BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  AB 2367|
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                                 THIRD READING


          Bill No:  AB 2367
          Author:   Charles Calderon (D)
          Amended:  6/21/10 in Senate
          Vote:     21

           
           SENATE BANKING, FINANCE, AND INS. COMM  :  10-0, 6/30/10
          AYES:  Calderon, Cogdill, Correa, Florez, Kehoe, Liu,  
            Lowenthal, Padilla, Price, Runner
          NO VOTE RECORDED:  Cox

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8 

           ASSEMBLY FLOOR  :  76-0, 5/13/10 - See last page for vote


           SUBJECT  :    Insurance:  insurer:  financial statements

           SOURCE  :     Author


           DIGEST  :    This bill requires the Insurance Commissioner to  
          provide notice electronically to insurers of changes in the  
          Departments requirements for annual and quarterly statement  
          filings which are required by law.

           ANALYSIS  :    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  
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            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 to notify each  
            insurer of any changes he or she has made to the NAIC  
            forms.

          This bill requires notice be provided electronically to  
          insurers of any changes made by the Insurance Commissioner  
          to the NAIC annual or quarterly statement form filing  
          blank.

           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.

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

           SUPPORT  :   (Verified  8/3/10)

          Personal Insurance Federation of California 


           ASSEMBLY FLOOR  :  
          AYES:  Adams, Ammiano, Anderson, Arambula, Bass, Beall,  
            Bill Berryhill, Tom Berryhill, Blakeslee, Block,  
            Blumenfield, Bradford, Brownley, Buchanan, Charles  
            Calderon, Carter, Chesbro, Conway, Cook, Coto, Davis, De  
            La Torre, De Leon, DeVore, Emmerson, Eng, Evans, Feuer,  
            Fletcher, Fong, Fuentes, Fuller, Furutani, Gaines,  
            Galgiani, Garrick, Gilmore, Hagman, Hall, Harkey,  
            Hayashi, Hernandez, Hill, Huber, Huffman, Jeffries,  







                                                               AB 2367
                                                                Page  
          3

            Jones, Knight, Lieu, Logue, Bonnie Lowenthal, Ma,  
            Mendoza, Miller, Monning, Nava, Nestande, Niello,  
            Nielsen, V. Manuel Perez, Portantino, Ruskin, Salas,  
            Saldana, Silva, Smyth, Solorio, Audra Strickland,  
            Swanson, Torlakson, Torres, Torrico, Tran, Villines,  
            Yamada, John A. Perez
          NO VOTE RECORDED:  Caballero, Norby, Skinner, Vacancy


          JA:nlk  8/17/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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