Insurance Code — Part 14 | INS — United States — California law | Esheria

Insurance Code

Part 14 of 23 · provisions 2,601–2,800

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This section defines “underwriters’ corps” for this chapter. This chapter must not impair or interfere with the powers or duties of a municipality’s regular fire department. An owner of property cannot treat an underwriters’ corps act as a justification for abandoning the property. Certain domestic insurance-underwriter corporations may maintain an underwriter’s corps at their own expense if they meet the stated fire-prevention and local-business conditions. An underwriter’s corps may enter certain burning or fire-exposed buildings and may remove or protect property from fire or water damage while a fire is happening and immediately after.

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Provisions of Insurance Code

Showing 200 of 4,461

  1. 13812.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 5. Slavery Era Insurance Policies [13810 - 13813] ( Chapter 5 added by Stats. 2000, Ch. 934, Sec. 2. )

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    Licensed insurers in California must research and report certain slaveholder-policy records to the commissioner.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 5. Slavery Era Insurance Policies [13810 - 13813] ( Chapter 5 added by Stats. 2000, Ch. 934, Sec. 2. ) ## 13812. Each insurer licensed and doing business in this state shall research and report to the commissioner with respect to any records within the insurer’s possession or knowledge relating to insurance policies issued to slaveholders that provided coverage for damage to or death of their slaves. (Added by Stats. 2000, Ch. 934, Sec. 2. Effective January 1, 2001.)
  2. 13813.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 5. Slavery Era Insurance Policies [13810 - 13813] ( Chapter 5 added by Stats. 2000, Ch. 934, Sec. 2. )

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    Descendants of slaves described in the section are entitled to full disclosure.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 5. Slavery Era Insurance Policies [13810 - 13813] ( Chapter 5 added by Stats. 2000, Ch. 934, Sec. 2. ) ## 13813. Descendants of slaves, whose ancestors were defined as private property, dehumanized, divided from their families, forced to perform labor without appropriate compensation or benefits, and whose ancestors’ owners were compensated for damages by insurers, are entitled to full disclosure. (Added by Stats. 2000, Ch. 934, Sec. 2. Effective January 1, 2001.)
  3. 13850.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. )

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    This section contains legislative findings about affordable housing insurance problems and the need for data transparency.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. ) ## 13850. The Legislature finds and declares all of the following: (a) Hundreds of thousands of affordable homes have been built across California to meet the needs of low-income households and people experiencing homelessness. The state has invested billions of dollars in these homes through programs administered by the Department of Housing and Community Development and the California Tax Credit Allocation Committee. (b) The United States is facing an industrywide insurance crisis, especially in the property insurance sector. According to Marsh’s Global Insurance Market Index, property insurance rates have increased for 27 consecutive quarters, continuing the longest run of increases since the inception of the index in 2012. (c) Affordable housing entities in urban, suburban, and rural communities across California are facing limited availability of insurance coverage, significant premium and deductible cost increases, and reductions in the scope and quality of coverage. These issues are present in property, liability, and builder’s risk insurance. (d) Affordable housing entities have limited options to manage increased insurance costs due to their mission and legal requirements to keep rents at affordable levels for low-income households. As a result, affordable housing entities are particularly vulnerable to insurance cost increases, which now present an urgent threat to the fiscal solvency and stability of affordable housing across California. (e) While long-term structural reforms to the insurance market may be necessary, there is an immediate need for transparency and data-driven decisionmaking. Currently, there is limited publicly available information regarding how insurance market dynamics uniquely affect multifamily affordable housing. In particular, data on premium and deductible levels and trends and their relationship to claims types and amounts, resident composition, and property characteristics remain unanswered. (f) Efforts at a nationwide level, such as the 2024 voluntary data call by the National Association of Insurance Commissioners, have primarily focused on single-family homeowners’ insurance, leaving multifamily and affordable housing insurance trends largely unexamined. (g) The lack of reliable and comprehensive data impairs the state’s ability to respond effectively to the insurance crisis affecting its affordable housing investments. Granting the Department of Insurance the authority to request, collect, and analyze insurance-related data specific to affordable housing would enhance transparency and inform future policy and budget decisions. (h) Collecting this data will help preserve state investments, protect low-income residents from housing instability, and enable California to develop targeted strategies to address systemic insurance challenges in the affordable housing sector. (i) There is a compelling state interest in understanding how the insurance market’s current dynamics affect the availability and sustainability of affordable housing, and in exploring targeted solutions to reduce risks and ensure the long-term viability of publicly funded affordable housing developments. (Added by Stats. 2025, Ch. 728, Sec. 1. (AB 1339) Effective January 1, 2026. Repealed as of January 1, 2031, pursuant to Section 13855.)
  4. 13851.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. )

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    The Department of Insurance must study certain affordable housing insurance coverages, and insurers must provide requested information. The commissioner may publish aggregate reports using the data.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. ) ## 13851. (a) (1) The Department of Insurance shall conduct a study of the property, liability, and builders’ risk insurance coverages available to affordable housing entities as defined in Section 13907 and receiving a grant, loan, or tax credit awarded by the Department of Housing and Community Development or the California Tax Credit Allocation Committee intended to serve lower income households, as defined in Section 50079.5 of the Health and Safety Code. (2) The department shall conduct this study in consultation with the affordable housing entities described in paragraph (1), admitted insurers, providers of nonprofit insurance services, risk-sharing pools for public housing authorities and nongovernmental owners of affordable housing properties, insurance captives, risk retention groups, and other relevant state agencies, including the Department of Housing and Community Development and the California Tax Credit Allocation Committee. (b) An insurer, upon the request of the commissioner, shall provide and make available any information necessary to comply with the requirements of this section. Any information provided to the department by an insurer shall be considered a trade secret, confidential, privileged, or otherwise exempt from disclosure under the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code). Nothing in this section prohibits the commissioner from preparing and publishing reports, analyses, or other documents using the data received under this section so long as the data is in aggregate form and does not permit the identification of information related to individual companies. (Added by Stats. 2025, Ch. 728, Sec. 1. (AB 1339) Effective January 1, 2026. Repealed as of January 1, 2031, pursuant to Section 13855.)
  5. 13852.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. )

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    The department must carry out a study by collecting information, identifying barriers, and analyzing insurance availability and insurer decision factors for affordable housing entities.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. ) ## 13852. In conducting the study described in subdivision (a) of Section 13851, the department shall do all of the following: (a) Collect information necessary to conduct the study from relevant insurers with the affordable housing entities described in subdivision (a) of Section 13851. (b) Identify barriers to keeping the affordable housing entities appropriately insured. (c) Analyze and request any other relevant information that may help the department analyze the availability of property, liability, and builders’ risk insurance coverage for the affordable housing entities described in subdivision (a) of Section 13851. (d) Analyze trends impacting market availability of property, liability, and builders’ risk insurance coverage for the affordable housing entities described in subdivision (a) of Section 13851. (e) (1) Analyze and request any other relevant information that may help the department analyze how, if at all, insurers consider the following in determinations of insurance policy offers or rate setting: (A) The level or source of income of an individual or group of individuals residing or intending to reside upon the property to be insured, if the individual or group of individuals is not the owner of the real property. (B) The receipt of assistance, intended for housing, from the federal or state government, or from a local public entity, as defined in Section 50079 of the Health and Safety Code, including, but not limited to, federal vouchers issued under Section 8 of the United States Housing Act of 1937 (42 U.S.C. Sec. 1437f), by an individual or group of individuals residing or intending to reside upon the property insured or to be insured. (2) The designation of real property containing a residential dwelling unit as affordable to residents at a specific income level pursuant to statute, regulations, or restrictive declaration, or pursuant to a regulatory agreement with a state governmental entity. (Added by Stats. 2025, Ch. 728, Sec. 1. (AB 1339) Effective January 1, 2026. Repealed as of January 1, 2031, pursuant to Section 13855.)
  6. 13853.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. )

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    The department must submit a study report to two insurance committees within one year after the Section 13854 appropriation.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. ) ## 13853. (a) The department shall submit a report on the study described in subdivision (a) of Section 13851 to the Senate Committee on Insurance and the Assembly Committee on Insurance within one year of the appropriation made pursuant to Section 13854. (b) The report shall make recommendations on potential policy and budget options to address insurance coverage cost and access challenges for the affordable housing entities described in subdivision (a) of Section 13851, as identified in the study. (c) The report submitted to the Legislature pursuant to this section shall be submitted pursuant to Section 9795 of the Government Code. (Added by Stats. 2025, Ch. 728, Sec. 1. (AB 1339) Effective January 1, 2026. Repealed as of January 1, 2031, pursuant to Section 13855.)
  7. 13854.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. )

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    This section says the chapter can be implemented only if the Legislature provides an appropriation for it, and it is repealed as of January 1, 2031.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. ) ## 13854. Implementation of this chapter is contingent upon an appropriation by the Legislature for purposes of this chapter in the annual Budget Act or another statute. (Added by Stats. 2025, Ch. 728, Sec. 1. (AB 1339) Effective January 1, 2026. Repealed as of January 1, 2031, pursuant to Section 13855.)
  8. 13855.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. )

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    This chapter stays in effect only until January 1, 2031, and is repealed on that date.

