California 2023 2023-2024 Regular Session

California Assembly Bill AB2872 Amended / Bill

Filed 03/18/2024

                    Amended IN  Assembly  March 18, 2024 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 2872Introduced by Assembly Member CalderonFebruary 15, 2024An act to amend Section 11401 of add Section 1879.2 to the Insurance Code, relating to insurance.LEGISLATIVE COUNSEL'S DIGESTAB 2872, as amended, Calderon. Insurance: associations. Department of Insurance: sworn members: compensation.Existing law, the State Civil Service Act, regulates employment with the state and vests in the Department of Human Resources all powers, duties, and authorities necessary to operate the state civil service system in accordance with Article VII of the California Constitution, the Government Code, the merit principle, and applicable rules duly adopted by the State Personnel Board. Existing law requires the department to establish and adjust salary ranges for each class of position in the state civil service, as specified.Existing law requires the state, in order to recruit and retain the highest qualified employees, to pay sworn members of the California Highway Patrol who are rank-and-file members of State Bargaining Unit 5 the estimated average total compensation for each corresponding rank for the Los Angeles Police Department, Los Angeles County Sheriffs Office, San Diego Police Department, Oakland Police Department, and San Francisco Police Department, as specified.Existing law requires the Insurance Commissioner to appoint supervisory and investigatory personnel within the Fraud Division of the Department of Insurance.This bill would require, notwithstanding any other law, that sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 be paid the same compensation as is paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.Existing law exempts from requirements for providing insurance set forth in the Insurance Code firefighters, police officers, and peace officers benefit and relief associations that comply with specified criteria, including, among other things, a requirement that the membership consist solely of peace officers, members of police or fire departments, and emergency medical personnel employed by fire departments, as specified. Existing law prohibits these associations from operating or doing business in the state without a certificate of authority. Existing law requires an association to renew its certificate of authority on or before July 1, 2019, and every 5 years thereafter.This bill would, instead, require an association to renew its certificate of authority within 30 days after a change in name or address or subsequent to a merger.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 1879.2 is added to the Insurance Code, to read:1879.2. Notwithstanding any other law, in order to recruit and retain the highest qualified employees, the state shall pay sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 compensation paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.SECTION 1.Section 11401 of the Insurance Code is amended to read:11401.(a)An association shall not operate or do business in this state without a certificate of authority. The commissioner shall issue a certificate of authority to any association unless the commissioner determines, after examination, that it does not comply with the provisions of this chapter. The filing fee for the application for the certificate of authority shall be one thousand four hundred ten dollars ($1,410).(b)An association shall renew its certificate of authority within 30 days after a change in name or address or subsequent to a merger.(c)(1)The commissioner may revoke the certificate of authority for an association that failed to renew its certificate of authority in compliance with subdivision (b), after giving reasonable written notice mailed to the last address of the association registered with the department.(2)The commissioner may revoke the certificate of authority for an association that has a dissolved, suspended, or otherwise inactive status according to the records of the Secretary of State, after giving reasonable written notice mailed to the last address of the association registered with the department.(3)To obtain a reissue of a certificate of authority revoked pursuant to this subdivision, an association shall apply to the commissioner pursuant to subdivision (a).

