CA AB1804

Requires insurers to maintain a process allowing policyholders to designate one additional person to receive notice of policy lapse, termination, expiration, nonrenewal, or cancellation for nonpayment of premium

Insurers must notify policyholders of this right at application or within 30 days of policy inception, and at least every two years thereafter

Prohibits policies from lapsing or terminating for nonpayment unless the insurer provides at least 10 days' notice to the designated person via first-class mail

Applies to private passenger automobile insurance (6+ months coverage), residential property insurance, and individual disability income insurance issued or renewed on or after January 1, 2016

Designated individuals receive no policy benefits or rights as additional insureds, only the right to receive lapse notices