Amended IN Senate April 18, 2022 Amended IN Senate March 15, 2022 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Senate Bill No. 1444Introduced by Senator AllenFebruary 18, 2022 An act to amend Section 10091 of, and to repeal and add Section 10094.5 of, 10095.5 of the Insurance Code, relating to the FAIR Plan.LEGISLATIVE COUNSEL'S DIGESTSB 1444, as amended, Allen. California FAIR Plan: condominium dwelling coverage. Plan.Existing law creates the California FAIR Plan Association, a joint reinsurance association formed by insurers licensed to write and engaged in writing basic property insurance within this state, to assist persons in securing basic property insurance and to formulate and administer a program for the equitable apportionment among insurers of basic property insurance. Existing law defines basic property insurance for these purposes. Existing law also requires the association to establish and maintain an internet website and a toll-free telephone number through which a person may receive assistance in applying for basic property insurance.This bill would define basic property insurance offered through the FAIR Plan to include condominium dwelling coverage. The bill would require the association to file a new or amended rate application consistent with this definition within 90 days following the bills operative date.This bill would require the associations internet website to include information about, and a hyperlink to, the California Home Insurance Finder internet website.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YESNO 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 internet website, which contains information about the California Home Insurance Finder internet website and a hyperlink to that resource, 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 internet website 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 their 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 internet website 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.SECTION 1.Section 10091 of the Insurance Code is amended to read:10091.Unless the provision or context otherwise requires, the following definitions govern the construction of this chapter:(a)Association, industry placement facility, or facility, means a joint reinsurance association, the California FAIR Plan Association, formed by insurers licensed to write and engaged in writing basic property insurance within this state to assist persons in securing basic property insurance and to formulate and administer a program for the equitable apportionment among insurers of basic property insurance.(b)Commissioner means the Insurance Commissioner of this state.(c)(1)Basic property insurance means insurance against direct loss to real or tangible personal property at a fixed location in those geographic or urban areas, as designated by the commissioner, from perils insured under the standard fire policy and extended coverage endorsement, from vandalism and malicious mischief, and includes other insurance coverages as may be added with respect to that property by the industry placement facility with the approval of the commissioner or by the commissioner. Basic property insurance includes condominium dwelling coverage, but does not include insurance on automobile risks, commercial agricultural commodities or livestock, or equipment used to cultivate or transport agricultural commodities or livestock.(2)For the purposes of earthquake coverage that is provided as a component of basic property insurance, the association shall sell only the policy described in Section 10089. In force policies of basic property insurance that include earthquake coverage shall be renewed with the coverage specified in Section 10089, and the association shall comply with the notice requirements of paragraph (2) of subdivision (a) of Section 10086.(d)Inspection bureau means the organization or organizations designated by the association with the approval of the commissioner to make inspections to determine the condition of the properties for which basic property insurance is sought and to perform other duties as may be authorized by the association.(e)Premiums written means gross direct premiums charged with respect to property in this state on all policies of basic property insurance and the basic property insurance premium components of all multiperil policies, less return premiums, dividends paid or credited to policyholders, or the unused or unabsorbed portions of premium deposits.(f)Insurer means a person who undertakes to indemnify another against loss, damage, or liability arising from a contingent or unknown event, and shall include reciprocals and interinsurance exchanges.SEC. 2.Section 10094.5 of the Insurance Code is repealed.SEC. 3.Section 10094.5 is added to the Insurance Code, to read:10094.5.Within 90 days following the effective date of this section, the association shall file a new or amended rate application with the commissioner consistent with paragraph (1) of subdivision (c) of Section 10091.
