§ 12750. — 12750. (Amended by Stats. 1981, Ch. 820, Sec. 5.)

California § 12750.

• Jurisdiction: California
• Code INS: Insurance Code - INS
• Div. 2.: DIVISION 2. CLASSES OF INSURANCE
• Part 7.: PART 7. HOME PROTECTION
• Ch. 2.: CHAPTER 2. Fiscal Requirements

Text

(a)
A home protection company which has issued or renewed an aggregate number of 1,000 or less contracts in the preceding calendar year shall maintain a minimum net worth of forty thousand dollars ($40,000) and for each additional 500 contracts, or fraction thereof, up to 10,000 contracts, an additional twenty thousand dollars ($20,000).
(b)
Net worth is defined as the excess of admitted assets over all liabilities and required reserves. At least twenty thousand dollars ($20,000) of net worth shall consist of paid-in capital.

Legislative History

Amended by Stats. 1981, Ch. 820, Sec. 5.