their rights under California law by requiring insurers to provide the Residential Property Insurance Disclosure statement and the California Residential Property Insurance Bill of Rights Disclosure.
- Senate Bill 534 authored by Senate Banking and Financial Institutions Committee Chair Steven Bradford which encourages competitive business procurement and governing board opportunities for all people by continuing the Insurance Supplier Diversity Survey, expanding diverse business categories to include LGBT-owned and veteran-owned businesses in addition to continuing the current minority, women and disabled veteran-owned business categories.
- Senate Bill 570 authored by Senate Insurance Committee Chair Susan Rubio which extends the California Low Cost Automobile Insurance Program to January 1, 2025, thus continuing this important auto liability insurance program for underserved consumers in need of affordable car insurance coverage. SB 570, among other things, also extended eligibility to students if they reside at the same address where they are claimed as a dependent.
- Senate Bill 740 authored by Senate Budget and Fiscal Review Committee Chair Holly Mitchell which mandates insurers to identify deceased individuals whose deaths may require insurers to pay benefits or proceeds to beneficiaries in accordance with the terms of life insurance policies, annuity contracts, or retained asset accounts. Under this new law, insurers are now required to attempt to locate beneficiaries of the deceased individuals and provide appropriate claims forms or instructions to the beneficiaries to make a claim.
- Senate Bill 784 authored by the Senate Committee on Health which conforms state law to both recent federal statutory changes and adopted NAIC Model Regulations made to the Medicare program and, specifically, Medicare Supplement policies issued on or after January 1, 2020 in order to ensure compliance with the federal Medicare Access and CHIP Reauthorization Act.
“Californians now have greater insurance protections in large part to the committed efforts of these bill authors. I sincerely thank them for their partnership as I look forward to continuing to work with them and their colleagues next year to close even more coverage gaps and secure more protections for those affected by disaster,” added Commissioner Lara.
Source: CPRB