| 1 | 1 | | CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 3166Introduced by Assembly Member BurkeFebruary 16, 2018 An act to amend Section 10095.5 of the Insurance Code, relating to residential property insurance. LEGISLATIVE COUNSEL'S DIGESTAB 3166, as introduced, Burke. Insurance: residential property insurance: requirements upon nonrenewal.Existing law generally regulates the issuance of fire insurance on property within the state. Existing law requires all fire policies to be written on a standard form, as specified. Existing law also requires all insurers providing a policy of residential property insurance to provide specified disclosures to the insured. Existing law prohibits an insurer from canceling or refusing to renew a policy of an insured that has suffered a loss, as specified, within certain time limits. Existing law also creates the Fair Access to Insurance Requirements or FAIR Plan Association to formulate and administer a program that equitably apportions among insurers, basic plans of insurance for property owners who, after diligent effort, are unable to procure such insurance through normal channels from an admitted insurer or a surplus line broker. Existing law requires a broker or agent to provide assistance, as specified, to a person seeking help in obtaining coverage.This bill would require specified insurers who fail to renew or offer renewal of a policy of residential property insurance to make certain notifications to a policyholder regarding other options he or she may have, including information about the FAIR plan.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 10095.5 of the Insurance Code is amended to read:10095.5. (a) The association shall establish and maintain an Internet Web site and a statewide toll-free telephone number through which a person may receive information and assistance in applying for insurance through the plan. The association shall cause the toll-free telephone number to be published in all general distribution telephone directories in the state and shall include the toll-free telephone number and Internet Web site address on all communications with an applicant or insured.(b) An insurance agent or broker transacting basic property insurance shall assist a person seeking his or her help in obtaining basic property insurance coverage by any one of the following methods:(1) Making an application for insurance through the plan by submitting an application at the persons request.(2) Providing the person with the California FAIR Plans Internet Web site address and the toll-free telephone number.(3) Making an application for insurance, at the persons request, and placing that person with or through an insurer that offers, or a surplus line broker that procures, basic property insurance coverage.(c) If an insurer that does not place insurance through an agent or broker fails to renew or offer to renew a policy of residential property insurance, the insurer shall notify the policyholder as follows:(1) Advising the policyholder that other insurers that place insurance through an agent or broker may be able to help find appropriate insurance coverage.(2) Advising the policyholder that a surplus line broker may be able to help find appropriate insurance coverage through a nonadmitted insurer.(3) Providing the policyholder with the California FAIR Plans Internet Web site address and the toll-free telephone number and advising him or her that the FAIR Plan may be able to help find appropriate insurance coverage. |
|---|
| 2 | 2 | | |
|---|
| 3 | 3 | | CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 3166Introduced by Assembly Member BurkeFebruary 16, 2018 An act to amend Section 10095.5 of the Insurance Code, relating to residential property insurance. LEGISLATIVE COUNSEL'S DIGESTAB 3166, as introduced, Burke. Insurance: residential property insurance: requirements upon nonrenewal.Existing law generally regulates the issuance of fire insurance on property within the state. Existing law requires all fire policies to be written on a standard form, as specified. Existing law also requires all insurers providing a policy of residential property insurance to provide specified disclosures to the insured. Existing law prohibits an insurer from canceling or refusing to renew a policy of an insured that has suffered a loss, as specified, within certain time limits. Existing law also creates the Fair Access to Insurance Requirements or FAIR Plan Association to formulate and administer a program that equitably apportions among insurers, basic plans of insurance for property owners who, after diligent effort, are unable to procure such insurance through normal channels from an admitted insurer or a surplus line broker. Existing law requires a broker or agent to provide assistance, as specified, to a person seeking help in obtaining coverage.This bill would require specified insurers who fail to renew or offer renewal of a policy of residential property insurance to make certain notifications to a policyholder regarding other options he or she may have, including information about the FAIR plan.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO |
|---|
| 4 | 4 | | |
|---|
| 5 | 5 | | |
|---|
| 6 | 6 | | |
|---|
| 7 | 7 | | |
|---|