    ## Insurance Code - INS ## DIVISION 3. THE INSURANCE COMMISSIONER [12900 - 13855] ( Division 3 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 6. Affordable Housing Insurance Coverage Study [13850 - 13855] ( Chapter 6 added by Stats. 2025, Ch. 728, Sec. 1. ) ## 13855. This chapter shall remain in effect only until January 1, 2031, and as of that date is repealed. (Added by Stats. 2025, Ch. 728, Sec. 1. (AB 1339) Effective January 1, 2026. Repealed as of January 1, 2031, by its own provisions. Note: Repeal affects Chapter 6, commencing with Section 13850.)
  9. 1390.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

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    This section applies only to exchanges that write liability, common carrier liability, or workers’ compensation insurance, and any exchange may apply for the certificate in Section 1401.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1390. The provisions of this article shall apply only to exchanges writing liability, common carrier liability, or workers’ compensation insurance, except that any exchange may apply for and receive the certificate provided for by Section 1401. (Amended by Stats. 2018, Ch. 231, Sec. 8. (AB 2045) Effective January 1, 2019.)
  10. 13900.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. )

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    An affordable housing entity may join with other affordable housing entities to pool self-insured claims or losses.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. ) ## 13900. An affordable housing entity may join with one or more other affordable housing entities in an arrangement providing for the pooling of self-insured claims or losses with respect to any of the following: (a) Insurance covering all or any part of any tort liability. (b) Insurance covering any employee of the affordable housing entity against all or any part of his or her liability for injury resulting from an act or omission in the scope of employment. (c) Insurance covering any board member, officer, partner, manager, member, or volunteer of the affordable housing entity against any liability that may arise from any act or omission in the scope of participation with the affordable housing entity. (d) Insurance covering any loss arising from physical damage to motor vehicles, personal property, real property, or other property owned or operated by the affordable housing entity. (Added by Stats. 2010, Ch. 384, Sec. 1. (AB 2327) Effective January 1, 2011.)
  11. 13901.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. )

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    A pooling arrangement under this division is not treated as insurance and is not regulated under this code.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. ) ## 13901. (a) The pooling arrangement established pursuant to this division shall not be considered insurance, and shall not be subject to regulation under this code. (b) All affordable housing entities participating in a pooling arrangement established pursuant to this division shall be given written notice, in at least 10-point type, that the pool is not regulated by the Insurance Commissioner and that the state insurance insolvency guaranty funds are not available to safeguard its risk. (Added by Stats. 2010, Ch. 384, Sec. 1. (AB 2327) Effective January 1, 2011.)
  12. 13902.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. )

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    An insurance pool created under this division may choose certain legal forms, but it must start with at least $2.5 million in cash or cash equivalents, keep adequate reinsurance, and send annual audited financial and actuarial reports to listed bodies within 180 days after fiscal year-end.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. ) ## 13902. (a) An insurance pool that is established pursuant to this division may be organized as a nonprofit corporation, limited liability company, partnership, or trust, whether organized under the laws of this state or another state or operating in another state. (b) An insurance pool that is established pursuant to this division shall have initial pooled resources of not less than two million five hundred thousand dollars ($2,500,000) in the form of cash or cash equivalents. (c) An insurance pool that is established pursuant to this division shall maintain adequate reinsurance to protect against its risks. (d) An insurance pool that is established pursuant to this division shall furnish a copy of the pool’s annual audited financial statement and most recent actuarial review, by first-class mail or by any other method of delivery, including electronic transmission, to the Insurance Commissioner, the Assembly Committee on Housing and Community Development, the Assembly Committee on Insurance, the Senate Committee on Insurance, and the Senate Committee on Housing within 180 days of the close of the pool’s fiscal year. If, in the period of time since the last submittal required by this subdivision, any of the following has occurred, the transmittal letter accompanying the annual audited financial statement and most recent actuarial review shall so indicate and shall provide a brief description of each matter: (1) There has been a change to the pool’s plan of financing, management, or operation, including a material amendment to any of those plans. (2) A claims audit report has been filed with a regulatory body with respect to the pool. (3) A report of examination issued by a regulatory body with respect to the pool has been received. (4) There has been a material change in the scope of the regulation of the pool by other states in which the pool operates. (Amended by Stats. 2024, Ch. 493, Sec. 3. (SB 1512) Effective January 1, 2025.)
  13. 13903.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. )

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    Participating affordable housing entities in an insurance pool must agree to pay premiums or other required financial contributions set by the governing board.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. ) ## 13903. All participating affordable housing entities in any insurance pool, established pursuant to this division, are required to agree to pay premiums or make other mandatory financial contributions, as determined by the governing board, provided for by the insurance pool arrangement, that are necessary to ensure a financially sound risk pool. (Added by Stats. 2010, Ch. 384, Sec. 1. (AB 2327) Effective January 1, 2011.)
  14. 13904.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. )

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    An insurance pool established under this division must not insure liabilities that can be insured under Labor Code Division 4.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. ) ## 13904. Any insurance pool, established pursuant to this division, shall not insure against any liability that may be insured against pursuant to Division 4 (commencing with Section 3200) of the Labor Code. (Added by Stats. 2010, Ch. 384, Sec. 1. (AB 2327) Effective January 1, 2011.)
  15. 13905.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. )

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    An affordable housing entity is not authorized to pay, insure, contract for payment, or provide payment for any part of a claim or judgment against an employee when the claim is for punitive or exemplary damages.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. ) ## 13905. Nothing in this division shall be construed to authorize an affordable housing entity to pay for, to insure, to contract for payment of, or to provide for payment for, any part of a claim or judgment against an employee of the affordable housing entity for punitive or exemplary damages. (Added by Stats. 2010, Ch. 384, Sec. 1. (AB 2327) Effective January 1, 2011.)
  16. 13906.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. )

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    This section defines “affordable housing” for this division.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. ) ## 13906. For the purpose of this division, “affordable housing” means housing developments in which some of the dwelling units may be purchased or rented, with or without government assistance, on a basis that is affordable to persons or families of low or moderate income, as defined in Section 50093 of the Health and Safety Code. (Added by Stats. 2010, Ch. 384, Sec. 1. (AB 2327) Effective January 1, 2011.)
  17. 13907.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. )

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    This section defines “affordable housing entity” for this division.

