CHAPTER 1. General Regulations [11550. - 11629.88.]

Chapter 1 enacted by Stats. 1935, Ch. 145.

§§ 11550–11629.88 · 102 sections

1. ARTICLE 1. Reserves of Insurers §§ 11550–11557 · 9 sections

   • § 11550 As used in this article, the term “liability” means liability and common carrier liability insurance.
   • § 11551 As used in this article, the term “compensation” means workers’ compensation insurance.
   • § 11552 As used in this article, the term “earned premium,” means the amount remaining of the gross premiums charged on all policies written, including all determined…
   • § 11553 As used in this article, the terms “loss payments,” and “loss expense payments,” mean all payments to claimants or on account of claims. Such payments include…
   • § 11554 In estimating the condition of any insurer admitted to transact such liability or compensation insurance, the commissioner shall charge as liabilities, among…
   • § 11555 An insurer transacting such compensation or liability insurance shall include the following schedules in its annual statement required by law: (a) A schedule…
   • § 11555.2 Each insurer transacting insurance covering liability for malpractice of any person licensed under the Dental Practice Act (Chapter 4 (commencing with Section…
   • § 11556 The reserve for outstanding losses and loss expenses under such liability or compensation insurance shall be determined in accordance with the regulations of…
   • § 11557 Whenever the reserves for outstanding liability or compensation losses and loss expenses of any insurer, computed pursuant to this article, seem inadequate to…
2. ARTICLE 2. Actions on Policies Containing Liability Provisions §§ 11580–11589.5 · 38 sections

