BILL NUMBER: SB 251	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Calderon

                        FEBRUARY 12, 2013

   An act to amend Section 38.5 of the Insurance Code, relating to
insurance.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 251, as introduced, Calderon. Insurance: notice: electronic
transmission.
   Existing law authorizes any written notice required to be given or
mailed to any person by an insurer relating to any insurance on
risks or on operations in this state, with exceptions, to be provided
by electronic transmission if each party has agreed to conduct the
transaction by electronic means, as provided.
   This bill would make technical, nonsubstantive changes to those
provisions.
   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 38.5 of the Insurance Code is amended to read:
   38.5.   (a)    Any written notice required to be
given or mailed to any person by an insurer relating to any
insurance on risks or on operations in this state not excepted by
Section 1851 from the coverage of Chapter 9 (commencing with Section
1850.4) of Part 2 of Division 1  of this code  may,
if not excluded by subdivision (b) or (c) of Section 1633.3 of the
Civil Code, be provided by electronic transmission pursuant to Title
2.5 (commencing with Section 1633.1) of Part 2 of Division 3 of the
Civil Code, if each party has agreed to conduct the transaction by
electronic means pursuant to Section 1633.5 of the Civil Code.
 The 
    (b)     The  affidavit of the person
who initiated the electronic transmission, stating the facts of that
transmission into an information processing system outside of the
control of the sender or of any person that sent the electronic
record on behalf of the sender, is prima facie evidence that the
notice was transmitted and shall be sufficient proof of notice. Any
notice provided by electronic transmission shall be treated as if
mailed or given for the purposes of any provision of this code,
except as provided by subdivision (g) of Section 1633.15 of the Civil
Code.  The 
    (c)     The  insurance company shall
maintain a system for confirming that any notice or document that is
to be provided by electronic means has been sent in a manner
consistent with Section 1633.15 of the Civil Code. A valid electronic
signature shall be sufficient for any provision of law requiring a
written signature. The insurance company shall retain a copy of the
confirmation and electronic signature, when either is required, with
the policy information so that they are retrievable upon request by
the Department of Insurance while the policy is in force and for five
years thereafter.