§ 11623.5. — 11623.5. (Added by Stats. 1990, Ch. 509, Sec. 1.)

California § 11623.5.

• Jurisdiction: California
• Code INS: Insurance Code - INS
• Div. 2.: DIVISION 2. CLASSES OF INSURANCE
• Part 3.: PART 3. LIABILITY, WORKERS' COMPENSATION, AND COMMON CARRIER LIABILITY INSURANCE
• Ch. 1.: CHAPTER 1. General Regulations
• Art. 4.: ARTICLE 4. Assigned Risk Plans

Text

(a)
Groups of insurers not under common ownership or management may form a limited assignment distribution arrangement. Each arrangement shall have one servicing carrier that writes assigned risk business on behalf of the members of the arrangement in return for consideration from the other participating carriers for not writing the business.
(b)
No insurer may act as a servicing carrier except with the continuing approval of the commissioner.
(c)
Each servicing carrier shall have a surplus of at least ten
million dollars ($10,000,000).
(d)
Upon the approval of the commissioner of a servicing carrier under this section, the plan shall make all assignments that otherwise would be made to a participant to the servicing carrier for that participant.
(e)
The commissioner shall impose a filing fee for the filing necessary to obtain approval pursuant to this section, which fee shall be limited to that sufficient to defray the costs of the department in connection with considering the application.

Legislative History

Added by Stats. 1990, Ch. 509, Sec. 1.