   • § 11580 A policy insuring against losses set forth in subdivision (a) shall not be issued or delivered to any person in this state unless it contains the provisions…
   • § 11580.01 (a) A policy insuring against legal liability arising from the rendering of professional services by an insured licensed pursuant to the provisions of Division…
   • § 11580.02 A liability insurer may review bills submitted for the defense of its insured, but shall not compensate a reviewer based on any of the following: (a) A…
   • § 11580.04 Any additional insured endorsement issued by an admitted or nonadmitted insurer for the benefit of a public agency in connection with, collateral to, or…
   • § 11580.05 The Legislature declares that the public policy of this state in regard to provisions authorized or required to be included in policies affording automobile…
   • § 11580.06 Except as may be otherwise provided in this article: (a) The term “motor vehicle” means any vehicle designed for use principally upon streets and highways and…
   • § 11580.07 Except when required by a conditional sales vendor, no person or entity who is licensed pursuant to Chapter 5 (commencing with Section 1621) of Part 2 of…
   • § 11580.08 With respect to disclosure of the fact of an arrest for any violation of the Vehicle Code or of a city or county ordinance or resolution relating to vehicles…
   • § 11580.09 (a) Any policy of automobile liability insurance shall contain a notice stating limits of future coverage. The notice shall be prominently displayed on the…
   • § 11580.010 (a) Any automobile liability insurer that is responsible for coverage for ordinary, reasonable, and necessary medical transportation services provided to an…
   • § 11580.011 (a) As used in this section, “child passenger restraint system” means a system as described in Section 27360 of the Vehicle Code. (b) Every policy of…
   • § 11580.1 (a) No policy of automobile liability insurance described in Section 16054 of the Vehicle Code covering liability arising out of the ownership, maintenance, or…
   • § 11580.15 Subject to the approval of the Insurance Commissioner, every admitted insurer issuing or renewing motor vehicle liability policies as defined in Section 16054…
   • § 11580.17 The department shall not prohibit an insurer from electing to inspect physically a motor vehicle for purposes of issuing a policy for collision or…
   • § 11580.2 (a) (1) No policy of bodily injury liability insurance covering liability arising out of the ownership, maintenance, or use of any motor vehicle, except for…
   • § 11580.23 (a) If a suit for bodily injury has been filed against an uninsured motorist in a court of competent jurisdiction, notice in writing of the suit shall be…
   • § 11580.24 (a) A private passenger motor vehicle insured by its owner pursuant to a policy of insurance subject to Section 11580.1 or 11580.2 shall not be classified as a…
   • § 11580.241 (a) A personal vehicle sharing program shall, for each vehicle that it facilitates the use of, do all of the following: (1) Provide both of the following…
   • § 11580.25 No motor vehicle insured pursuant to a policy of insurance issued under Section 11580.1 or 11580.2 shall be classified as a common carrier, livery, or for-hire…
   • § 11580.26 (a) Except where a named insured has agreed pursuant to Section 11580.2 to delete the coverages provided by that section, no policy of bodily injury liability…
   • § 11580.27 (a) For purposes of insurance, a motor vehicle insured pursuant to a policy of insurance issued under Section 11580.1 or 11580.2 shall not be classified as a…
   • § 11580.3 When an insured entitled to recovery under uninsured motorists’ coverage is a minor, an arbitration award upon the minor’s claim is deemed to be a compromise…
   • § 11580.4 In any action or arbitration proceeding to determine whether an insured shall be entitled to recovery of damages under uninsured motorist coverage, the…
   • § 11580.5 No award made in an arbitration proceeding instituted pursuant to Section 11580.2 shall be deemed to be res judicata or collateral estoppel in any court action…
   • § 11580.6 Where a policy of liability insurance covering the ownership, maintenance, or use of a motor vehicle or aircraft contains a provision indicating that coverage…
   • § 11580.8 The Legislature declares it to be the public policy of this state to avoid so far as possible conflicts and litigation, with resulting court congestion,…
   • § 11580.9 (a) Where two or more policies affording valid and collectible automobile liability insurance apply to the same motor vehicle in an occurrence out of which a…
   • § 11580.10 Any liability insurer issuing or renewing an automobile liability policy or a motor vehicle liability policy within the meaning of subdivision (a) of Section…
   • § 11581 Upon any proceeding supplementary to execution, such judgment debtor may be required to exhibit any policy carried by him, insuring him against the liability…
   • § 11582 No settlement made under a motor vehicle liability insurance policy of a claim against any insured thereunder arising from any accident or other event insured…
   • § 11583 No advance payment or partial payment of damages made by any person, or made by his insurer under liability insurance as defined in subdivision (a) of Section…
   • § 11584 No policy of insurance issued or delivered in this state covering any loss, expense or liability arising out of the ownership, maintenance, or use of an…
   • § 11585 (a) No policy of insurance for residential property located within California shall be issued or delivered, and no existing policy of insurance for residential…
   • § 11586 (a) On and after the effective date of this section, each insurer licensed to issue automobile liability insurance or common carrier liability insurance, and…
   • § 11588 No insurer authorized to do business in this state and to provide professional liability insurance to persons lawfully engaged in the practice of medicine or…
   • § 11589 No insurer who provides professional liability insurance for physicians and surgeons or dentists shall increase the premium for such insurance, impose a…
   • § 11589.1 (a) (1) An insurer shall not refuse to issue or renew, nor shall terminate, professional liability insurance for a health care provider in this state, solely…
   • § 11589.5 No insurer who provides professional liability insurance for persons licensed under the provisions of Part 1 (commencing with Section 10000) of Division 4 of…
3. ARTICLE 2.5. Personal Liability Insurance Providing Workers’ Compensation Coverage for Household Employees §§ 11590–11593 · 4 sections

   • § 11590 Except as provided in Section 11591, no policy providing comprehensive personal liability insurance may be issued or renewed in this state on or after January…
   • § 11591 The requirements of Section 11590 shall be inapplicable to any such policy of insurance or endorsement where the services of such employee are in connection…
   • § 11592 Notwithstanding the provisions of subdivision (f) of Section 1851, the rates, classifications, and rating systems for the workers’ compensation insurance…
   • § 11593 The premium charge for the coverage required by Section 11590 shall not be separately stated from that charged for other coverage under the policy in the…
4. ARTICLE 3. Capital Requirements of Reserve Basis Insurers §§ 11600–11602 · 3 sections

