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CA AB2002

Bill

Status

Passed

7/9/2010

Primary Sponsor

Jared Huffman

Click for details

Origin

State Assembly

2009-2010 Session

AI Summary

  • Removes the 60% minimum reserve requirement for liability insurers that was previously mandated by law
  • Grants the Insurance Commissioner authority to prescribe minimum reserve requirements through regulatory process instead of statutory requirement
  • Requires the Commissioner to establish reserve regulations based on reasonable consideration of business experience and character to protect insureds and insurer solvency
  • Maintains requirement that all insurers transacting business in California maintain reserves adequate for payment of losses and claims
  • Exempts life insurance, title insurance, disability insurance, mortgage insurance, and mortgage guaranty insurance from these reserve requirements

Legislative Description

Reserve requirements.

Last Action

Chaptered by Secretary of State - Chapter 61, Statutes of 2010.

7/9/2010

Committee Referrals

Rules4/15/2010
Insurance3/4/2010

Full Bill Text

No bill text available