Bill Text: CA AB703 | 2023-2024 | Regular Session | Amended

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Bill Title: Residential property insurance: dog breeds.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2024-02-01 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB703 Detail]

Download: California-2023-AB703-Amended.html

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Amended  IN  Assembly  March 02, 2023

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Assembly Bill

No. 703

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Introduced by Assembly Member Hart

February 13, 2023

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An act to amend Section 381 of add Section 679.76 to the Insurance Code, relating to insurance.

LEGISLATIVE COUNSEL'S DIGEST

AB 703, as amended, Hart. Insurance policies. Residential property insurance: dog breeds.

Existing law generally regulates residential property insurance, including homeowners’ insurance and renters’ insurance. Existing law prohibits an insurer from canceling or refusing to renew a residential property insurance policy in specified circumstances, including on the basis that the applicant or insured person is, has been, or may be a victim of domestic violence.

Existing law regulates animal control agencies and the ownership of dogs. Existing law provides for a process for an animal control agency to declare a dog “potentially dangerous” or “vicious,” and requires an owner of a potentially dangerous dog to closely regulate the dog’s behavior.

This bill would prohibit an insurer from refusing to issue, canceling, refusing to renew, or increasing the premium for a policy of residential property insurance on the sole basis that the applicant or insured owns or harbors a dog that is a specific breed or mixture of breeds, except if the dog is known to be or has been declared potentially dangerous or vicious. The bill would authorize an insurer to ask an applicant or insured if a dog that they own or harbor is known to be or has been declared potentially dangerous or vicious.

Existing law generally regulates the rules governing insurance and insurance contracts. Existing law requires an insurance policy to specify certain information, including the parties to the contract, the property or life insured, the risks insured against, and the coverage period.

This bill would make technical, nonsubstantive changes to that provision governing the policy.

Digest Key

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

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Bill Text

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

SECTION 1.

 Section 679.76 is added to the Insurance Code, to read:

679.76.

 (a) An insurer shall not refuse to issue, cancel, refuse to renew, or increase the premium for renewal of a policy of residential property insurance based solely on an applicant or an insured harboring or owning a dog of a specific breed or mixture of breeds.

(b) This section does not prohibit an insurer from refusing to issue or renew or canceling a policy of residential property insurance or imposing a reasonable increased premium or rate based on sound underwriting and actuarial principles on the basis that a particular dog that is harbored or owned is known to be or has been declared potentially dangerous or vicious in accordance with Chapter 9 (commencing with Section 31601) of Division 14 of the Food and Agricultural Code.

(c) An insurer shall not ask an applicant or insured or inquire about a specific breed or mixture of breeds of dog that the applicant or insured harbors or owns. An insurer may ask an applicant or insured if the dog is known to be or has been deemed potentially dangerous or vicious under Chapter 9 (commencing with Section 31601) of Division 14 of the Food and Agricultural Code.

(d) For purposes of this section, “policy of residential property insurance” has the same meaning as defined in Section 10087.

SECTION 1.Section 381 of the Insurance Code is amended to read:

381.

A policy shall specify:

(a)The parties between whom the contract is made.

(b)The property or life insured.

(c)The interest of the insured in property insured, if they are not the absolute owner thereof.

(d)The risks insured against.

(e)The period during which the insurance is to continue.

(f)Either:

(1)A statement of the premium, or

(2)If the insurance is of a character where the exact premium is only determinable upon the termination of the contract, a statement of the basis and rates upon which the final premium is to be determined and paid.