Bill Text: CA SB1295 | 2023-2024 | Regular Session | Amended
Bill Title: Automobile insurance: notice of cancellation.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Engrossed) 2024-05-21 - In Assembly. Read first time. Held at Desk. [SB1295 Detail]
Download: California-2023-SB1295-Amended.html
Amended
IN
Senate
March 20, 2024 |
Introduced by |
February 15, 2024 |
LEGISLATIVE COUNSEL'S DIGEST
Existing law authorizes the Insurance Commissioner, after a hearing, to revoke a license held by a person or deny the application for an unrestricted license. Existing law authorizes the commissioner to instead issue a restricted license if the person who is or has been licensed has been found to have violated a provision of the Insurance Code that would justify the suspension or revocation of the license or if the person is applying for a license and there are grounds for the denial of the person’s application.
This bill would make technical, nonsubstantive changes to this provision.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 662 of the Insurance Code is amended to read:662.
(a) (1) A notice of cancellation of a policy shall not be effective unless mailed or delivered by the insurer to the named insured, lienholder, or additional interest at least 20 days prior to the effective date of cancellation; provided, however, that where cancellation is for nonpayment of premium, at least 10 days’ notice of cancellation after default accompanied by the reason for the cancellation shall be given. Unless the reason accompanies or is included in the notice of cancellation, the notice of cancellation shall state or be accompanied by a statement that upon written request of the named insured, mailed or delivered to the insurer not less than 15 days prior to the effective date of cancellation, the insurer will specify the reason for the cancellation.(a)If a person who is or has been licensed under this chapter has been found by the commissioner to have violated any provision of this code that would justify the suspension or revocation of a license held, or if a person is applying for a license under this chapter and there exists grounds for the denial by the commissioner of the person’s application, the commissioner may, after a hearing, revoke the license held or deny the application for an unrestricted license, and instead issue a restricted license.
(b)The commissioner may impose reasonable conditions upon the acquisition of the restricted license or the conduct of the holder. The holder
of the restricted license has no property right in the restricted license, and the commissioner may, with or without either hearing or cause, suspend or revoke a restricted license.
(c)If a hearing is held under this section, it shall be conducted in accordance with Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code. The holder of a restricted license is subject to all the provisions of this code and the license shall be kept in force and renewed in the same manner, at the same time, and subject to the same conditions and fees as are applicable to an unrestricted license to act in the same capacity.