    ## Insurance Code - INS ## DIVISION 4. AFFORDABLE HOUSING ENTITIES RISK RETENTION POOL [13900 - 13907] ( Division 4 added by Stats. 2010, Ch. 384, Sec. 1. ) ## 13907. For the purpose of this division, an “affordable housing entity” means any of the following: (a) A housing authority created under the laws of this state or another jurisdiction and any agency or instrumentality of a housing authority, including, but not limited to, a legal entity created to conduct a self-insurance program for housing authorities that complies with Chapter 5 (commencing with Section 6500) of Division 7 of Title 1 of the Government Code. (b) A nonprofit corporation organized under the laws of this state or another state that is engaged in providing affordable housing. (c) A partnership, general or limited, or limited liability company that is engaged in providing affordable housing and that is affiliated with a housing authority described in subdivision (a) or a nonprofit corporation described in subdivision (b) if the housing authority or nonprofit corporation has one or more of the following: (1) A financial or ownership interest in the partnership or limited liability company or the right to acquire that interest. (2) The power to direct the management or policies of the partnership or limited liability company. (3) A contract to lease, manage, or operate the affordable housing owned by the partnership or limited liability company. (Added by Stats. 2010, Ch. 384, Sec. 1. (AB 2327) Effective January 1, 2011.)
  18. 1391.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

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    An attorney may assess an exchange with insufficient assets and required surplus; if the attorney does not act within 30 days after the commissioner orders it, the commissioner may make the assessment instead.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1391. Whenever an exchange subject to this article, is not possessed of admitted assets sufficient to discharge all liabilities and to maintain the required surplus, the attorney may make an assessment for the amount, subject to the limits provided by this article, needed to make up the deficiency. If the attorney fails to make the assessment within 30 days after the commissioner orders him to do so, the commissioner may make the assessment. If liquidation of such an exchange is ordered, the assessment may be levied for such an amount, subject to limits provided by this article, as the commissioner determines to be necessary to discharge all liabilities of the exchange, including the reasonable cost of liquidation. (Amended by Stats. 1969, Ch. 1347.)
  19. 1392.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

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    Subscribers of an exchange covered by this article must pay their share of an assessment, except where specified sections apply.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1392. Except as provided by Sections 1397, 1398, 1400 and 1401, every subscriber of an exchange subject to this article shall be liable to pay, and shall pay, his proportionate part of any such assessment, in accordance with law and his contract covering any such deficiency assessment (a) if he is notified by either the attorney or the commissioner of intention to levy such assessment within one year after the expiration or cancellation of his policy, or, (b) if an order appointing a conservator or liquidator of such exchange is entered, within one year after such expiration or cancellation. The period to be covered by the assessment shall be the period of one year immediately preceding (a) the date of notification by either the attorney or the commissioner of the intention to levy such assessment, or, (b) the date of entry of an order appointing a conservator or liquidator of such exchange, as the case may require. (Amended by Stats. 1941, Ch. 270.)
  20. 1393.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

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    A subscriber’s share of an assessed deficiency is calculated from the premium earned on the member’s policies during the assessment period.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1393. Each such subscriber’s share of the deficiency for which an assessment is made pursuant to this article, shall be determined by applying to the premium earned on the member’s policy or policies during the period to be covered by the assessment, the ratio of the total deficiency to the total premiums earned during such period, upon all policies subject to such assessment. For the purpose of this section, premium earned is to be calculated upon the basis of the amount of the consideration for which the policy is issued, without the deduction of attorney-in-fact fees, policy fees, or other charges, excepting charges which do not recur upon the renewal or extension of the policy. (Amended by Stats. 1939, Ch. 934.)
  21. 1394.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

    Verify source ↗

    Subscribers liable to assessment under this article must pay the assessment in full and cannot offset claims for unearned premiums or losses.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1394. Subscribers liable to assessment under this article shall pay the same without offsetting any claim for unearned premiums or losses payable to or for the account of the subscriber. (Enacted by Stats. 1935, Ch. 145.)
  22. 1395.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

    Verify source ↗

    Assessments under this article must be made against liable members in proportion to each member’s liability.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1395. Assessments under this article shall be made upon the members liable to assessment therefor, in proportion to their several liabilities. (Enacted by Stats. 1935, Ch. 145.)
  23. 1396.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

    Verify source ↗

    Notice of proposed assessments must be filed with the commissioner, and the assessments cannot take effect until the commissioner approves them after any investigation he considers necessary.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1396. Notice of all such proposed assessments shall be filed with the commissioner and the assessments shall not take effect until approved by him after such investigation as he deems necessary. (Enacted by Stats. 1935, Ch. 145.)
  24. 1397.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

    Verify source ↗

    Assessments under this article cannot exceed the amount set out in the power of attorney.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1397. Assessments under this article, whether levied by the attorney, or the commissioner in the liquidation of such an exchange or otherwise, shall be of no greater amount than specified in the power of attorney. (Enacted by Stats. 1935, Ch. 145.)
  25. 1398.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

    Verify source ↗

    An exchange’s power of attorney may limit a subscriber’s contingent liability, but the liability cannot be set below the policy’s premium deposit amount.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1398. The power of attorney of an exchange subject to this article may limit the contingent liability of the subscriber for assessment, but such contingent liability shall not be less than an amount equal to and in addition to the amount of the premium deposit provided in the policy. (Enacted by Stats. 1935, Ch. 145.)
  26. 1399.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

    Verify source ↗

    A subscriber to an exchange covered by this article may keep an additional deposit with the exchange as a surplus deposit.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1399. Each subscriber to an exchange subject to this article may maintain with the exchange, in addition to the premium deposit provided in the policy, a further deposit to be held as the surplus deposit of such subscriber. (Amended by Stats. 1937, Ch. 727.)
  27. 14.

    ## Insurance Code - INS ## GENERAL PROVISIONS ( General Provisions enacted by Stats. 1935, Ch. 145. )

    Verify source ↗

    In this section, “county” also means “city and county.”

    ## Insurance Code - INS ## GENERAL PROVISIONS ( General Provisions enacted by Stats. 1935, Ch. 145. ) ## 14. “County” includes “city and county.” (Enacted by Stats. 1935, Ch. 145.)
  28. 140.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 1. THE CONTRACT [100 - 679.75] ( Part 1 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 1.5. Risk Retention [125 - 140] ( Chapter 1.5 added by Stats. 1990, Ch. 1521, Sec. 1. )

    Verify source ↗

    The commissioner may order a purchasing group or risk retention group to stop soliciting or selling insurance, or to stop operating, if its officers, organizers, or directors engaged in certain acts or omissions.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 1. THE CONTRACT [100 - 679.75] ( Part 1 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 1.5. Risk Retention [125 - 140] ( Chapter 1.5 added by Stats. 1990, Ch. 1521, Sec. 1. ) ## 140. The commissioner may order a purchasing group or risk retention group to cease and desist from the solicitation or sale of insurance by, or the operations of, a risk retention group or purchasing group whose officers, organizers, or directors have engaged in any of the acts or omissions set forth in subdivision (a) of Section 1668.5. That order shall be made in accordance with the procedures set forth in Article 14.5 (commencing with Section 1065.1) of Chapter 1 of Part 2. (Amended by Stats. 1991, Ch. 1040, Sec. 7.)
  29. 1400.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

    Verify source ↗

    A subscriber who maintains a qualifying surplus deposit has no liability for assessment while the deposit is maintained.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1400. Each such subscriber maintaining a surplus deposit equal to, and in addition to, the amount of the total current annual premium deposit provided in his policy, shall have no liability for assessment during the period such surplus deposit is so maintained. (Enacted by Stats. 1935, Ch. 145.)
  30. 14000.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 1. General Provisions [14000 - 14002] ( Article 1 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    This chapter may be cited as the Insurance Adjuster Act.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 1. General Provisions [14000 - 14002] ( Article 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14000. This chapter may be cited as the Insurance Adjuster Act. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  31. 14001.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 1. General Provisions [14000 - 14002] ( Article 1 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    This section defines key terms used in the chapter, including “Commissioner,” “Department,” “Licensee,” “Manager,” and “Person.”

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 1. General Provisions [14000 - 14002] ( Article 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14001. As used in this chapter: (a) “Commissioner” means the Insurance Commissioner. (b) “Department” means the Department of Insurance. (c) “Licensee” means a person licensed under this chapter. (d) “Manager” means the individual under whose direction, control, charge, or management the business of a licensee is operated. (e) “Person” includes any individual, firm, company, association, organization, partnership, limited liability company, and corporation. (Amended by Stats. 1994, Ch. 1010, Sec. 176. Effective January 1, 1995.)
  32. 14002.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 1. General Provisions [14000 - 14002] ( Article 1 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    This section says the chapter does not give anyone the right to practice law in California unless the person is an active member of the State Bar of California.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 1. General Provisions [14000 - 14002] ( Article 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14002. Nothing in this chapter shall be construed as entitling any person to practice law in this state, unless he is an active member of the State Bar of California. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  33. 1401.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

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    If an exchange meets the stated surplus test, the Insurance Commissioner must issue a certificate on written request; certified subscribers have no assessment liability on covered policies, and the certificate can be revoked if the surplus condition no longer exists.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1401. If an exchange has a surplus of admitted assets over all liabilities in a sum equal to 11/2 times the minimum paid-in capital required of incorporated insurers issuing policies on a reserve basis and doing the same classes of insurance, then the Insurance Commissioner, upon written request, shall issue his certificate stating such fact. Subscribers at an exchange so certified shall have no liability for assessment on policies issued while such certificate remains in effect. Whenever the commissioner finds such fact does not exist, he shall revoke and require the surrender of his certificate. Upon revocation of such certificate no policy shall thereafter be issued nor be permitted to remain in force beyond the date fixed for the next payment of premium without written endorsement thereon providing for assessment liability in accordance with the terms of this chapter. (Amended by Stats. 1981, Ch. 1131, Sec. 9. Operative July 1, 1982, by Sec. 29 of Ch. 1401.)
  34. 1401.5.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

