BILL NUMBER: AB 2395	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Anderson

                        FEBRUARY 19, 2010

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


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2395, as introduced, Anderson. Insurance: commissioner: powers
and duties: complaints.
   Existing law requires the Insurance Commissioner, in person or
through employees of the Department of Insurance, to receive
complaints and inquiries, investigate complaints, prosecute insurers
or production agencies when appropriate, and respond to complaints
and inquiries by members of the public concerning the handling of
insurance claims.
   This bill would require the commissioner, when investigating
complaints, to limit the investigation to those allegations specified
in the complaint.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 12921.3 of the Insurance Code is amended to
read:
   12921.3.  (a) The commissioner, in person or through employees of
the department, shall receive complaints and inquiries, investigate
complaints, prosecute insurers or production agencies when
appropriate and according to guidelines determined pursuant to
Section 12921.1, and respond to complaints and inquiries by members
of the public concerning the handling of insurance claims, including,
but not limited to, violations of Article 10 (commencing with
Section  1861)   1861.01)  of Chapter 9 of
Part 2 of Division 1, by insurers or production agencies, or alleged
misconduct by insurers or production agencies.
   (b) The commissioner shall not decline to investigate complaints
for any of the following reasons:
   (1) The insured is represented by an attorney in a dispute with an
insurer, or is in mediation or arbitration.
   (2) The insured has a civil action against an insurer.
   (3) The complaint is from an attorney, if the complaint is based
upon evidence or reasonable beliefs about violations of law known to
an attorney because of a civil action.
   (c) The commissioner may defer the investigation until the
finality of a dispute, mediation, arbitration, or civil action
involving the claim is known.
   (d) The commissioner, as he or she deems appropriate, and pursuant
to Section 12921.1, shall provide for the education of, and
dissemination of information to, members of the general public or
licensees of the department concerning insurance matters. 
   (e) When investigating complaints, the commissioner's
investigation shall be limited to those allegations specified in the
complaint.