BILL NUMBER: AB 480	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JUNE 2, 2011

INTRODUCED BY   Assembly Member Solorio

                        FEBRUARY 15, 2011

   An act to amend Section  1765.1   1760 
of the Insurance Code, relating to insurance.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 480, as amended, Solorio. Insurance:  nonadmitted
insurers.   solid waste facilities.  
   Existing law regulates solid waste facilities and requires that
any person owning or operating a solid waste landfill submit evidence
of financial ability to provide for the cost of closure and
postclosure maintenance, except as specified. Existing law provides
that if the evidence of financial ability for closure, postclosure,
or corrective action is demonstrated by use of insurance, the
insurance mechanism may be approved if the insurance carrier meets
specified requirements.  
   This bill would specify that an issuer of an insurance policy that
meets all of those specified requirements shall be eligible to
provide that insurance and shall not be required to be an admitted
insurer nor be required to provide the insurance through a surplus
line broker.  
   Existing law limits the ability of a surplus line broker to place
any coverage with a nonadmitted insurer, as specified. In order for a
nonadmitted insurer to qualify for coverage, the nonadmitted insurer
is required to demonstrate financial stability, as defined.
 
   This bill would provide that nothing in the Insurance Code
prevents a captive insurer, as defined, that is licensed in at least
one state of the United States and that meets the statutory
requirements of any other California statute, from issuing policies
covering risks in this state pursuant to the provisions of those
other California statutes. 
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


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

   SECTION 1.    Section 1760 of the  
Insurance Code   is amended to read: 
   1760.  (a)  (1)    Any person may negotiate and
effect insurance to protect himself, herself, or itself against loss,
damage, or liability with any nonadmitted insurer. 
   (2) Notwithstanding any other law, an issuer of an insurance
policy that meets all of the requirements of paragraph (2) of
subdivision (e) of Section 43601 of the Public Resources Code shall
be eligible to provide the insurance described in that subdivision.
An issuer of an insurance policy pursuant to this paragraph shall not
be required to be an admitted insurer, nor be required to provide
the insurance through a surplus line broker. 
   (b) Every person that effects insurance governed by this chapter
shall pay the tax imposed by Part 7.5 (commencing with Section 13201)
of Division 2 of the Revenue and Taxation Code. All matter omitted
in this version of the bill appears in the bill as introduced in the
Assembly February 15, 2011. (JR11)