| 8 | 8 | | |
|---|
| 9 | 9 | | CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION |
|---|
| 10 | 10 | | |
|---|
| 11 | 11 | | Assembly Bill No. 3166 |
|---|
| 12 | 12 | | |
|---|
| 13 | 13 | | Introduced by Assembly Member BurkeFebruary 16, 2018 |
|---|
| 14 | 14 | | |
|---|
| 15 | 15 | | Introduced by Assembly Member Burke |
|---|
| 16 | 16 | | February 16, 2018 |
|---|
| 17 | 17 | | |
|---|
| 18 | 18 | | An act to amend Section 10095.5 of the Insurance Code, relating to residential property insurance. |
|---|
| 19 | 19 | | |
|---|
| 20 | 20 | | LEGISLATIVE COUNSEL'S DIGEST |
|---|
| 21 | 21 | | |
|---|
| 22 | 22 | | ## LEGISLATIVE COUNSEL'S DIGEST |
|---|
| 23 | 23 | | |
|---|
| 24 | 24 | | AB 3166, as introduced, Burke. Insurance: residential property insurance: requirements upon nonrenewal. |
|---|
| 25 | 25 | | |
|---|
| 26 | 26 | | Existing law generally regulates the issuance of fire insurance on property within the state. Existing law requires all fire policies to be written on a standard form, as specified. Existing law also requires all insurers providing a policy of residential property insurance to provide specified disclosures to the insured. Existing law prohibits an insurer from canceling or refusing to renew a policy of an insured that has suffered a loss, as specified, within certain time limits. Existing law also creates the Fair Access to Insurance Requirements or FAIR Plan Association to formulate and administer a program that equitably apportions among insurers, basic plans of insurance for property owners who, after diligent effort, are unable to procure such insurance through normal channels from an admitted insurer or a surplus line broker. Existing law requires a broker or agent to provide assistance, as specified, to a person seeking help in obtaining coverage.This bill would require specified insurers who fail to renew or offer renewal of a policy of residential property insurance to make certain notifications to a policyholder regarding other options he or she may have, including information about the FAIR plan. |
|---|
| 27 | 27 | | |
|---|
| 28 | 28 | | Existing law generally regulates the issuance of fire insurance on property within the state. Existing law requires all fire policies to be written on a standard form, as specified. Existing law also requires all insurers providing a policy of residential property insurance to provide specified disclosures to the insured. Existing law prohibits an insurer from canceling or refusing to renew a policy of an insured that has suffered a loss, as specified, within certain time limits. Existing law also creates the Fair Access to Insurance Requirements or FAIR Plan Association to formulate and administer a program that equitably apportions among insurers, basic plans of insurance for property owners who, after diligent effort, are unable to procure such insurance through normal channels from an admitted insurer or a surplus line broker. Existing law requires a broker or agent to provide assistance, as specified, to a person seeking help in obtaining coverage. |
|---|
| 29 | 29 | | |
|---|
| 30 | 30 | | This bill would require specified insurers who fail to renew or offer renewal of a policy of residential property insurance to make certain notifications to a policyholder regarding other options he or she may have, including information about the FAIR plan. |
|---|
| 31 | 31 | | |
|---|
| 32 | 32 | | ## Digest Key |
|---|
| 33 | 33 | | |
|---|
| 34 | 34 | | ## Bill Text |
|---|
| 35 | 35 | | |
|---|
| 36 | 36 | | The people of the State of California do enact as follows:SECTION 1. Section 10095.5 of the Insurance Code is amended to read:10095.5. (a) The association shall establish and maintain an Internet Web site and a statewide toll-free telephone number through which a person may receive information and assistance in applying for insurance through the plan. The association shall cause the toll-free telephone number to be published in all general distribution telephone directories in the state and shall include the toll-free telephone number and Internet Web site address on all communications with an applicant or insured.(b) An insurance agent or broker transacting basic property insurance shall assist a person seeking his or her help in obtaining basic property insurance coverage by any one of the following methods:(1) Making an application for insurance through the plan by submitting an application at the persons request.(2) Providing the person with the California FAIR Plans Internet Web site address and the toll-free telephone number.(3) Making an application for insurance, at the persons request, and placing that person with or through an insurer that offers, or a surplus line broker that procures, basic property insurance coverage.(c) If an insurer that does not place insurance through an agent or broker fails to renew or offer to renew a policy of residential property insurance, the insurer shall notify the policyholder as follows:(1) Advising the policyholder that other insurers that place insurance through an agent or broker may be able to help find appropriate insurance coverage.(2) Advising the policyholder that a surplus line broker may be able to help find appropriate insurance coverage through a nonadmitted insurer.(3) Providing the policyholder with the California FAIR Plans Internet Web site address and the toll-free telephone number and advising him or her that the FAIR Plan may be able to help find appropriate insurance coverage. |
