BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 36|
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THIRD READING
Bill No: SB 36
Author: Hueso (D)
Amended: 4/30/13
Vote: 21
SENATE INSURANCE COMMITTEE : 8-1, 4/24/13
AYES: Calderon, Gaines, Corbett, Correa, Lieu, Nielsen, Price,
Roth
NOES: Knight
SENATE APPROPRIATIONS COMMITTEE : 5-0, 5/13/13
AYES: De León, Hill, Lara, Padilla, Steinberg
NO VOTE RECORDED: Walters, Gaines
SUBJECT : Internet Web site: workers compensation insurers:
workers
compensation data
SOURCE : Voters Injured at Work
DIGEST : This bill requires the Department of Insurance (CDI)
to compile various workers compensation data, statistics, and
reports on an Internet Web page.
ANALYSIS : Existing law requires every insurer doing business
in this state to file annual and quarterly financial statements
with the Insurance Commissioner. These reports are submitted on
forms promulgated by the National Association of Insurance
Commissioners. Annual and quarterly statements include a
multitude of schedules and lists covering a variety of subjects
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including organizational information; assets; liabilities,
surplus, and other funds; income; cash flow; losses and loss
expenses; ceded reinsurance; holding companies; statements of
premium written by line of business; information concerning
activities of insurer members; and other financial and
operational information.
This bill:
1. Requires CDI to include on its Internet Web site a dedicated
Web page that includes workers' compensation data,
statistics, and reports covering both insurers and
self-insurers, including, but not limited to, claims loss
data, expenses, and financial reports.
2. Requires CDI to use only data that is already collected by
both CDI and the Department of Industrial Relations. Any
information that is already protected by law will not be
released.
Background
The information required for CDI to post is already available
through various sources. For instance, the California Workers'
Compensation Institute publishes an annual report that specifies
the financial experience of insurers in California. The
Workers' Compensation Insurance Rating Bureau and CDI publish
detailed information as well. Available on CDI's Web site are
annual market share reports that break down each workers'
compensation insurer's premium volume, market share, earned
premium, losses paid and loss ratio. Additional reports and
studies are available from the Commission on Health, Safety and
Workers' Compensation, National Association of Insurance
Commissioners and CDI from public hearings relative to workers'
compensation pure premium filings.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee, first year
costs of $128,000 and annual ongoing of $40,000 (Insurance Fund)
Costs will result if CDI is required to post the actual reports
on the CDI Web page. If the intent is to only provide a link to
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the reports, costs will be $65,000 for first year, and ongoing
of $24,000. CDI has indicated that in either scenario these
costs are not absorbable.
SUPPORT : (Verified 5/15/13)
Voters Injured at Work (source)
California Neurology Society
California Society of Industrial Medicine and Surgery
California Society of Physical Medicine and Rehabilitation
California Worker's Compensation Services Association
Latino Comp
VQ OrthoCare
AL:d 5/15/13 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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