Amended IN Senate April 18, 2022 Amended IN Senate March 15, 2022 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Senate Bill No. 1444Introduced by Senator AllenFebruary 18, 2022 An act to amend Section 10091 of, and to repeal and add Section 10094.5 of, 10095.5 of the Insurance Code, relating to the FAIR Plan.LEGISLATIVE COUNSEL'S DIGESTSB 1444, as amended, Allen. California FAIR Plan: condominium dwelling coverage. Plan.Existing law creates the California FAIR Plan Association, a joint reinsurance association formed by insurers licensed to write and engaged in writing basic property insurance within this state, to assist persons in securing basic property insurance and to formulate and administer a program for the equitable apportionment among insurers of basic property insurance. Existing law defines basic property insurance for these purposes. Existing law also requires the association to establish and maintain an internet website and a toll-free telephone number through which a person may receive assistance in applying for basic property insurance.This bill would define basic property insurance offered through the FAIR Plan to include condominium dwelling coverage. The bill would require the association to file a new or amended rate application consistent with this definition within 90 days following the bills operative date.This bill would require the associations internet website to include information about, and a hyperlink to, the California Home Insurance Finder internet website.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YESNO Local Program: NO
Amended IN Senate April 18, 2022 Amended IN Senate March 15, 2022
Amended IN Senate April 18, 2022
Amended IN Senate March 15, 2022
CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION
Senate Bill
No. 1444
Introduced by Senator AllenFebruary 18, 2022
Introduced by Senator Allen
February 18, 2022
An act to amend Section 10091 of, and to repeal and add Section 10094.5 of, 10095.5 of the Insurance Code, relating to the FAIR Plan.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
SB 1444, as amended, Allen. California FAIR Plan: condominium dwelling coverage. Plan.
Existing law creates the California FAIR Plan Association, a joint reinsurance association formed by insurers licensed to write and engaged in writing basic property insurance within this state, to assist persons in securing basic property insurance and to formulate and administer a program for the equitable apportionment among insurers of basic property insurance. Existing law defines basic property insurance for these purposes. Existing law also requires the association to establish and maintain an internet website and a toll-free telephone number through which a person may receive assistance in applying for basic property insurance.This bill would define basic property insurance offered through the FAIR Plan to include condominium dwelling coverage. The bill would require the association to file a new or amended rate application consistent with this definition within 90 days following the bills operative date.This bill would require the associations internet website to include information about, and a hyperlink to, the California Home Insurance Finder internet website.
Existing law creates the California FAIR Plan Association, a joint reinsurance association formed by insurers licensed to write and engaged in writing basic property insurance within this state, to assist persons in securing basic property insurance and to formulate and administer a program for the equitable apportionment among insurers of basic property insurance. Existing law defines basic property insurance for these purposes. Existing law also requires the association to establish and maintain an internet website and a toll-free telephone number through which a person may receive assistance in applying for basic property insurance.
This bill would define basic property insurance offered through the FAIR Plan to include condominium dwelling coverage. The bill would require the association to file a new or amended rate application consistent with this definition within 90 days following the bills operative date.
This bill would require the associations internet website to include information about, and a hyperlink to, the California Home Insurance Finder internet website.
## Digest Key
## Bill Text
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 internet website, which contains information about the California Home Insurance Finder internet website and a hyperlink to that resource, 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 internet website 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 their 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 internet website 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.SECTION 1.Section 10091 of the Insurance Code is amended to read:10091.Unless the provision or context otherwise requires, the following definitions govern the construction of this chapter:(a)Association, industry placement facility, or facility, means a joint reinsurance association, the California FAIR Plan Association, formed by insurers licensed to write and engaged in writing basic property insurance within this state to assist persons in securing basic property insurance and to formulate and administer a program for the equitable apportionment among insurers of basic property insurance.(b)Commissioner means the Insurance Commissioner of this state.(c)(1)Basic property insurance means insurance against direct loss to real or tangible personal property at a fixed location in those geographic or urban areas, as designated by the commissioner, from perils insured under the standard fire policy and extended coverage endorsement, from vandalism and malicious mischief, and includes other insurance coverages as may be added with respect to that property by the industry placement facility with the approval of the commissioner or by the commissioner. Basic property insurance includes condominium dwelling coverage, but does not include insurance on automobile risks, commercial agricultural commodities or livestock, or equipment used to cultivate or transport agricultural commodities or livestock.(2)For the purposes of earthquake coverage that is provided as a component of basic property insurance, the association shall sell only the policy described in Section 10089. In force policies of basic property insurance that include earthquake coverage shall be renewed with the coverage specified in Section 10089, and the association shall comply with the notice requirements of paragraph (2) of subdivision (a) of Section 10086.(d)Inspection bureau means the organization or organizations designated by the association with the approval of the commissioner to make inspections to determine the condition of the properties for which basic property insurance is sought and to perform other duties as may be authorized by the association.(e)Premiums written means gross direct premiums charged with respect to property in this state on all policies of basic property insurance and the basic property insurance premium components of all multiperil policies, less return premiums, dividends paid or credited to policyholders, or the unused or unabsorbed portions of premium deposits.(f)Insurer means a person who undertakes to indemnify another against loss, damage, or liability arising from a contingent or unknown event, and shall include reciprocals and interinsurance exchanges.SEC. 2.Section 10094.5 of the Insurance Code is repealed.SEC. 3.Section 10094.5 is added to the Insurance Code, to read:10094.5.Within 90 days following the effective date of this section, the association shall file a new or amended rate application with the commissioner consistent with paragraph (1) of subdivision (c) of Section 10091.