|---|
| 37 | 37 | | |
|---|
| 38 | 38 | | The people of the State of California do enact as follows: |
|---|
| 39 | 39 | | |
|---|
| 40 | 40 | | ## The people of the State of California do enact as follows: |
|---|
| 41 | 41 | | |
|---|
| 42 | 42 | | SECTION 1. Section 10095.5 of the Insurance Code is amended to read:10095.5. (a) The association shall establish and maintain an Internet Web site and a statewide toll-free telephone number through which a person may receive information and assistance in applying for insurance through the plan. The association shall cause the toll-free telephone number to be published in all general distribution telephone directories in the state and shall include the toll-free telephone number and Internet Web site address on all communications with an applicant or insured.(b) An insurance agent or broker transacting basic property insurance shall assist a person seeking his or her help in obtaining basic property insurance coverage by any one of the following methods:(1) Making an application for insurance through the plan by submitting an application at the persons request.(2) Providing the person with the California FAIR Plans Internet Web site address and the toll-free telephone number.(3) Making an application for insurance, at the persons request, and placing that person with or through an insurer that offers, or a surplus line broker that procures, basic property insurance coverage.(c) If an insurer that does not place insurance through an agent or broker fails to renew or offer to renew a policy of residential property insurance, the insurer shall notify the policyholder as follows:(1) Advising the policyholder that other insurers that place insurance through an agent or broker may be able to help find appropriate insurance coverage.(2) Advising the policyholder that a surplus line broker may be able to help find appropriate insurance coverage through a nonadmitted insurer.(3) Providing the policyholder with the California FAIR Plans Internet Web site address and the toll-free telephone number and advising him or her that the FAIR Plan may be able to help find appropriate insurance coverage. |
|---|
| 43 | 43 | | |
|---|
| 44 | 44 | | SECTION 1. Section 10095.5 of the Insurance Code is amended to read: |
|---|
| 45 | 45 | | |
|---|
| 46 | 46 | | ### SECTION 1. |
|---|
| 47 | 47 | | |
|---|
| 48 | 48 | | 10095.5. (a) The association shall establish and maintain an Internet Web site and a statewide toll-free telephone number through which a person may receive information and assistance in applying for insurance through the plan. The association shall cause the toll-free telephone number to be published in all general distribution telephone directories in the state and shall include the toll-free telephone number and Internet Web site address on all communications with an applicant or insured.(b) An insurance agent or broker transacting basic property insurance shall assist a person seeking his or her help in obtaining basic property insurance coverage by any one of the following methods:(1) Making an application for insurance through the plan by submitting an application at the persons request.(2) Providing the person with the California FAIR Plans Internet Web site address and the toll-free telephone number.(3) Making an application for insurance, at the persons request, and placing that person with or through an insurer that offers, or a surplus line broker that procures, basic property insurance coverage.(c) If an insurer that does not place insurance through an agent or broker fails to renew or offer to renew a policy of residential property insurance, the insurer shall notify the policyholder as follows:(1) Advising the policyholder that other insurers that place insurance through an agent or broker may be able to help find appropriate insurance coverage.(2) Advising the policyholder that a surplus line broker may be able to help find appropriate insurance coverage through a nonadmitted insurer.(3) Providing the policyholder with the California FAIR Plans Internet Web site address and the toll-free telephone number and advising him or her that the FAIR Plan may be able to help find appropriate insurance coverage. |
|---|
| 49 | 49 | | |
|---|