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    A reciprocal insurer can ask the commissioner for an order making it nonassessable if it meets the stated surplus test and hearing requirements.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1401.5. (a) When the commissioner finds after a public hearing that a reciprocal or interinsurance exchange has at all times during any consecutive five-year period terminating on December 31, 1964, or on the last day of any subsequent calendar year, as shown by its annual statements, as filed or as adjusted by the commissioner, as the case may be, maintained a surplus of admitted assets over all liabilities of at least three million dollars ($3,000,000) the commissioner may make an order that the reciprocal or interinsurance exchange need not obtain the certificate provided in Section 1401 and that its subscribers shall thereafter in perpetuity have no liability for assessment on policies issued or renewed at any time after that order becomes final or may, if the reciprocal desires not to become nonassessable, issue a certificate of capability to reinsure. To request the order, the reciprocal or interinsurance exchange shall file a petition with the commissioner, on a form prescribed by the commissioner. The filing fee for the petition shall be five hundred sixty-seven dollars ($567). The commissioner shall give notice of the hearing in the insurance press and in any other ways as he or she deems advisable and to the extent he or she deems advisable. That order is subject to the provisions of Section 12940 and any person with sufficient relevant interest shall be authorized to bring any permitted action thereunder. (b) When the order of the commissioner becomes final any domestic reciprocal or interinsurance exchange obtaining that order shall no longer be subject to or entitled to the benefits of: subdivision (c) of Section 1307, subdivision (b) of Section 1374, and Article 6 (commencing with Section 1390) of this chapter. (c) At the time all reciprocal or interinsurance exchanges conducting insurance business in this state are by law governed for all purposes as to required minimum surplus (including that for admission, amendment of certificate of authority, and solvency) by the same standards for minimum paid-in capital and surplus as are then applicable to capital stock insurers, any domestic reciprocal or interinsurance exchange may obtain the order provided in subdivision (a), subject to the provisions in subdivision (a) by showing that it has maintained the minimum paid-in capital and surplus requirement applicable to capital stock insurers for at least five consecutive years in lieu of the three million dollars ($3,000,000) surplus prescribed in subdivision (a). (d) If the power of attorney or any policy of any domestic reciprocal or interinsurance exchange obtaining the order provided by subdivision (a) contains language directly or indirectly creating a liability for assessment, in respect to policies issued prior to or issued after the order becomes final that power of attorney and all those policies shall be deemed in law to have been amended to delete and repeal any and all of those assessment provisions as of the date that the order becomes final without any further action on the part of the reciprocal or interinsurance exchange, its subscribers, its attorney-in-fact, or the body exercising the subscriber’s rights. (Amended by Stats. 2017, Ch. 534, Sec. 30. (AB 1699) Effective January 1, 2018.)
  35. 14010.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 2. Administration [14010 - 14013] ( Article 2 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    The department takes over the listed duties and authority for insurance adjuster licensing, and the commissioner must administer and enforce this chapter.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 2. Administration [14010 - 14013] ( Article 2 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14010. The department succeeds to and is vested with all the duties, powers, purposes, responsibilities, and jurisdiction previously vested in the Bureau of Collection and Investigative Services with respect to the licensing of insurance adjusters. Any reference to prior licensing shall be deemed to licensing under the Private Investigator and Adjuster Act. The commissioner shall administer and enforce the provisions of this chapter. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  36. 14011.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 2. Administration [14010 - 14013] ( Article 2 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    The commissioner may appoint inspectors, investigators, and other necessary personnel, following the State Civil Service Act.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 2. Administration [14010 - 14013] ( Article 2 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14011. The commissioner may, in accordance with the State Civil Service Act, appoint such inspectors, investigators, and other personnel as may be necessary for the administration and enforcement of this chapter. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  37. 14012.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 2. Administration [14010 - 14013] ( Article 2 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    The commissioner may authorize other department officers or employees to exercise the commissioner’s powers and duties, but the commissioner remains responsible for supervising them.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 2. Administration [14010 - 14013] ( Article 2 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14012. Every power and duty granted to or imposed upon the commissioner may be exercised by any other officer or employee of the department authorized by the commissioner, but the commissioner shall have the supervision of and the responsibility for all powers and duties exercised by such officers and employees. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  38. 14013.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 2. Administration [14010 - 14013] ( Article 2 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner may adopt and enforce reasonable rules for insurance adjusters.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 2. Administration [14010 - 14013] ( Article 2 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14013. The commissioner may adopt and enforce reasonable rules: (a) Fixing the qualifications of licensees and managers, in addition to those prescribed in this chapter, necessary to promote and protect the public welfare. (b) Carrying out generally the provisions of this chapter, including regulation of the conduct of licensees. (c) For a change in the classification of a licensee, or in the type of business organization upon application therefor by a licensee, and to prescribe the fee, if any, to be paid. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  39. 1402.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. )

