Bill Text: CA SB240 | 2019-2020 | Regular Session | Amended
Bill Title: Insurance Adjuster Act.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2019-10-03 - Chaptered by Secretary of State. Chapter 502, Statutes of 2019. [SB240 Detail]
Download: California-2019-SB240-Amended.html
Amended
IN
Assembly
July 03, 2019 |
Amended
IN
Senate
April 29, 2019 |
Amended
IN
Senate
April 11, 2019 |
Amended
IN
Senate
March 14, 2019 |
Introduced by Senator Dodd |
February 11, 2019 |
LEGISLATIVE COUNSEL'S DIGEST
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YESBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 1722 of the Insurance Code is amended to read:1722.
If a natural person while licensed pursuant to the provisions of this chapter or Chapter 6 (commencing with Section 1760), Chapter 7 (commencing with Section 1800), or Chapter 8 (commencing with Section 1831) of this part, Part 5 (commencing with Section 12140) of Division 2, or Chapter 1 (commencing with Section 14000) or Chapter 2 (commencing with Section 15000) of Division 5 enters the military service of the United States and is in that service at a time prescribed for the filing of a renewal application, the filing of that application is waived, and the license held by that licensee at the time ofSECTION 1.SEC. 2.
Section 14020 of the Insurance Code is amended to read:14020.
(a) A person shall not engage in a business regulated by this chapter, or act or assume to act as, or represent themselves to be, a licensee unless the person is licensed under this chapter.SEC. 2.SEC. 3.
Section 14022 of the Insurance Code is amended to read:14022.
This chapter does not apply to:(a)A person who does not hold a California adjuster license and who is employed exclusively and regularly by one employer in connection with the affairs of that employer only, if there exists an employer-employee relationship, and if, within 15 working days from the date on which the person commences claims adjusting activity in California, the person submits to the department a
certification, under penalty of perjury, that the person has read and understands the most recent notice prepared by the department pursuant to Section 14046 that describes the most significant California laws pertaining to property insurance policies, and has completed a training program in accordance with the standards developed pursuant to subdivision (d) of Section 14022.5.
(b)A person who does not hold a California adjuster license, whose tax treatment is
consistent with that of an independent contractor as described in Section 3121 of Title 26 of the United States Code, who is employed by an insurer or licensee, and whose work is performed under the active direction, control, charge, or management of a licensed independent insurance adjuster or an insurer authorized to do business in this state. Following a declared emergency, and within 15 working days from the date on which the person commences claims adjusting activity in California, the person shall submit to the department a certification, under penalty of perjury, that the person has read and understands the most recent notice prepared by the department pursuant to Section 14046 that describes the most significant California laws pertaining to property insurance policies, and has completed a training program in accordance with the standards developed pursuant to subdivision (d) of Section
14022.5.
(c)
(d)
(e)
(f)
(g)
(h)
(i)
(j)
(k)
(l)
SEC. 3.SEC. 4.
Section 14022.5 of the Insurance Code is amended to read:14022.5.
(a) In the event of an emergency situation as declared by the commissioner, claims arising out of the emergency, catastrophe, disaster, or other similar occurrence may be adjusted by a nonlicensed adjuster upon registration with the commissioner if all of the following requirements are met:(3)The nonlicensed adjuster has completed a training in accordance with the standards developed pursuant to subdivision (d).
(d)(1)On or
before January 1, 2021, the department shall adopt regulations setting forth standards governing the training of nonlicensed adjusters in evaluating damage caused by an emergency, catastrophe, disaster, or other similar occurrence.
Training shall include issues related to adjusting wildfire claims and California law applicable to catastrophes. A nonlicensed adjuster trained and accredited by one insurer pursuant to this section shall not be required to receive training again to adjust claims for a different insurer.
(2)The regulations may be adopted as emergency regulations in accordance with Chapter 3.5 (commencing with Section 11340) of Division 3 of Title 2 of the Government Code, and for the purposes of that chapter, including Section 11349.6 of the Government Code, the adoption of those regulations shall be considered by the Office of Administrative Law to be necessary for the immediate preservation of the public peace, health and safety, and general welfare. The emergency regulations shall be submitted to the Office of Administrative Law for filing
with the Secretary of State and shall remain in effect for no more than 180 days, by which time final regulations shall be promulgated.