| 50 | 50 | | 10095.5. (a) The association shall establish and maintain an Internet Web site and a statewide toll-free telephone number through which a person may receive information and assistance in applying for insurance through the plan. The association shall cause the toll-free telephone number to be published in all general distribution telephone directories in the state and shall include the toll-free telephone number and Internet Web site address on all communications with an applicant or insured.(b) An insurance agent or broker transacting basic property insurance shall assist a person seeking his or her help in obtaining basic property insurance coverage by any one of the following methods:(1) Making an application for insurance through the plan by submitting an application at the persons request.(2) Providing the person with the California FAIR Plans Internet Web site address and the toll-free telephone number.(3) Making an application for insurance, at the persons request, and placing that person with or through an insurer that offers, or a surplus line broker that procures, basic property insurance coverage.(c) If an insurer that does not place insurance through an agent or broker fails to renew or offer to renew a policy of residential property insurance, the insurer shall notify the policyholder as follows:(1) Advising the policyholder that other insurers that place insurance through an agent or broker may be able to help find appropriate insurance coverage.(2) Advising the policyholder that a surplus line broker may be able to help find appropriate insurance coverage through a nonadmitted insurer.(3) Providing the policyholder with the California FAIR Plans Internet Web site address and the toll-free telephone number and advising him or her that the FAIR Plan may be able to help find appropriate insurance coverage. |
|---|
| 51 | 51 | | |
|---|
| 52 | 52 | | 10095.5. (a) The association shall establish and maintain an Internet Web site and a statewide toll-free telephone number through which a person may receive information and assistance in applying for insurance through the plan. The association shall cause the toll-free telephone number to be published in all general distribution telephone directories in the state and shall include the toll-free telephone number and Internet Web site address on all communications with an applicant or insured.(b) An insurance agent or broker transacting basic property insurance shall assist a person seeking his or her help in obtaining basic property insurance coverage by any one of the following methods:(1) Making an application for insurance through the plan by submitting an application at the persons request.(2) Providing the person with the California FAIR Plans Internet Web site address and the toll-free telephone number.(3) Making an application for insurance, at the persons request, and placing that person with or through an insurer that offers, or a surplus line broker that procures, basic property insurance coverage.(c) If an insurer that does not place insurance through an agent or broker fails to renew or offer to renew a policy of residential property insurance, the insurer shall notify the policyholder as follows:(1) Advising the policyholder that other insurers that place insurance through an agent or broker may be able to help find appropriate insurance coverage.(2) Advising the policyholder that a surplus line broker may be able to help find appropriate insurance coverage through a nonadmitted insurer.(3) Providing the policyholder with the California FAIR Plans Internet Web site address and the toll-free telephone number and advising him or her that the FAIR Plan may be able to help find appropriate insurance coverage. |
|---|
| 53 | 53 | | |
|---|
| 54 | 54 | | |
|---|
| 55 | 55 | | |
|---|
| 56 | 56 | | 10095.5. (a) The association shall establish and maintain an Internet Web site and a statewide toll-free telephone number through which a person may receive information and assistance in applying for insurance through the plan. The association shall cause the toll-free telephone number to be published in all general distribution telephone directories in the state and shall include the toll-free telephone number and Internet Web site address on all communications with an applicant or insured. |
|---|
| 57 | 57 | | |
|---|
| 58 | 58 | | (b) An insurance agent or broker transacting basic property insurance shall assist a person seeking his or her help in obtaining basic property insurance coverage by any one of the following methods: |
|---|
| 59 | 59 | | |
|---|
| 60 | 60 | | (1) Making an application for insurance through the plan by submitting an application at the persons request. |
|---|
| 61 | 61 | | |
|---|
| 62 | 62 | | (2) Providing the person with the California FAIR Plans Internet Web site address and the toll-free telephone number. |
|---|
| 63 | 63 | | |
|---|
| 64 | 64 | | (3) Making an application for insurance, at the persons request, and placing that person with or through an insurer that offers, or a surplus line broker that procures, basic property insurance coverage. |
|---|
| 65 | 65 | | |
|---|
| 66 | 66 | | (c) If an insurer that does not place insurance through an agent or broker fails to renew or offer to renew a policy of residential property insurance, the insurer shall notify the policyholder as follows: |
|---|
| 67 | 67 | | |
|---|
| 68 | 68 | | (1) Advising the policyholder that other insurers that place insurance through an agent or broker may be able to help find appropriate insurance coverage. |
|---|
| 69 | 69 | | |
|---|
| 70 | 70 | | (2) Advising the policyholder that a surplus line broker may be able to help find appropriate insurance coverage through a nonadmitted insurer. |
|---|
| 71 | 71 | | |
|---|
| 72 | 72 | | (3) Providing the policyholder with the California FAIR Plans Internet Web site address and the toll-free telephone number and advising him or her that the FAIR Plan may be able to help find appropriate insurance coverage. |
|---|