 Amended IN  Assembly  March 18, 2024 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 2872Introduced by Assembly Member CalderonFebruary 15, 2024An act to amend Section 11401 of add Section 1879.2 to the Insurance Code, relating to insurance.LEGISLATIVE COUNSEL'S DIGESTAB 2872, as amended, Calderon. Insurance: associations. Department of Insurance: sworn members: compensation.Existing law, the State Civil Service Act, regulates employment with the state and vests in the Department of Human Resources all powers, duties, and authorities necessary to operate the state civil service system in accordance with Article VII of the California Constitution, the Government Code, the merit principle, and applicable rules duly adopted by the State Personnel Board. Existing law requires the department to establish and adjust salary ranges for each class of position in the state civil service, as specified.Existing law requires the state, in order to recruit and retain the highest qualified employees, to pay sworn members of the California Highway Patrol who are rank-and-file members of State Bargaining Unit 5 the estimated average total compensation for each corresponding rank for the Los Angeles Police Department, Los Angeles County Sheriffs Office, San Diego Police Department, Oakland Police Department, and San Francisco Police Department, as specified.Existing law requires the Insurance Commissioner to appoint supervisory and investigatory personnel within the Fraud Division of the Department of Insurance.This bill would require, notwithstanding any other law, that sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 be paid the same compensation as is paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.Existing law exempts from requirements for providing insurance set forth in the Insurance Code firefighters, police officers, and peace officers benefit and relief associations that comply with specified criteria, including, among other things, a requirement that the membership consist solely of peace officers, members of police or fire departments, and emergency medical personnel employed by fire departments, as specified. Existing law prohibits these associations from operating or doing business in the state without a certificate of authority. Existing law requires an association to renew its certificate of authority on or before July 1, 2019, and every 5 years thereafter.This bill would, instead, require an association to renew its certificate of authority within 30 days after a change in name or address or subsequent to a merger.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: NO 

 Amended IN  Assembly  March 18, 2024

Amended IN  Assembly  March 18, 2024

 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION

 Assembly Bill 

No. 2872

Introduced by Assembly Member CalderonFebruary 15, 2024

Introduced by Assembly Member Calderon
February 15, 2024

An act to amend Section 11401 of add Section 1879.2 to the Insurance Code, relating to insurance.

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

AB 2872, as amended, Calderon. Insurance: associations. Department of Insurance: sworn members: compensation.

Existing law, the State Civil Service Act, regulates employment with the state and vests in the Department of Human Resources all powers, duties, and authorities necessary to operate the state civil service system in accordance with Article VII of the California Constitution, the Government Code, the merit principle, and applicable rules duly adopted by the State Personnel Board. Existing law requires the department to establish and adjust salary ranges for each class of position in the state civil service, as specified.Existing law requires the state, in order to recruit and retain the highest qualified employees, to pay sworn members of the California Highway Patrol who are rank-and-file members of State Bargaining Unit 5 the estimated average total compensation for each corresponding rank for the Los Angeles Police Department, Los Angeles County Sheriffs Office, San Diego Police Department, Oakland Police Department, and San Francisco Police Department, as specified.Existing law requires the Insurance Commissioner to appoint supervisory and investigatory personnel within the Fraud Division of the Department of Insurance.This bill would require, notwithstanding any other law, that sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 be paid the same compensation as is paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.Existing law exempts from requirements for providing insurance set forth in the Insurance Code firefighters, police officers, and peace officers benefit and relief associations that comply with specified criteria, including, among other things, a requirement that the membership consist solely of peace officers, members of police or fire departments, and emergency medical personnel employed by fire departments, as specified. Existing law prohibits these associations from operating or doing business in the state without a certificate of authority. Existing law requires an association to renew its certificate of authority on or before July 1, 2019, and every 5 years thereafter.This bill would, instead, require an association to renew its certificate of authority within 30 days after a change in name or address or subsequent to a merger.

Existing law, the State Civil Service Act, regulates employment with the state and vests in the Department of Human Resources all powers, duties, and authorities necessary to operate the state civil service system in accordance with Article VII of the California Constitution, the Government Code, the merit principle, and applicable rules duly adopted by the State Personnel Board. Existing law requires the department to establish and adjust salary ranges for each class of position in the state civil service, as specified.

Existing law requires the state, in order to recruit and retain the highest qualified employees, to pay sworn members of the California Highway Patrol who are rank-and-file members of State Bargaining Unit 5 the estimated average total compensation for each corresponding rank for the Los Angeles Police Department, Los Angeles County Sheriffs Office, San Diego Police Department, Oakland Police Department, and San Francisco Police Department, as specified.

