Bill Text: CA SB1424 | 2015-2016 | Regular Session | Amended
Bill Title: Insurance.
Sponsorship: Partisan Bill (Democrat 1)
Status: (Failed) 2016-11-30 - From committee without further action. [SB1424 Detail]
Download: California-2015-SB1424-Amended.html
BILL NUMBER: SB 1424 AMENDED
BILL TEXT
AMENDED IN SENATE MARCH 28, 2016
INTRODUCED BY Senator Wieckowski
FEBRUARY 19, 2016
An act to amend Section 700 of the Corporations Code,
relating to corporations. An act to amend Section
11580.17 of the Insurance Code, relating to insurance.
LEGISLATIVE COUNSEL'S DIGEST
SB 1424, as amended, Wieckowski. Shareholder voting.
Insurance.
Existing law creates the Department of Insurance, headed by the
Insurance Commissioner, and prescribes the department's powers and
duties. Existing law prohibits the department from prohibiting an
insurer from inspecting a motor vehicle prior to issuing collision or
comprehensive coverage for the vehicle. Existing law also requires
an insurer conducting these inspections to inspect every motor
vehicle for which coverage is requested except new motor vehicles and
motor vehicles previously insured. Existing law requires the
inspection to be done by the insurer or its agent, and to be
performed not more than 20 miles from the address where the vehicle
is insured.
This bill would allow the above inspection to be performed not
more than 25 miles from the address where the vehicle is insured.
Existing law, the General Corporation Law, authorizes a
corporation to issue one or more classes or series of shares with
full, limited, or no voting rights and with such other rights,
preferences, privileges and restrictions as are stated or authorized
in articles of incorporation of that corporation. Existing law
generally provides that each outstanding share is entitled to one
vote on each matter submitted to a vote of shareholders.
This bill would make nonsubstantive changes to this provision.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 11580.17 of the
Insurance Code is amended to read:
11580.17. The department shall not prohibit an insurer from
electing to inspect physically a motor vehicle for purposes of
issuing a policy for collision or comprehensive coverage. The
inspection of the motor vehicle shall be at no cost to the insured.
The information ascertained from that inspection may only be used to
determine the extent of insurability for collision or comprehensive
coverage for the motor vehicle. If an insurer elects to conduct an
inspection prior to offering comprehensive and collision insurance
pursuant to this section, the insurer shall inspect every motor
vehicle for which coverage is requested if the vehicle was not
previously insured under a policy of comprehensive and collision
coverage. An insurer may exempt from this requirement new motor
vehicles if a copy of the sales contract is delivered to the insurer
within five business days of the purchase of the new motor vehicle.
The inspection shall be done by the insurer or its agent, and shall
be performed not more than 20 25 miles
from the address where the vehicle is insured, and during normal
business hours.
SECTION 1. Section 700 of the Corporations Code
is amended to read:
700. (a) Except as provided in Section 708 and except as may be
otherwise provided in the articles, each outstanding share,
regardless of class, shall be entitled to one vote on each matter
submitted to a vote of shareholders.
(b) Any holder of shares entitled to vote on any matter may vote
part of the shares in favor of the proposal and refrain from voting
the remaining shares or vote them against the proposal, other than
elections to office, but, if the shareholder fails to specify the
number of shares the shareholder is voting affirmatively, it will be
conclusively presumed that the shareholder's approving vote is with
respect to all shares the shareholder is entitled to vote.
