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AB-2688 Assigned risk plan: motor vehicle operator reports.(2007-2008)



Current Version: 06/30/08 - Chaptered

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AB2688:v95#DOCUMENT

Assembly Bill No. 2688
CHAPTER 42

An act to amend Section 11624.7 of the Insurance Code, relating to insurance.

[ Approved by Governor  June 30, 2008. Filed with Secretary of State  June 30, 2008. ]

LEGISLATIVE COUNSEL'S DIGEST


AB 2688, De La Torre. Assigned risk plan: motor vehicle operator reports.
Existing law provides for an assigned risk plan for applicants for automobile bodily injury and property damage liability insurance who are in good faith entitled to but are unable to obtain that insurance through ordinary methods. Existing law requires the insurer to obtain from the Department of Motor Vehicles a report, for the purpose of determining premium adjustments, on the applicant and any other person who may reasonably be expected to operate the applicant’s motor vehicle with the permission of the applicant, as specified.
This bill would allow the insurer to obtain the required report from a subscribing loss underwriting exchange carrier, or from the Department of Motor Vehicles.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 11624.7 of the Insurance Code is amended to read:

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 from a subscribing loss underwriting exchange carrier, a report on the applicant and any other person who may reasonably be expected to operate the applicant’s motor vehicle with the permission of the applicant. Any premium adjustments that occur as a result of the inspection of the reports shall be billed within the same 60-day period. This section does not apply to amendments of a policy other than upon original issuance or renewal.