The people of the State of California do enact as follows:
## 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 internet website, which contains information about the California Home Insurance Finder internet website and a hyperlink to that resource, 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 internet website 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 their 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 internet website 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.
SECTION 1. Section 10095.5 of the Insurance Code is amended to read:
### SECTION 1.
10095.5. (a) The association shall establish and maintain an Internet Web site internet website, which contains information about the California Home Insurance Finder internet website and a hyperlink to that resource, 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 internet website 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 their 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 internet website 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.
10095.5. (a) The association shall establish and maintain an Internet Web site internet website, which contains information about the California Home Insurance Finder internet website and a hyperlink to that resource, 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 internet website 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 their 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 internet website 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.
10095.5. (a) The association shall establish and maintain an Internet Web site internet website, which contains information about the California Home Insurance Finder internet website and a hyperlink to that resource, 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 internet website 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 their 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 internet website 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.
10095.5. (a) The association shall establish and maintain an Internet Web site internet website, which contains information about the California Home Insurance Finder internet website and a hyperlink to that resource, 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 internet website 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 their 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 internet website 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.
Unless the provision or context otherwise requires, the following definitions govern the construction of this chapter:
(a)Association, industry placement facility, or facility, means a joint reinsurance association, the California FAIR Plan Association, formed by insurers licensed to write and engaged in writing basic property insurance within this state to assist persons in securing basic property insurance and to formulate and administer a program for the equitable apportionment among insurers of basic property insurance.
(b)Commissioner means the Insurance Commissioner of this state.
(c)(1)Basic property insurance means insurance against direct loss to real or tangible personal property at a fixed location in those geographic or urban areas, as designated by the commissioner, from perils insured under the standard fire policy and extended coverage endorsement, from vandalism and malicious mischief, and includes other insurance coverages as may be added with respect to that property by the industry placement facility with the approval of the commissioner or by the commissioner. Basic property insurance includes condominium dwelling coverage, but does not include insurance on automobile risks, commercial agricultural commodities or livestock, or equipment used to cultivate or transport agricultural commodities or livestock.
(2)For the purposes of earthquake coverage that is provided as a component of basic property insurance, the association shall sell only the policy described in Section 10089. In force policies of basic property insurance that include earthquake coverage shall be renewed with the coverage specified in Section 10089, and the association shall comply with the notice requirements of paragraph (2) of subdivision (a) of Section 10086.
(d)Inspection bureau means the organization or organizations designated by the association with the approval of the commissioner to make inspections to determine the condition of the properties for which basic property insurance is sought and to perform other duties as may be authorized by the association.
(e)Premiums written means gross direct premiums charged with respect to property in this state on all policies of basic property insurance and the basic property insurance premium components of all multiperil policies, less return premiums, dividends paid or credited to policyholders, or the unused or unabsorbed portions of premium deposits.
(f)Insurer means a person who undertakes to indemnify another against loss, damage, or liability arising from a contingent or unknown event, and shall include reciprocals and interinsurance exchanges.
Within 90 days following the effective date of this section, the association shall file a new or amended rate application with the commissioner consistent with paragraph (1) of subdivision (c) of Section 10091.