    Verify source ↗

    The exchange’s funds and the proceeds of subscribers’ contingent liability are available to pay any liability of the exchange.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 6. Assessment of Insurers [1390 - 1402] ( Heading of Article 6 amended by Stats. 1955, Ch. 935. ) ## 1402. All funds of such exchange and the proceeds of the contingent liability of its subscribers shall be available for the payment of any liability of the exchange. (Enacted by Stats. 1935, Ch. 145.)
  40. 14020.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    A person must not do business as an insurance-adjuster licensee, or hold themself out as one, unless licensed under this chapter; a person also must not falsely say they are employed by a licensee.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14020. (a) A person shall not engage in a business regulated by this chapter, or act or assume to act as, or represent themselves to be, a licensee unless the person is licensed under this chapter. (b) A person shall not falsely represent that the person is employed by a licensee. (Amended by Stats. 2019, Ch. 502, Sec. 2. (SB 240) Effective October 3, 2019.)
  41. 14021.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    This section defines who counts as an insurance adjuster for this chapter.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14021. An insurance adjuster within the meaning of this chapter is a person other than a private investigator as defined in Section 7521 of the Business and Professions Code who, for any consideration whatsoever, engages in business or accepts employment to furnish, or agrees to make, or makes, any investigation for the purpose of obtaining, information in the course of adjusting or otherwise participating in the disposal of, any claim under or in connection with a policy of insurance on behalf of an insurer or engages in soliciting insurance adjustment business or aids an insurer in any manner with reference to: Crime or wrongs done or threatened against the United States of America or any state or territory of the United States of America; the identity, habits, conduct, business, occupation, honesty, integrity, credibility, knowledge, trustworthiness, efficiency, loyalty, activity, movement, whereabouts, affiliations, associations, transactions, acts, reputation, or character of any person; the location, disposition, or recovery of lost or stolen property; the cause or responsibility for fires, libels, losses, accidents, or damage or injury to persons or to property; or securing evidence to be used before any court, board, officer, or investigating committee. Notwithstanding any other provision of law, this section is in no way intended to limit the ability of a duly licensed independent insurance adjuster to perform the duties of an independent insurance adjuster for any other entity. (Amended by Stats. 1997, Ch. 96, Sec. 1. Effective January 1, 1998.)
  42. 14022.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    This section lists who is excluded from this chapter and requires supervised nonlicensed adjusters to read the department’s notice and handbook within 15 calendar days after they start claims adjusting activity in California, after a declared emergency.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14022. This chapter does not apply to: (a) (1) A person employed exclusively and regularly by one employer in connection with the affairs of the employer only and if there exists an employer-employee relationship, except as provided in paragraph (2). (2) After a declared state of emergency, as defined in Section 8558 of the Government Code, or other emergency declared by a public official, a person licensed under this chapter or a qualified manager shall require that all nonlicensed adjusters under the supervision of that person or manager read and understand the most recent notice and adjuster handbook prepared by the department pursuant to subdivision (a) of Section 14046 no later than 15 calendar days from the date on which the nonlicensed adjuster began claims adjusting activity in California. (3) In enforcing this chapter, the department shall not be required to investigate whether a person is employed exclusively and regularly by one employer pursuant to paragraph (1). (b) An officer or employee of the United States of America, or of this state or a political subdivision thereof, while that officer or employee is engaged in the performance of official duties. (c) A person engaged exclusively in the business of obtaining and furnishing information as to the financial rating of persons. (d) A charitable philanthropic society or association duly incorporated under the laws of this state, which is organized and maintained for the public good and not for private profit. (e) An attorney performing the duties of an attorney. (f) A licensed collection agency or an employee thereof acting within the scope of employment, while making an investigation incidental to the business of the agency, including an investigation of the location of a debtor or the debtor’s property if the contract with an assignor creditor is for the collection of claims owed or due or asserted to be owed or due or the equivalent thereof. (g) Admitted insurers and agents and insurance brokers licensed by the state, performing duties in connection with insurance transacted by them. (h) The legal owner of personal property that has been sold under a conditional sales agreement or a mortgagee under the terms of a chattel mortgage. (i) A bank subject to the jurisdiction of the Commissioner of Financial Institutions of the State of California under Division 1 (commencing with Section 99) of the Financial Code or the Comptroller of the Currency of the United States. (j) A person engaged solely in the business of securing information about persons or property from public records. (k) A building contractor, engineer, technical expert, or other person who is engaged by an insurer or licensed adjuster to provide an expert or professional evaluation of the extent, cause, or origin of damage to the insured property, but who does not otherwise participate in the process of adjusting claims. (Amended by Stats. 2019, Ch. 502, Sec. 3. (SB 240) Effective October 3, 2019.)
  43. 14022.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    A nonlicensed adjuster may adjust emergency-related claims if the adjuster is registered with the commissioner and the listed conditions are met.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14022.5. (a) In the event of an emergency situation as declared by the commissioner, claims arising out of the emergency, catastrophe, disaster, or other similar occurrence may be adjusted by a nonlicensed adjuster upon registration with the commissioner if all of the following requirements are met: (1) The work performed by the nonlicensed adjuster is under the active direction, control, charge, or management of a licensed adjuster or an insurer authorized to do business in this state. (2) The licensee or insurer registers the nonlicensed adjuster with the commissioner no later than 15 calendar days from the date on which the nonlicensed adjuster began claims adjusting activity in California. (3) The nonlicensed adjuster submits to the commissioner a certification in a form or other format specified by the commissioner, under penalty of perjury, that the adjuster has read and understands the most recent notice and the handbook for adjusting disaster claims prepared by the department pursuant to subdivision (a) of Section 14046. (b) “Registration” or “register,” within the meaning of this section, means filing with the commissioner a notice in a form or other format specified by the commissioner, submitted by the supervising licensed adjuster or admitted insurer, naming the nonlicensed adjusters, identifying their adjuster licenses held in other jurisdictions, or, if not licensed, providing other identification specified by the commissioner, stating when their claims adjusting activity will commence or has commenced, and any other information the commissioner may require. (c) Registration for claims adjusting activities arising out of an emergency is valid for a period of 180 days from the date of the registration letter. Before the lapse of that period, the commissioner may grant further 180-day extensions as the commissioner deems appropriate upon written request from the supervising licensed adjuster or the admitted insurer. (d) A registration is not valid unless a current certification is on file with the commissioner. (e) In enforcing this chapter, the department shall not be required to investigate the employment or contractor status of a person registered pursuant to this section. (f) This section does not apply to a nonlicensed adjuster who meets the criteria described in paragraph (1) of subdivision (a) of Section 14022. (Amended by Stats. 2019, Ch. 502, Sec. 4. (SB 240) Effective October 3, 2019.)
  44. 14023.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    A license application under this chapter must use the commissioner’s form and include the required application fee.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14023. An application for a license under this chapter shall be on a form prescribed by the commissioner and accompanied by the application fee provided by this chapter. (Amended by Stats. 2019, Ch. 502, Sec. 5. (SB 240) Effective October 3, 2019.)
  45. 14024.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    An applicant must submit a verified application with specified business, ownership, photo, fingerprint, and experience information, and may also have to provide additional items required by the commissioner.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14024. An application shall be verified and shall include: (a) The full name and business address of the applicant. (b) The name under which applicant intends to do business. (c) A statement as to the general nature of the business in which the applicant intends to engage. (d) A statement as to the classification or classifications under which the applicant desires to be qualified. (e) If the applicant is a person other than an individual, the full name and residence address of each of its partners, officers, and directors, and its manager. (f) Two recent photographs of the applicant, of a type prescribed by the commissioner, and two classifiable sets of his or her fingerprints. (g) A verified statement of his or her experience qualifications. (h) Such other information, evidence, statements, or documents as may be required by the commissioner. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  46. 14025.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    Before a license is granted, the applicant or the applicant’s manager must meet several qualifications, including being at least 18, having no disqualifying acts or crimes, having at least two years’ experience (or equivalent), and meeting any other qualifications set by the commissioner.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14025. Before an application for a license is granted, the applicant, or his or her manager, shall meet all of the following: (a) Be at least 18 years of age. (b) Not have committed acts or crimes constituting grounds for denial of licensure under Section 480 of the Business and Professions Code. (c) Shall have had at least two years of experience in adjusting insurance claims or the equivalent thereof as determined by the commissioner. (d) Comply with such other qualifications as the commissioner may fix by rule. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  47. 14026.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    The commissioner may require an applicant or the applicant’s manager to prove qualifications by a written exam, an oral exam, or both.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14026. The commissioner may require an applicant, or his or her manager, to demonstrate his or her qualifications by a written or oral examination, or a combination of both. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  48. 14026.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    The commissioner may revoke or deny an insurance adjuster license application and issue a restricted license instead, with reasonable conditions.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14026.5. Where a person who is or has been licensed under this chapter has been found by the commissioner to have violated any provision of this code that would justify the suspension or revocation of a license held by the person, or where a person is applying for a license under this chapter and there exists grounds for the denial of the application by the commissioner, the commissioner may, after hearing, revoke the license held or deny the application for an unrestricted license, and in lieu thereof issue to the person a restricted license. The commissioner may impose any reasonable conditions upon the acquisition of the restricted license or conduct of the holder of the license. The holder of the restricted license has no property right in it and the commissioner may, with or without either hearing or cause, suspend or revoke a restricted license. If a hearing is held under this section, it shall be conducted in accordance with Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code. The holder of a restricted license is subject to all the provisions of this code and the license shall be kept in force and renewed in the same manner, at the same time, and subject to the same conditions and fees as are applicable to an unrestricted license to act in the same capacity. (Added by Stats. 1996, Ch. 707, Sec. 4. Effective January 1, 1997. Operative July 1, 1997, by Sec. 8 of Ch. 707.)
