BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   SB 629|
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                                 THIRD READING


          Bill No:  SB 629
          Author:   Correa (D)
          Amended:  As introduced
          Vote:     21

           
           SENATE BANKING, FINANCE, AND INS. COMMITTEE  :  10-0, 4/18/07
          AYES:  Machado, Runner, Correa, Cox, Hollingsworth,  
            Lowenthal, Margett, Romero, Scott, Wiggins
          NO VOTE RECORDED:  Florez


           SUBJECT  :    Automobile insurance:  peace officers

           SOURCE  :     Peace Officers Research Association of  
          California


           DIGEST  :    This bill deletes a code section requiring peace  
          officers and firefighters involved in a vehicular accident  
          to submit the details of that accident to their private  
          automobile insurance carrier within 30 days of the  
          accident.
          
           ANALYSIS  :    Existing law requires any peace officer or  
          firefighter, as defined, who has been involved in an  
          accident to submit to his/her private automobile insurer a  
          written declaration stating whether or not at the time of  
          the accident he/she was operating an emergency vehicle, as  
          defined, in the performance of his/her duty during the  
          hours of his/her employment.

          Section 557.5 of the Insurance Code, added to the code in  
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          1973, provides that no accident report to one's private  
          insurance carrier is necessary if a peace officer,  
          Department of the California Highway Patrol officer, or  
          firefighter is involved in an on-duty accident.  Section  
          557.6 of the Insurance Code, added to the code in 1982,  
          requires peace officers and firefighters to notify their  
          private insurance carriers about accidents in which they  
          are involved.  

          Section 557.6 appears to cover all accidents in which a  
          peace officer or firefighter is involved, not just on-duty  
          accidents.  The only information that must be reported is  
          whether the accident involved an authorized emergency  
          vehicle.  Thus, Section 557.6 conflicts with Section 557.5  
          with regards to on-duty accidents but is not in direct  
          conflict with 557.5 with respect to off-duty accidents.  

          Section 16002 of the Vehicle Code, enacted in 1974,  
          addresses situations in which any employee (including a  
          peace officer or firefighter) is involved in an accident in  
          their employer's vehicle, regardless of whether they are  
          on- or off-duty at the time.  Specifically, Section 16002  
          requires employees involved in accidents while in their  
          employer's vehicle to notify their employer of the accident  
          and requires employers to notify the Department of Motor  
          Vehicles about the accident.  Under Section 16002, a peace  
          officer or firefighter involved in an accident in an  
          authorized emergency vehicle must notify their employer of  
          that accident.

          The only portion of Section 557.6 that is not duplicative  
          of, or in conflict with, another code section enacted  
          before it, is the requirement for the peace officer or  
          firefighter involved in an accident to notify their private  
          insurance carrier of that accident and to inform the  
          carrier whether that accident occurred in an authorized  
          emergency vehicle.  No other section of law requires  
          individuals to report accidents in which they were involved  
          to their insurance company.  

           Comments
           
           Purpose of the bill  .  According to the sponsor, the bill's  
          purpose is to eliminate a code section that is both in  







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          conflict with existing Section 557.5 of the Insurance Code  
          and inappropriate.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No    
          Local:  No

           SUPPORT  :   (Verified  4/26/07)

          Peace Officers Research Association of California (source)
          California Association of Highway Patrolmen
          California Fraternal Order of Police
          California Probation, Parole and Correctional Association
          California State Sheriffs Association
          Long Beach Police Officers Association
          Los Angeles County Professional Peace Officers Association
          Office of the San Bernardino County Sheriff
          Santa Ana Police Officers Association

           ARGUMENTS IN SUPPORT  :    This bill's sponsor, the Peace  
          Officers Research Association of California (PORAC),  
          believes that Sections 557.5 and 557.6 of the Insurance  
          Code conflict, and that Section 557.6 should be deleted  
          because its provisions are inappropriate and have the  
          potential for abuse.  PORAC feels strongly that a peace  
          officer who may be involved in an accident related to the  
          dangerous aspects of their job, such as high-speed police  
          pursuits, should not be held personally responsible for  
          that on-duty act.  The Santa Ana Police Officers  
          Association, Long Beach Police Officers Association, Los  
          Angeles County Professional Peace Officers Association, and  
          California Fraternal Order of Police, writing in jointly,  
          do not understand the usefulness of information required by  
          Section 557.6, given that the private insurance company is  
          not liable on behalf of the officer or firefighter while  
          they are on duty.


          DLW:mw  4/30/07   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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