Bill Text: CA SB1065 | 2013-2014 | Regular Session | Amended
Bill Title: Insurance: reports: electronic submission.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Engrossed - Dead) 2014-08-25 - Ordered to inactive file on request of Assembly Member V. Manuel Pérez. [SB1065 Detail]
Download: California-2013-SB1065-Amended.html
BILL NUMBER: SB 1065 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY JUNE 9, 2014
AMENDED IN SENATE MARCH 28, 2014
INTRODUCED BY Senator Monning
FEBRUARY 18, 2014
An act to amend Sections 11629.85 and 13902 of, and to
add Section 45.5 to, to the
Insurance Code, relating to insurance.
LEGISLATIVE COUNSEL'S DIGEST
SB 1065, as amended, Monning. Insurance: reports: electronic
submission.
Existing law provides for the regulation of insurers by the
Department of Insurance. Existing law directs the Insurance
Commissioner to enforce the execution of laws regulating the business
of insurance. The existing Insurance Code requires various entities
to submit certain reports to specified committees of the Legislature.
This bill would, except as specified,
would authorize certain reports required to be
submitted to a committee of the Legislature pursuant to the Insurance
Code to be submitted electronically, as specified. The bill would
also make other technical, nonsubstantive changes.
require any report that is required under the Insurance Code to
be submitted to a committee of the Legislature to also be submitted
as an electronic or printed copy to the Legislative Counsel.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no yes .
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 45.5 is added to the Insurance Code, to read:
45.5. (a) A For purposes of this section,
"report" includes any study or audit.
(b) Any report required under this code to be submitted to a
committee of the Legislature shall also be submitted as an electronic
or printed copy to the Legislative Counsel.
(c) Reports required under Sections 1872.95, 11629.85, and 13902
may be submitted electronically to a committee of the Legislature.
This subdivision is not intended to prohibit the submission of a
report electronically if authorized by any other law or the consent
of any legislative committee.
(d) (1) If a
report required under this code is
to be submitted electronically to a committee of the
Legislature , it may be submitted electronically in any
of the following ways:
(1)
(A) Providing the committee a digital copy of the
report delivered by electronic means to a person or account
designated to receive reports and in a form acceptable to
the committee .
(2)
(B) Providing the committee a digital copy of the
report stored on permanent media delivered by first-class mail.
(3)
(C) Placing the report on the reporting entity's
Internet Web site so that it is publicly available for a period of no
less than three years. If a report is submitted electronically in
accordance with this paragraph, subparagraph,
the committee shall be provided notice of
that the report is available that includes
specific instructions on how to access the report and how to request
a hardcopy. The notice shall be delivered by first-class mail or by
electronic means, means and addressed
to the person or account designated to receive reports and
in a form acceptable to the committee .
(b) This section shall not apply to reports required under
Sections 38.5, 10089.13, 10965.9, and 11885, of the Insurance Code.
(2) Reports and notices submitted electronically shall be provided
in a standard format accessible by software or other means that is
available without charge or obligation and is acceptable to the
committee.
SEC. 2. Section 11629.85 of the Insurance Code
is amended to read:
11629.85. (a) On or before March 1 of each year, the commissioner
shall prepare and propose a plan to the Senate Committee on
Insurance and the Assembly Committee on Insurance setting forth the
methods the commissioner intends to implement to inform households
eligible for the program about the availability of low-cost
automobile insurance. To be eligible for funding through the budget
process, the plan shall be reviewed by the Senate Committee on
Insurance and the Assembly Committee on Insurance. The information
required under subdivision (c) shall also be provided to the Senate
Committee on Transportation and Housing and the Assembly Committee on
Transportation.
(b) The plan shall include, at a minimum, a brief description of
methods proposed to be used, anticipated costs, sources of revenue,
goals, targets, objectives, and a justification of the proposed
methods. The plan shall also explain how the department proposes to
work in cooperation with the California Automobile Assigned Risk
Plan, the social service departments in eligible counties, the
Department of Motor Vehicles, and community-based organizations in
order to inform eligible households of the existence of the program.
(c) The plan shall also include all of the following:
(1) The commissioner's determination regarding whether the program
has been successful, based on the criteria specified in subdivision
(d), and an explanation regarding that success or lack thereof.
(2) In cooperation with the California Automobile Assigned Risk
Plan, structural characteristics of the program that may require
statutory revision in order for the program to succeed or to improve
upon existing success.
(3) Impediments to success of the program that can reasonably be
overcome by revision to the strategies adopted by the department.
(4) A detailed explanation of the department's use for the program
of funds assessed pursuant to Section 1872.81.
(5) For the previous calendar year, a list of the total low-cost
auto premium for each county in which the program was available.
(d) The program is successful if the following occur:
(1) The program generated sufficient premiums to cover losses
incurred under policies issued under the program, and expenses
incurred by the program, as calculated pursuant to subdivision (c) of
Section 11629.72.
(2) The program served the public purpose of offering access to
automobile insurance to otherwise underserved communities in the
program areas.
(3) The program offered access to automobile insurance to
previously uninsured motorists seeking affordable coverage in the
program areas.
(4) The program's outreach efforts lead uninsured motorists to
contact a producer, and the driver obtains any auto insurance policy
that complies with California law.
(e) Any written or oral advertisements, including, but not limited
to, paid or unpaid commercial or noncommercial advertising, by the
department with reference to the low-cost automobile insurance
program shall reference the department and shall not reference the
commissioner by name or office, or include the commissioner's voice,
image, or likeness. The department shall not participate with any
nongovernmental entity that produces or intends to produce
advertisements or educational material that include the name of the
commissioner or his or her voice, image, or likeness, and that are
intended to make eligible households aware of the existence of
low-cost automobile insurance.
SEC. 3. Section 13902 of the Insurance Code is
amended to read:
13902. (a) Any insurance pool, established pursuant to this
division, may be organized as a nonprofit corporation, limited
liability company, partnership, or trust, whether organized under the
laws of this state or another state or operating in another state.
(b) Any insurance pool established pursuant to this division shall
have initial pooled resources of not less than two million five
hundred thousand dollars ($2,500,000) in the form of cash or cash
equivalents.
(c) Any insurance pool established pursuant to this division shall
maintain adequate reinsurance to protect against its risks.
(d) Any insurance pool established pursuant to this division shall
furnish a copy of the pool's annual audited financial statement and
most recent actuarial review, by first-class mail or by any other
method of delivery, including electronic transmission, to the
Assembly Committee on Housing and Community Development, the Assembly
Committee on Insurance, the Senate Committee on Insurance, and the
Senate Committee on Transportation and Housing within 180 days of the
close of the pool's fiscal year. If, in the period of time since the
last submittal required by this subdivision, any of the following
has occurred, the transmittal letter accompanying the annual audited
financial statement and most recent actuarial review shall so
indicate and shall provide a brief description of each matter:
(1) There has been a change to the pool's plan of financing,
management, or operation, including any material amendment to any of
those plans.
(2) A claims audit report has been filed with any regulatory body
with respect to the pool.
(3) A report of examination issued by any regulatory body with
respect to the pool has been received.
(4) There has been a material change in the scope of the
regulation of the pool by other states in which the pool operates.
