California Assembly Bill AB1511 Introduced / Bill

 BILL NUMBER: AB 1511INTRODUCED BILL TEXT INTRODUCED BY Committee on Insurance MARCH 5, 2015 An act to amend Sections 985.5, 1067.13, 1858.35, 11629.81 of, and to repeal Section 11759.2 of, the Insurance Code, relating to insurance. LEGISLATIVE COUNSEL'S DIGEST AB 1511, as introduced, Committee on Insurance. Insurance: reports. Existing law requires the Insurance Commissioner to submit specified reports, including reports on the insolvency of admitted insurers and the number of complaints by persons aggrieved by a rate charged, to the Governor and the Legislature. Existing law requires the California Life and Health Insurance Guarantee Association to submit a financial report on its activities to the Governor and the Legislature. This bill would require those reports to be submitted to the Senate Committee on Insurance and the Assembly Committee on Insurance instead of to the Legislature. Existing law requires the California Automobile Assigned Risk Plan to submit a report regarding the status of the low-cost automobile insurance program administered by the plan to the commissioner annually and as the plan deems prudent. This bill would require the plan to submit the report to the Senate Committee on Insurance and the Assembly Committee on Insurance, in addition to the commissioner. Existing law requires a licensed rating organization designated as the commissioner's statistical agent to prepare a report on the potential underreporting of workers' compensation exposure in the taxicab industry, and to submit that report to the commissioner by April 1, 2003, and to the Governor and the Legislature by May 1, 2003. This bill would repeal that 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 985.5 of the Insurance Code is amended to read: 985.5. In the case of the insolvency of an admitted insurer, the commissioner shall prepare a report, which shall be a public record, with respect to the causes and factors which contributed to that insolvency. The report shall be submitted to the  Governor and to the Legislature   Governor, the Senate Committee on Insurance, and the Assembly Committee on Insurance  no later than one year from the date of the insolvency. SEC. 2. Section 1067.13 of the Insurance Code is amended to read: 1067.13. The association shall be subject to examination and regulation by the commissioner. The board of directors shall submit to the commissioner, the Governor,  and the Legislature   the Senate Committee on Insurance, and the Assembly Committee on Insurance  each year, not later than 120 days after the association's fiscal year, a financial report in a form approved by the commissioner and a report of its activities during the preceding fiscal year. Upon the request of a member insurer, the association shall provide the member insurer with a copy of the report. SEC. 3. Section 1858.35 of the Insurance Code is amended to read: 1858.35. On or before May 1 of each year, the commissioner shall submit a report to the  Legislature  Senate Committee on Insurance, the Assembly Committee on Insurance,  and the Governor stating the number and type of complaints received under this article and the status and disposition of these complaints. The commissioner may make any recommendations for improving the efficiency and effectiveness of complaint handling under this article. No information shall be provided under this section pertaining to a specified complaint against a specific insurer or rating organization. However, the commissioner may report that information in the aggregate. SEC. 4. Section 11629.81 of the Insurance Code is amended to read: 11629.81. (a) The California Automobile Assigned Risk Plan shall report to the  commissioner   commissioner, the Senate Committee on Insurance, and the Assembly Committee on Insurance  on an annual basis, and at those additional times as it deems prudent, on the status of the program. The report shall include data regarding new policies, renewed policies, and policy cancellations or nonrenewals. (b) The department shall combine the report pursuant to subdivision (a) with the report required by Section 11629.85 and submit the combined report to the Legislature on or before March 15 of each year. (c) A report submitted pursuant to subdivision (b) shall be submitted in compliance with Section 9795 of the Government Code. SEC. 5. Section 11759.2 of the Insurance Code is repealed.  11759.2. (a) A licensed rating organization designated as the Insurance Commissioner's statistical agent shall prepare a report to be submitted to the Insurance Commissioner by April 1, 2003, on the potential underreporting of workers' compensation exposure in the taxicab industry. The report shall include an analysis of workers' compensation exposure, loss, and premium in the taxicab industry. The licensed rating organization shall submit a report to the Governor, the Legislature, and the commissioner by May 1, 2003, that describes its findings. (b) A licensed rating organization designated as the insurance commissioner's statistical agent may confer with state agencies, including, but not limited to, the Employment Development Department, in the preparation of the study. The state agencies shall provide all necessary statistical or other information requested by the licensed rating organization designated as the Insurance Commissioner' s statistical agent.