Bill Text: CA AB374 | 2017-2018 | Regular Session | Introduced

California Assembly Bill 374 (Prior Session Legislation)

Introduced

Bill Title: Insurance.

Sponsorship: Partisan Bill (Republican 1)

Status: (Failed) 2018-02-01 - Died at Desk. [AB374 Detail]

Download: California-2017-AB374-Introduced.html

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill

No. 374

Introduced by Assembly Member Melendez

February 09, 2017

An act to amend Section 105 of the Insurance Code, relating to insurance.

LEGISLATIVE COUNSEL'S DIGEST

AB 374, as introduced, Melendez. Insurance.

Existing law defines surety insurance to include, among other things, guaranteeing of behavior of persons and the guaranteeing of performance of contracts other than insurance policies and other than for payments secured by a mortgage, deed of trust, or other instrument constituting a lien or charge on real estate.

This bill would make technical, nonsubstantive changes to those provisions.

Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO

The people of the State of California do enact as follows:

SECTION 1.

Section 105 of the Insurance Code is amended to read:

105.

Surety insurance ~~includes:~~ includes all of the following:

(a) The guaranteeing of behavior of persons and the guaranteeing of performance of ~~contracts (including~~ contracts, including executing or guaranteeing bonds and undertakings required or permitted in all actions or proceedings or by law ~~allowed),~~ allowed, other than insurance policies and other than for payments secured by a mortgage, deed of trust, or other instrument constituting a lien or charge on real estate.

(b) Insurance against loss resulting from the forgery or alteration of any instrument of any kind or character or of any signature thereon. Nothing in this section shall be deemed to limit any of the powers of title insurers.

(c) Any of the following insurance when included as a part of contract containing any ~~such~~ guarantee of behavior or performance or in a contract indemnifying any bank, banker, broker, ~~financial~~ financial, or moneyed corporation or association, any state, political subdivision, public or municipal corporation, or any officer of any state, political subdivision, public or municipal corporation: Insurance indemnifying the insured named therein against loss or destruction from any cause of any evidences of debt of any kind or character, evidences of ownership of any kind or character, deeds, mortgages, warehouse receipts, bills of lading, certificates of stock, bonds, notes, drafts, checks, instruments of similar character, stamps, documents, money, precious metals of any kind or character, refined or unrefined, and articles made therefrom, jewelry, watches, necklaces, bracelets, gems and precious and semiprecious stones, and also against loss or damage, except by fire, to the insured’s premises, furnishings, fixtures, equipment, safes and vaults therein caused by burglary, robbery, holdup, theft or larceny or an attempt thereat. ~~No such insurance~~ Insurance indemnifying against loss of any property as specified herein shall not indemnify against loss of any ~~such~~ property occurring while in the mail or in the exclusive custody or possession of a common carrier for the purpose of transportation, except for the purpose of transportation by an armored motor vehicle.

(d) ~~No insurance may~~ Insurance shall not be written as surety insurance if it falls within the definition of financial guaranty insurance as set forth in Section 12100.