   • § 11600 An incorporated insurer issuing policies of liability, workers’ compensation, or common carrier liability insurance, shall be governed by the paid-in capital…
   • § 11601 Except as restricted by its charter, such an incorporated insurer, having such a paid-in capital, may transact all three of such insurances.
   • § 11602 Any such insurer which on July 26, 1919, was authorized by its charter to transact liability insurance may transact workers’ compensation and common carrier…
5. ARTICLE 4. Assigned Risk Plans §§ 11620–11627 · 24 sections

   • § 11620 (a) The commissioner, after a public hearing, shall approve or issue a reasonable plan for the equitable apportionment, among insurers admitted to transact…
   • § 11621.1 In the event an insurer discontinues writing automobile liability insurance in this state but retains its license to write that business, it shall continue to…
   • § 11621.2 (a) An insurer that is no longer licensed to write automobile liability insurance in this state shall have its plan business treated in the same manner as its…
   • § 11621.3 Insurer groups under the same ownership may elect to be treated as one insurer for purposes of participating in the plan and receiving its assignments and…
   • § 11621.4 (a) New plan assignments to a participating insurer may be suspended or a participating insurer may be relieved of its obligation to renew existing assigned…
   • § 11621.5 (a) In the event proceedings have been initiated by the commissioner to have an insurer declared insolvent, and a receiver or liquidator has been appointed,…
   • § 11622 (a) A plan shall require the issuance of a policy affording coverage in the amount of fifteen thousand dollars ($15,000) for bodily injury to, or death of,…
   • § 11622.5 The plan shall provide for effective dates for coverage consistent with all of the following: (a) Except as provided in this section, in no event shall…
   • § 11623 (a) (1) To assist the commissioner in carrying out the purposes of this article, an advisory committee composed of 15 members is created. The commissioner…
   • § 11623.5 (a) Groups of insurers not under common ownership or management may form a limited assignment distribution arrangement. Each arrangement shall have one…
   • § 11624 The plan shall contain: (a) Standards for determining eligibility of applicants for insurance, including a requirement of a certificate of eligibility as…
   • § 11624.08 The plan shall require a certificate of eligibility to accompany the application for coverage. The certificate shall indicate whether or not the applicant…
   • § 11624.09 Upon a determination by the plan that a certificate of eligibility is defective due to an omission or mistake which is immaterial to determining the…
   • § 11624.1 (a) An insurer shall mail a policy within 30 days of the receipt of an assignment. (b) Upon the determination of an insurer to whom an assignment is made that…
   • § 11624.2 (a) An insurer shall acknowledge in writing within 15 days the receipt of a request for the endorsement of an assigned risk policy. The mailing of the…
   • § 11624.3 Any return premium checks due to an insured or to a lender subject to the provisions of subdivision (g) of Section 673 on account of a cancellation or…
   • § 11624.4 Every insurer to whom an assignment is made shall do all of the following: (a) Provide policyholders with information on how to report claims. (b) Provide…
   • § 11624.5 No insurance agent, broker or solicitor shall make any charge to the applicant, directly or indirectly, for furnishing any person the necessary application…
   • § 11624.6 Every insurer, agent, or broker assigned an application by the plan may conclusively rely on the acceptance, rejection, or waiver of coverages stated in the…
   • § 11624.7 Within 60 days after the effective date of any policy issued or renewed under this article, the insurer shall obtain from the Department of Motor Vehicles, or…
   • § 11625 If an insurer admitted to transact liability insurance fails to subscribe to the plan or to any amendments thereto, the commissioner shall give 10 days’…
   • § 11626 If the commissioner, after hearing upon not less than ten (10) days’ notice, finds that any insurer has failed to perform any of the duties required of it by…
   • § 11626.1 (a) No insurer shall downgrade the rating, or otherwise adversely affect the insurability, of a person insured under Section 11622.1 solely because of that…
   • § 11627 In this article, “insurer” includes reciprocal or interinsurance exchanges.
6. ARTICLE 5. Motor Vehicle Liability Insurance §§ 11628–11629.5 · 6 sections