  49. 14027.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    Paying the application fee gives an applicant or the applicant’s manager one examination at no extra charge.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14027. Payment of the application fee prescribed by this chapter entitles an applicant, or his or her manager, to one examination without further charge. If the person fails to pass the examination, he or she shall not be eligible for any subsequent examination except upon payment of the reexamination fee prescribed by this chapter for each such subsequent examination. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  50. 14028.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    After a hearing, the commissioner may deny a license if the application does not satisfactorily show that the applicant and certain managers, officers, or partners have not engaged in listed disqualifying conduct.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14028. After a hearing the commissioner may deny a license unless the application makes a showing satisfactory to the commissioner that the applicant, if an individual, has not, or if the applicant is a person other than an individual, that its manager and each of its officers and partners have not: (a) Committed any acts or crimes constituting grounds for denial of licensure under Section 480 of the Business and Professions Code. (b) Been refused a license under this chapter or had a license revoked. (c) Been an officer, partner, or manager of any person who has been refused a license under this chapter or whose license has been revoked. (d) While unlicensed committed, or aided and abetted the commission of, any act for which a license is required by this chapter. (e) Committed any act or crime constituting grounds for denial of license under Section 1668. (Amended by Stats. 2005, Ch. 448, Sec. 5. Effective January 1, 2006.)
  51. 14028.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner may deny a license without a hearing if the applicant has committed an act or crime that is grounds for denial under Section 1669.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14028.5. The commissioner may, without hearing, deny a license if the applicant has committed any act or crime constituting grounds for denial of license under Section 1669. (Added by Stats. 2005, Ch. 448, Sec. 6. Effective January 1, 2006.)
  52. 14029.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    Licensees must keep their business under proper active management, notify the commissioner within 30 days if a manager stops working for them, and managers must meet qualification and renewal requirements.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14029. (a) The business of each licensee shall be operated under the active direction, control, charge, or management of the licensee, if the licensee is qualified, or the person who has qualified to act as the licensee’s manager, if the licensee is not qualified. (b) No person shall act as a manager of a licensee until he or she has complied with each of the following: (1) Demonstrated his or her qualifications by a written or oral examination, or a combination of both, if required by the commissioner. (2) Made a satisfactory showing to the commissioner that he or she has the qualifications prescribed by Section 14025 and that none of the facts stated in Section 14028 or 14028.5 exist as to him or her. (c) If the manager, who has qualified as provided in this section, ceases for any reason whatsoever to be connected with the licensee to whom the license is issued, the licensee shall notify the commissioner in writing 30 days from the cessation. If notice is given, the license shall remain in force for a reasonable length of time to be determined by the rules of the commissioner pending the qualifications, as provided in this chapter, of another manager. If the licensee fails to notify the commissioner within the 30-day period, his or her license shall be subject to suspension or revocation and may be reinstated only upon the filing of an application for reinstatement, payment of the reinstatement fee, if any is due, and the qualification of a manager as provided herein. (d) Every manager shall renew his or her authority by satisfying the requirements of Article 8 (commencing with Section 14090). (Amended by Stats. 2008, Ch. 300, Sec. 16. Effective January 1, 2009.)
  53. 14030.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    If the qualifying individual leaves the licensee, the business may continue temporarily under conditions set by the commissioner by regulation.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14030. Whenever the individual on the basis of whose qualifications a license under this chapter has been obtained ceases to be connected with the licensee for any reason whatever, the business may be carried on for such temporary period and under such terms and conditions as the commissioner shall provide by regulation. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  54. 14031.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    In certain hearings under this chapter, the proceedings must follow Government Code Chapter 5, and the commissioner has all powers granted there.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14031. Whenever a hearing is held under this chapter to determine whether an application for a license should be granted or to determine the qualifications of a licensee’s manager, the proceedings shall be conducted in accordance with Chapter 5 (commencing with Section 11501) of Part 1 of Division 3 of Title 2 of the Government Code, and the commissioner shall have all of the powers granted therein. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  55. 14032.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner determines the form and content of the license.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14032. The form and content of the license shall be determined by the commissioner in accordance with Section 164 of the Business and Professions Code. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  56. 14033.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    A licensee must keep the license posted at all times in a conspicuous place at the principal place of business.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14033. The license shall at all times be posted in a conspicuous place in the principal place of business of the licenses. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  57. 14034.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    After a license is issued, a pocket card must be provided, and when a cardholder leaves the licensee, the card must be returned and then sent to the department for cancellation within five days.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14034. Upon the issuance of a license, a pocket card of such size, design, and content as may be determined by the commissioner shall be issued without charge to each licensee, if an individual, or if the licensee is a person other than an individual, to its manager and to each of its officers and partners, which card shall be evidence that the licensee is duly licensed pursuant to this chapter. When any person to whom a card is issued terminates his or her position, office, or association with the licensee, the card shall be surrendered to the licensee and within five days thereafter shall be mailed or delivered by the licensee to the department for cancellation. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  58. 14035.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    A licensee must notify the department within 30 days after an address change or a change in officers or partners; new officers or partners must file applications on commissioner-prescribed forms.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14035. A licensee shall, within 30 days after such change, notify the department of any change of his or her address and of any change in the officers or partners of such licensee. The principal place of business may be at a home or at a business address, but it shall be the place at which the licensee maintains a permanent office. Applications, on forms prescribed by the commissioner, shall be submitted by all new officers or partners. The commissioner may suspend or revoke a license issued under this chapter if he or she determines that at the time the person became an officer or partner of a licensee, any of the facts stated in Section 14028 or 14028.5 existed as to such person. (Amended by Stats. 2005, Ch. 448, Sec. 8. Effective January 1, 2006.)
  59. 14036.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    A license issued under this chapter cannot be assigned.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14036. A license issued under this chapter is not assignable. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  60. 14037.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    A licensee is responsible for the good conduct of its employees and agents at all times.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14037. A licensee shall at all times be legally responsible for the good conduct in the business of each of the licensee’s employees or agents, including the licensee’s manager and any nonlicensed adjusters the licensee registers pursuant to Section 14022.5. (Amended by Stats. 2019, Ch. 502, Sec. 6. (SB 240) Effective October 3, 2019.)
  61. 14038.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    This section limits how insurance adjuster licensees and related staff may disclose information, report facts, use official-looking symbols or titles, enter private buildings, participate in certain lien-related proceedings, delegate business activity, and receive financial benefits from repair facilities.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14038. (a) Any licensee or officer, director, partner, or manager of a licensee may divulge to any law enforcement officer or district attorney, or to his or her representative, any information he or she may acquire as to any criminal offense, but he or she shall not divulge to any other person, except as he or she may be required by law to do so, any information acquired by him or her except at the direction of the employer or client for whom the information was obtained. (b) No licensee or officer, director, partner, manager, or employee of a licensee shall knowingly make any false report to his or her employer or client for whom information was being obtained. (c) No written report shall be submitted to a client except by the licensee, qualifying manager, or a person authorized by one or either of them, and such person submitting the report shall exercise diligence in ascertaining whether or not the facts and information in such a report are true and correct. (d) No licensee, or officer, director, partner, manager, or employee of a licensee shall use a badge in connection with the official activities of the licensee’s business. (e) No licensee, or officer, director, partner, manager, or employee of a licensee, shall use a title, or wear a uniform, or use an insignia, or use an identification card, or make any statement with the intent to give an impression that he or she is connected in any way with the federal government, a state government, or any political subdivision of a state government. (f) No licensee, or officer, director, partner, manager, or employee of a licensee, shall enter any private building or portion thereof without the consent of the owner or of the person in legal possession thereof. (g) No licensee shall appear as an assignee party in any proceeding involving claim and delivery, replevin, or other possessory action, action to foreclose a chattel mortgage, mechanic’s lien, materialman’s lien, or any other lien. (h) No licensee shall permit an employee or agent in his or her own name to advertise, engage clients, furnish reports, or present bills to clients, or in any manner whatever to conduct business for which a license is required under this chapter. All business of the licensee shall be conducted in the name of and under the control of the licensee. (i) No licensee acting as an independent automobile damage appraiser or adjuster or as an automobile insurance claims adjuster, appraiser or representative shall receive any financial benefit from an automobile repair facility. “Financial benefit” means the receiving of any commission or gratuity, discount on repair costs, free repairs, employment by a repair facility, or possession of more than 3 percent direct ownership in an automobile repair facility located in this state. (Amended by Stats. 1981, Ch. 657, Sec. 1.)
