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Bills

SB 317: Insurance brokers and agents.

  • Session Year: 2023-2024
  • House: Senate
  • Latest Version Date: 2023-03-21

Current Status:

Failed

(2024-02-01: Returned to Secretary of Senate pursuant to Joint Rule 56.)

Introduced

In Committee

First Chamber

In Committee

Second Chamber

Enacted

Version:

Existing law generally regulates insurance and creates the Department of Insurance, headed by the Insurance Commissioner. Existing law authorizes a licensed life agent to present a proposal for insurance to a prospective policyholder on behalf of a life insurer for which the life agent is not specifically appointed and to transmit an application for insurance to that insurer. Under existing law, if a policy is issued under that application, the insurer authorized the agent to act on its behalf and is responsible for all actions of the agent relating to the policy and application, as if the agent had been duly appointed by the insurer. Existing law requires an insurer to give notice to the Insurance Commissioner of the appointment of the life agent as the insurers agent within 14 days after the agent submits an application for insurance for which the insurer issues a policy.

This bill would extend the deadline by which an insurer is required to provide notice of that appointment to the commissioner to 15 days.

Existing law, among other things, prohibits a person acting as a licensee from acting as an agent of an insurer, unless the insurer has filed a notice of appointment with the Insurance Commissioner, as specified. Existing law also requires that specified agents acting in the capacity of an insurance solicitor have filed with the commissioner on their behalf a notice of appointment, as specified. Existing law requires that each appointment, by its terms, continue in force until the occurrence of a specified event.This bill would make technical, nonsubstantive changes to those provisions.

News Coverage:

SB 317: Insurance brokers and agents. | Digital Democracy