   • § 11628 (a) (1) No admitted insurer that is licensed to issue and issuing motor vehicle liability policies, as defined in Section 16450 of the Vehicle Code, shall fail…
   • § 11628.3 (a) Based on the actuarial and loss experience data available to each insurer, including the driving records of mature driver improvement course graduates, as…
   • § 11628.5 No admitted insurer, licensed to issue motor vehicle liability policies as defined in Section 16450 of the Vehicle Code, shall fail or refuse to accept an…
   • § 11628.7 No admitted insurer, licensed to issue motor vehicle liability policies as defined in Section 16450 of the Vehicle Code, shall fail or refuse to accept an…
   • § 11629 Each separate act of an insurer or its agent in violation of Section 11628 or 11628.5 shall render the insurer liable in damages in the amount of one hundred…
   • § 11629.5 Any insurer which has refused to issue to an applicant a policy of insurance in violation of Section 11628 or 11628.5 and which has been required to pay…
7. ARTICLE 5.5. California Low-Cost Automobile Insurance Program §§ 11629.7–11629.88 · 18 sections

   • § 11629.7 (a) There is established, within the California Automobile Assigned Risk Plan established under Section 11620, a low-cost automobile insurance program for all…
   • § 11629.71 A low-cost automobile insurance policy for purposes of the program established under this article shall have all of the following attributes: (a) The policy…
   • § 11629.72 (a) The annual rate offered under the program for each of the counties in California shall be established at a date according to the discretion of the…
   • § 11629.73 A low-cost automobile insurance policy under the program shall only be available for purchase by persons who satisfy the following eligibility requirements:…
   • § 11629.731 A person who meets the requirements of subdivision (a) of Section 11629.73, and who claims that he or she meets the requirements of subdivisions (b) to (e),…
   • § 11629.74 (a) Application may be made through any producer certified by the plan. The applicant, in order to demonstrate financial eligibility to purchase a low-cost…
   • § 11629.745 (a) An agent or broker, hereafter referred to as a producer, who conducts business in a county in which a low-cost automobile insurance policy is available…
   • § 11629.75 (a) A certified producer shall provide to an applicant for a low-cost automobile insurance policy under this article a notice relating to coverage under the…
   • § 11629.76 (a) (1) For a low-cost automobile insurance policy issued pursuant to the program, certified producers shall be entitled to the same commission rate as is paid…
   • § 11629.77 (a) A low-cost automobile insurance policy issued pursuant to the program shall be canceled only for the following reasons: (1) Nonpayment of premium. (2)…
   • § 11629.78 (a) An insured under the program shall not purchase automobile liability insurance coverage that is in addition to the liability coverage provided by the…
   • § 11629.8 Notwithstanding the coverage amounts required by Section 16056 of the Vehicle Code, a low-cost automobile policy issued under the program shall satisfy the…
   • § 11629.81 (a) The California Automobile Assigned Risk Plan shall report to the commissioner on an annual basis, and at those additional times as it deems prudent, on the…
   • § 11629.82 Nothing in this article is intended to amend or otherwise affect or interpret any provision of Proposition 103, approved by the electors on November 8, 1988,…
   • § 11629.85 (a) (1) Notwithstanding Section 10231.5 of the Government Code, on or before March 15, 2024, and on or before March 15 every year thereafter, the commissioner…
   • § 11629.86 (a) A California Automobile Assigned Risk Plan certified producer may accept and process an application to purchase a low-cost automobile insurance policy…
   • § 11629.87 The department shall, in consultation with the CAARP Advisory Committee, establish and maintain a consumer-oriented internet website that provides all of the…
   • § 11629.88 An applicant shall not be required to provide a copy of the applicant’s or other household member’s driver’s license, if the Department of Insurance finds that…