  62. 14039.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    Licensed insurance adjusters must not conceal financial interests, use misrepresentations to get adjustment contracts, or take remuneration or more than a 3% financial interest in related firms.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14039. No person licensed as an insurance adjuster shall do any of the following: (a) Fail to disclose his or her full financial interest in a contract or agreement executed by him or her for the adjustment of a claim prior to the execution thereof. (b) Use any misrepresentation to solicit a contract or agreement to adjust a claim. (c) Solicit or accept remuneration from, or have a financial interest exceeding 3 percent in, any salvage, repair, or other firm, which obtains business in connection with any claim which he or she has a contract or agreement to adjust. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  63. 14040.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    If a licensee or related person wears a badge or cap insignia, it must be approved by the commissioner and include the licensee’s name and an employee number.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14040. Any badge or cap insignia worn by a person who is a licensee, officer, director, partner, manager, or employee of a licensee shall be of a design approved by the commissioner, and shall bear on its face a distinctive word indicating the name of the licensee and an employee number by which such person may be identified by the licensee. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  64. 14041.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    Each licensee must keep a record about employees, with the specific information to be set by the commissioner.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14041. Each licensee shall maintain a record containing such information relative to his or her employees as may be prescribed by the commissioner. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  65. 14042.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    A licensee may use a fictitious or other business name only with the commissioner’s written authorization, and must pay stated fees for additional names, name changes, and reissuance requests.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14042. A licensee shall not conduct a business under a fictitious or other business name unless and until he or she has obtained the written authorization of the commissioner to do so. The commissioner shall not authorize the use of a fictitious or other business name that is so similar to that of a public officer or agency or of that used by another licensee that the public may be confused or misled thereby. The authorization shall require, as a condition precedent to the use of any fictitious name, that the licensee comply with Section 1724.5 of this code and Chapter 5 (commencing with Section 17900) of Part 3 of Division 7 of the Business and Professions Code. A licensee desiring to conduct his or her business under more than one fictitious business name shall obtain the authorization of the commissioner in the manner prescribed in this section for the use of each name. The licensee shall pay a fee of twenty-five dollars ($25) for each authorization to use an additional fictitious business name and for each change in the use of a fictitious business name. If the original license is issued in a nonfictitious name and authorization is requested to have the license reissued in a fictitious business name, the licensee shall pay a fee of twenty-nine dollars ($29) for that authorization. (Amended by Stats. 2017, Ch. 534, Sec. 92. (AB 1699) Effective January 1, 2018.)
  66. 14043.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    Each licensee must file the complete address of its principal place of business with the commissioner. The commissioner may also require additional information to identify that business location.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14043. Each licensee shall file with the commissioner the complete address of his or her principal place of business, including the name and number of the street or, if the street where the business is located is not numbered, the number of the post office box. The commissioner may require the filing of other information for the purpose of identifying such principal place of business. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  67. 14044.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    Licensee advertisements must show the licensee’s name, address, and license number as recorded by the commissioner. The commissioner may define “advertisement” by regulation.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14044. Every advertisement by a licensee soliciting or advertising business shall contain his or her name, address, and license number as they appear in the records of the commissioner. The commissioner may adopt regulations defining the term “advertisement” as used in this section. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  68. 14045.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    A licensee may not advertise or do business from a location other than the one on the commissioner’s records as the principal place of business unless it has a branch office certificate for that location. The licensee must also notify the commissioner in writing within 10 days after closing or changing a branch office location.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14045. A licensee shall not advertise or conduct business from any location other than that shown on the records of the commissioner as his or her principal place of business unless he or she has received a branch office certificate for such location after compliance with the provisions of this chapter and such additional requirements necessary for the protection of the public as the commissioner may by regulation prescribe. A licensee shall notify the commissioner in writing within 10 days after closing or changing the location of a branch office. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  69. 14046.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    The department must send certain insurance-emergency notices and a claims-adjusting handbook, insurers must give claimants the notice in covered residential property claims, and supervising licensed adjusters must ensure some nonlicensed adjusters read the notice and handbook on time.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14046. (a) (1) The department shall annually prepare and deliver to every person licensed under this chapter and every insurer admitted in this state a notice describing the most significant California laws pertaining to property insurance policies, including those related to a declared state of emergency, as defined in Section 8558 of the Government Code, or other emergency declared by a public official. (2) The department shall prepare and deliver to every person licensed under this chapter a handbook for adjusting in California that includes information relevant to evaluating damage caused by an emergency, catastrophe, disaster, or other similar occurrence, including wildfires. The handbook shall be the similar or equivalent to one hour of continuing education for licensees. (b) For a claim under a policy of residential property insurance arising as a result of a declared state of emergency, as defined in Section 8558 of the Government Code, or other emergency declared by a public official, an insurer shall provide the claimant with a copy of the most recent notice described in paragraph (1) of subdivision (a) no later than 15 calendar days from the date on which the insurer received notice of the claim. (c) After a declared state of emergency, as defined in Section 8558 of the Government Code, or other emergency declared by a public official, a supervising licensed adjuster shall require any nonlicensed adjuster it has registered with the department pursuant to subdivision (b) of Section 14022.5 and any nonlicensed adjuster exempted from this chapter pursuant to subdivision (a) of Section 14022 to read and understand the most recent notice described in paragraph (1) of subdivision (a) and the most recent handbook described in paragraph (2) of subdivision (a) no later than 15 calendar days from the date on which the nonlicensed adjuster began claims adjusting activity in California. (d) The commissioner shall make the notice described in paragraph (1) of subdivision (a), the handbook described in paragraph (2) of subdivision (a), and the certification process required pursuant to paragraph (3) of subdivision (a) of Section 14022.5 accessible through a dedicated page on the department’s internet website. (Added by Stats. 2019, Ch. 502, Sec. 7. (SB 240) Effective October 3, 2019.)
  70. 14047.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    If a residential property insurance claim arises from a state of emergency and the insurer assigns a third or later adjuster within six months, the insurer must give the insured a written status report, set up a primary contact, and provide direct ways to reach that contact.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 3. Regulation, Licensing, and Registration [14020 - 14047] ( Article 3 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14047. (a) For a claim under a policy of residential property insurance arising as a result of a state of emergency, as defined in subdivision (b) of Section 8558 of the Government Code, if, within a six-month period, an insurer assigns a third or subsequent first-party real or personal property claims adjuster to be primarily responsible for a claim, the insurer, in a timely manner, shall provide the insured with a written status report, establish a primary point of contact for the insured, and provide the insured with one or more direct means of communication with the primary point of contact. (b) The primary point of contact shall be available to respond to inquiries by the insured related to the residential property insurance claim. Other claims personnel, vendors, or professionals, including clerical staff members and call center staff members, may work on portions of the insured’s claim. Once assigned, the primary point of contact shall remain assigned to the insured’s claim until the insurer determines that the residential property claim is closed or litigation has been filed. (c) The insurer shall ensure that the primary point of contact refers and transfers an insured to the appropriate supervisor with a span of control over the primary point of contact upon the request of the insured. This process shall be satisfied by a referral to a first-tier or second-tier manager with authority over claim handling. (d) For purposes of this section: (1) “Policy of residential property insurance” has the same meaning as defined in Section 10087. (2) “Primary point of contact” means a first-party real or personal property claims adjuster or team employed as a member or members of the insurer’s staff who are knowledgeable about the claim and its current status. (Added by Stats. 2019, Ch. 502, Sec. 8. (SB 240) Effective October 3, 2019.)
  71. 14050.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 4. Bonds [14050 - 14054] ( Article 4 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    An insurance adjuster license applicant must file a $2,000 surety bond with the commissioner unless an exception applies.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 4. Bonds [14050 - 14054] ( Article 4 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14050. (a) A license shall not be issued under this chapter unless the applicant files with the commissioner a surety bond executed by a surety company authorized to do business in the state in the sum of two thousand dollars ($2,000) conditioned for the faithful and honest conduct of business by the applicant. The bond’s form, execution, and sufficiency of the sureties shall be approved by the commissioner. (b) (1) Notwithstanding subdivision (a), a surety bond is not required for a licensed insurance adjuster, or an employee of a licensee, who adjusts claims on behalf of, and under the direction of, a licensee who is qualified as a manager, as described in Section 14029, and who has filed a surety bond or certificate of insurance. Notwithstanding subdivision (a), a licensed insurance adjuster, an employee of a licensee, or a qualified manager is not required to file a surety bond or certificate of insurance if that licensed insurance adjuster, employee of a licensee, or qualified manager adjusts claims for an association, organization, partnership, limited liability company, or corporation that has filed a surety bond or certificate of insurance. (2) A surety bond or certificate of insurance filed for the purposes described in paragraph (1) shall provide the names of all licensed insurance adjusters, employees, or qualified managers who may perform duties under that surety bond or certificate of insurance on a form provided by the commissioner. Any changes, removals, or additions to the licensed insurance adjusters, employees, or qualified managers listed on the form shall be made within 30 days in the manner required by the commissioner. (Amended by Stats. 2021, Ch. 627, Sec. 21. (AB 1511) Effective January 1, 2022.)
