Senate BillNo. 934


Introduced by Senator Roth

February 2, 2016


An act to amend Section 12921.3 of the Insurance Code, relating to insurance.

LEGISLATIVE COUNSEL’S DIGEST

SB 934, as introduced, Roth. Insurance: complaints.

Existing law requires the Insurance Commissioner to receive complaints and inquiries, investigate complaints, and prosecute insurers or production agencies, among other duties as specified.

This bill would make a technical, nonsubstantive change to that provision.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

P1    1

SECTION 1.  

Section 12921.3 of the Insurance Code is
2amended to read:

3

12921.3.  

(a) The commissioner, in person or through
4employees of the department, shall receive complaints and
5inquiries, investigate complaints, prosecute insurers or production
6agencies when appropriate and according to guidelines determined
7pursuant to Section 12921.1, and respond to complaints and
8inquiries by members of the public concerning the handling of
9insurance claims, including, but not limited to, violations of Article
1010 (commencing with Sectionbegin delete 1861)end deletebegin insert 1861.01)end insert of Chapter 9 of Part
112 of Division 1, by insurers or production agencies, or alleged
12misconduct by insurers or production agencies.

P2    1(b) The commissioner shall not decline to investigate complaints
2for any of the following reasons:

3(1) The insured is represented by an attorney in a dispute with
4an insurer, or is in mediation or arbitration.

5(2) The insured has a civil action against an insurer.

6(3) The complaint is from an attorney, if the complaint is based
7upon evidence or reasonable beliefs about violations of law known
8to an attorney because of a civil action.

9(c) The commissioner may defer the investigation until the
10finality of a dispute, mediation, arbitration, or civil action involving
11the claim is known.

12(d) The commissioner, as he or she deems appropriate, and
13pursuant to Section 12921.1, shall provide for the education of,
14and dissemination of information to, members of the general public
15or licensees of the department concerning insurance matters.



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