BILL ANALYSIS
SENATE COMMITTEE ON BANKING, FINANCE,
AND INSURANCE
Senator Ronald Calderon, Chair
AB 2367 (C. Calderon) Hearing Date: June 16, 2010
As Introduced: February 19, 2010
Fiscal: Yes
Urgency: No
VOTES: Asm. Floor(05/13/10)76-0/Pass
Asm. Appr. (05/05/10)17-0/Pass
Asm. Ins. (04/21/10)12-0/Pass
SUMMARY Would require the Insurance Commissioner to provide
written notice to insurers of changes in the Department's
requirements for annual and quarterly statement filings which
are required by law.
DIGEST
Existing law
1.Requires every insurer admitted (licensed) to transact
insurance in California to file quarterly and annual financial
statements;
2.Generally requires the Insurance Commissioner to require that
the reporting be on the forms and in accordance with the
instructions adopted by the National Association of Insurance
Commissioners (NAIC) and as provided for in the NAIC's
Accounting Practices and Procedures Manual;
3.Authorizes the Insurance Commissioner to make changes from
time to time in the form of the financial statements and
method of filing the reports in order to best acquire a true
exhibit of insurers' financial condition;
4.Requires the Insurance Commissioner C to notify each insurer
of any changes he or she has made to the NAIC forms.
This bill
AB 2367 (C. Calderon), Page 2
1. Would require written notice be provided to insurers of any
changes made by the Insurance Commissioner to the NAIC
annual or quarterly statement form filing blank.
COMMENTS
1. Purpose of the bill To ensure that if the Insurance
Commissioner modifies the information which is required to
be provided by an insurer in the annual or quarterly
statement filing, the insurer receives written notification
by the Insurance Commissioner of that change.
2. Background The author indicates under current practice, the
notification process varies, so that notices are sometimes
provided in writing, sometimes electronically, and sometimes
simply by posting a notice of the change on the Department
of Insurance website.
3. Questions None
4. Suggested Amendments None
5. Prior and Related Legislation None
POSITIONS
Support
Personal Insurance Federation of California
Oppose
None
Consultant: Kenneth Cooley (916) 651-4102