Existing law requires the Insurance Commissioner to appoint supervisory and investigatory personnel within the Fraud Division of the Department of Insurance.

This bill would require, notwithstanding any other law, that sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 be paid the same compensation as is paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.

Existing law exempts from requirements for providing insurance set forth in the Insurance Code firefighters, police officers, and peace officers benefit and relief associations that comply with specified criteria, including, among other things, a requirement that the membership consist solely of peace officers, members of police or fire departments, and emergency medical personnel employed by fire departments, as specified. Existing law prohibits these associations from operating or doing business in the state without a certificate of authority. Existing law requires an association to renew its certificate of authority on or before July 1, 2019, and every 5 years thereafter.



This bill would, instead, require an association to renew its certificate of authority within 30 days after a change in name or address or subsequent to a merger.



## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 1879.2 is added to the Insurance Code, to read:1879.2. Notwithstanding any other law, in order to recruit and retain the highest qualified employees, the state shall pay sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 compensation paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.SECTION 1.Section 11401 of the Insurance Code is amended to read:11401.(a)An association shall not operate or do business in this state without a certificate of authority. The commissioner shall issue a certificate of authority to any association unless the commissioner determines, after examination, that it does not comply with the provisions of this chapter. The filing fee for the application for the certificate of authority shall be one thousand four hundred ten dollars ($1,410).(b)An association shall renew its certificate of authority within 30 days after a change in name or address or subsequent to a merger.(c)(1)The commissioner may revoke the certificate of authority for an association that failed to renew its certificate of authority in compliance with subdivision (b), after giving reasonable written notice mailed to the last address of the association registered with the department.(2)The commissioner may revoke the certificate of authority for an association that has a dissolved, suspended, or otherwise inactive status according to the records of the Secretary of State, after giving reasonable written notice mailed to the last address of the association registered with the department.(3)To obtain a reissue of a certificate of authority revoked pursuant to this subdivision, an association shall apply to the commissioner pursuant to subdivision (a).

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 1879.2 is added to the Insurance Code, to read:1879.2. Notwithstanding any other law, in order to recruit and retain the highest qualified employees, the state shall pay sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 compensation paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.

SECTION 1. Section 1879.2 is added to the Insurance Code, to read:

### SECTION 1.

1879.2. Notwithstanding any other law, in order to recruit and retain the highest qualified employees, the state shall pay sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 compensation paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.

1879.2. Notwithstanding any other law, in order to recruit and retain the highest qualified employees, the state shall pay sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 compensation paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.

1879.2. Notwithstanding any other law, in order to recruit and retain the highest qualified employees, the state shall pay sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 compensation paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.



1879.2. Notwithstanding any other law, in order to recruit and retain the highest qualified employees, the state shall pay sworn members of the Department of Insurance who are rank-and-file members of State Bargaining Unit 7 compensation paid to the corresponding rank-and-file sworn peace officer employees of the Department of Justice.





(a)An association shall not operate or do business in this state without a certificate of authority. The commissioner shall issue a certificate of authority to any association unless the commissioner determines, after examination, that it does not comply with the provisions of this chapter. The filing fee for the application for the certificate of authority shall be one thousand four hundred ten dollars ($1,410).



(b)An association shall renew its certificate of authority within 30 days after a change in name or address or subsequent to a merger.



(c)(1)The commissioner may revoke the certificate of authority for an association that failed to renew its certificate of authority in compliance with subdivision (b), after giving reasonable written notice mailed to the last address of the association registered with the department.



(2)The commissioner may revoke the certificate of authority for an association that has a dissolved, suspended, or otherwise inactive status according to the records of the Secretary of State, after giving reasonable written notice mailed to the last address of the association registered with the department.



(3)To obtain a reissue of a certificate of authority revoked pursuant to this subdivision, an association shall apply to the commissioner pursuant to subdivision (a).