BILL NUMBER:  AB 1868
  VETOED	DATE: 09/30/2010




To the Members of the California State Assembly:

I am returning Assembly Bill 1868 without my signature.

This bill would prohibit the Insurance Commissioner from approving
any disability or life insurance policy if it includes a provision
that would reserve discretionary authority to the insurer to
determine eligibility for benefits, and voids certain provisions of a
policy or agreement if it provides or funds life insurance or
disability insurance coverage.

This bill is unnecessary, as the Insurance Commissioner already has
the authority to prohibit the use of discretionary clauses.

For this reason I cannot sign this bill.

Sincerely,



Arnold Schwarzenegger