BILL NUMBER: SB 1407	CHAPTERED  09/26/02

	CHAPTER  893
	FILED WITH SECRETARY OF STATE  SEPTEMBER 26, 2002
	APPROVED BY GOVERNOR  SEPTEMBER 25, 2002
	PASSED THE SENATE  AUGUST 31, 2002
	PASSED THE ASSEMBLY  AUGUST 29, 2002
	AMENDED IN ASSEMBLY  AUGUST 28, 2002
	AMENDED IN ASSEMBLY  JUNE 25, 2002

INTRODUCED BY   Senator Burton

                        FEBRUARY 13, 2002

   An act to add Section 11759.2 to the Insurance Code, relating to
workers' compensation.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1407, Burton.  Workers' compensation.
   Existing law requires a rating organization, by June 1 of each
year, to notify the Governor and the Legislature that a report
containing an analysis of all losses and expenses for the prior year
by all insurers who are members of the organization is available upon
request.
   This bill would require a rating organization designated as the
Insurance Commissioner's statistical agent to report to the
commissioner by April 1, 2003, on the potential underreporting of
workers' compensation exposure in the taxicab industry.  The bill
would require the rating organization to report to the Governor, the
Legislature, and the commissioner by May 1, 2003, on its findings.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 11759.2 is added to the Insurance Code, to
read:
   11759.2.  (a) A licensed rating organization designated as the
Insurance Commissioner's statistical agent shall prepare a report to
be submitted to the Insurance Commissioner by April 1, 2003, on the
potential underreporting of workers' compensation exposure in the
taxicab industry.  The report shall include an analysis of workers'
compensation exposure, loss, and premium in the taxicab industry.
The licensed rating organization shall submit a report to the
Governor, the Legislature, and the commissioner by May 1, 2003, that
describes its findings.
   (b) A licensed rating organization designated as the insurance
commissioner's statistical agent may confer with state agencies,
including, but not limited to, the Employment Development Department,
in the preparation of the study.  The state agencies shall provide
all necessary statistical or other information requested by the
licensed rating organization designated as the Insurance Commissioner'
s statistical agent.