  72. 14051.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 4. Bonds [14050 - 14054] ( Article 4 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    People injured by the principal’s willful, malicious, or wrongful act may sue on the bond in their own name.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 4. Bonds [14050 - 14054] ( Article 4 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14051. The bond required by this article shall be taken in the name of the people of this state and every person injured by the willful, malicious, or wrongful act of the principal may bring an action on the bond in his or her own name to recover damages suffered by reason of such willful, malicious, or wrongful act. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  73. 14052.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 4. Bonds [14050 - 14054] ( Article 4 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    Certain insurance adjuster licensees must keep their required surety bond or certificate of insurance on file and current, and must keep listed personnel names updated.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 4. Bonds [14050 - 14054] ( Article 4 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14052. (a) Every licensee who is required by this article to file a surety bond or a certificate of insurance shall at all times maintain on file the surety bond or certificate required by this article in full force and effect and shall maintain the names of all licensed insurance adjusters, employees, or qualified managers who may perform duties under that surety bond or certificate of insurance. If the licensee fails to maintain the surety bond or certificate or the names thereon, their license shall be immediately suspended and shall not be reinstated until an application therefor, in the form prescribed by the commissioner, is filed together with a proper surety bond or certificate. (b) The commissioner may deny the application notwithstanding the applicant’s compliance with this section: (1) For any reason that would justify a refusal to issue, or a suspension or revocation of, a license. (2) For the performance by applicant of any practice while under suspension for failure to keep the bond or certificate in force, for which a license under this article is required. (Amended by Stats. 2021, Ch. 627, Sec. 22. (AB 1511) Effective January 1, 2022.)
  74. 14053.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 4. Bonds [14050 - 14054] ( Article 4 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    A cash deposit or certain deposit-backed instruments of $2,000 may be used instead of the surety bond required by this article.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 4. Bonds [14050 - 14054] ( Article 4 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14053. In lieu of the surety bond required by this article there may be deposited with the State of California the sum of two thousand dollars ($2,000) in cash, or evidence of deposit of the sum of two thousand dollars ($2,000) in banks authorized to do business in this state and insured by the Federal Deposit Insurance Corporation, or investment certificates or share accounts in the amount of two thousand dollars ($2,000) issued by a savings association doing business in this state and insured by the Federal Deposit Insurance Corporation, or evidence of a certificate of funds or share account of the sum of two thousand dollars ($2,000) in a credit union, as defined in Section 14000 of the Financial Code, whose share deposits are guaranteed by the National Credit Union Administration or guaranteed by any other agency approved by the Department of Financial Protection and Innovation. (Amended by Stats. 2022, Ch. 452, Sec. 199. (SB 1498) Effective January 1, 2023.)
  75. 14054.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 4. Bonds [14050 - 14054] ( Article 4 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    Bonds filed with the commissioner stay in effect until the surety ends future liability by giving 30 days’ notice to the commissioner.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 4. Bonds [14050 - 14054] ( Article 4 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14054. Bonds executed and filed with the commissioner pursuant to this article shall remain in force and effect until the surety has terminated future liability by 30-day notice to the commissioner. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  76. 14060.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner must conduct proceedings under this article according to the referenced Government Code chapter, except where Article 6 requires otherwise, and has the powers granted by that chapter.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14060. Except as otherwise required to comply with the provisions of Article 6 (commencing with Section 14070), the proceedings under this article shall be conducted in accordance with Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code and the commissioner shall have all the powers granted therein. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  77. 14061.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner may suspend or revoke a license, or issue a restricted license, if listed misconduct or violations are found.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14061. The commissioner may suspend or revoke a license issued under this chapter or may issue a restricted license in accordance with Section 14026.5 if he or she determines that the licensee, or his or her manager, if an individual, or if the licensee is a person other than an individual, that any of its officers, directors, partners, or its manager, has: (a) Made any false statement or given any false information in connection with an application for a license or a renewal or reinstatement of a license. (b) Violated any provisions of this chapter. (c) Violated any rule of the commissioner adopted pursuant to the authority contained in this chapter. (d) Been convicted of any crime substantially related to the qualifications, functions and duties of the holder of the registration or license in question. (e) Impersonated, or permitted or aided and abetted an employee to impersonate a law enforcement officer or employee of the United States of America, or of any state or political subdivision thereof. (f) Committed or permitted any employee to commit any act, while the license was expired which would be cause for the suspension or revocation of a license, or grounds for the denial of an application for a license. (g) Willfully failed or refused to render to a client services or a report as agreed between the parties and for which compensation has been paid or tendered in accordance with the agreement of the parties. (h) Committed assault, battery, or kidnapping, or used force or violence on any person, without proper justification. (i) Knowingly violated, or advised, encouraged, or assisted the violation of any court order or injunction in the course of business as a licensee. (j) Acted as a runner or capper for any attorney. (k) Committed any act which is a ground for denial of an application for license under this chapter. (l) Purchased, possessed, or transported any tear gas weapon except as authorized by law. A violation of this subdivision may be punished by the suspension of a license for a period to be determined by the commissioner. (Amended by Stats. 1996, Ch. 707, Sec. 5. Effective January 1, 1997. Operative July 1, 1997, by Sec. 8 of Ch. 707.)
  78. 14061.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner may, without a hearing, suspend or revoke a license, or issue a restricted license, if the licensee has committed an act or crime that would be grounds to deny a license under Section 14028.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14061.5. The commissioner may, without hearing, suspend or revoke a license issued under this chapter, or may issue a restricted license, if he or she determines that the licensee has committed any act or crime constituting grounds for denial of license under Section 14028.5. (Added by Stats. 2005, Ch. 448, Sec. 9. Effective January 1, 2006.)
  79. 14062.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner may suspend or revoke a license, or refuse to issue one, after conviction-related appeal or probation conditions are met.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14062. The record of conviction, or a certified copy thereof, shall be conclusive evidence of the conviction, as that term is used in this article or in Section 14028 or 14028.5. A plea or verdict of guilty or a plea of nolo contendere is deemed to be a conviction within the meaning of this article or of Section 14028 or 14028.5. The commissioner may order the license suspended or revoked, or may decline to issue a license, when the time for appeal has elapsed, or the judgment of conviction has been affirmed on appeal or when an order granting probation is made suspending the imposition of sentence, irrespective of a subsequent order under Section 1203.4 of the Penal Code allowing that person to withdraw their plea of guilty and to enter a plea of not guilty, or setting aside the verdict of guilty, or dismissing the accusation, information, or indictment. (Amended by Stats. 2021, Ch. 627, Sec. 23. (AB 1511) Effective January 1, 2022.)
  80. 14063.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner may suspend or revoke a license, or issue a restricted license, if certain conduct by the licensee or related officers/managers is found.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14063. The commissioner may suspend or revoke a license issued under this chapter or may issue a restricted license in accordance with Section 14026.5 if the commissioner determines that the licensee, or his or her manager, if an individual, or if the licensee is a person other than an individual, that any of its officers, directors, partners, or its manager, has: (a) Used any letterhead, advertisement, or other printed matter, or in any matter whatever represented that he or she is an instrumentality of the federal government, a state or any political subdivision thereof. (b) Used a name different from that under which he or she is currently licensed in any advertisement, solicitation, or contract for business. (Amended by Stats. 1996, Ch. 707, Sec. 6. Effective January 1, 1997. Operative July 1, 1997, by Sec. 8 of Ch. 707.)
  81. 14064.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner may suspend or revoke a license issued under this chapter, or issue a restricted license, if specified people connected to the licensee commit dishonesty or fraud in the course of the licensee’s business.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14064. The commissioner may suspend or revoke a license issued under this chapter or may issue a restricted license in accordance with Section 14026.5 if the commissioner determines that the licensee, or his or her manager, if an individual, or if the licensee is a person other than an individual, that any of its officers, directors, partners, or its manager, has committed any act in the course of the licensee’s business constituting dishonesty or fraud. “Dishonesty or fraud” as used in this section includes, in addition to other acts not specifically enumerated herein, all of the following: (a) Knowingly making a false statement relating to evidence or information obtained in the course of employment, or knowingly publishing a slander or a libel in the course of business. (b) Using illegal means in the collection or attempted collection of a debt or obligation. (c) Manufacture of evidence. (d) Acceptance of employment adverse to a client or former client relating to a matter with respect to which the licensee has obtained confidential information by reason of or in the course of his or her employment by such client or former client. (e) Impersonating, or permitting or aiding and abetting an employee to impersonate a law enforcement officer or employee of the United States of America, or of any state or political subdivision thereof. (Amended by Stats. 1996, Ch. 707, Sec. 7. Effective January 1, 1997. Operative July 1, 1997, by Sec. 8 of Ch. 707.)
  82. 14064.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner may deny, suspend, revoke, or restrict certain adjuster registrations and firm licenses.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14064.5. (a) The commissioner may, at any time, deny, suspend, or revoke a nonlicensed adjuster’s registration under Section 14022.5, or impose a restricted registration, in the same manner and on the same grounds as the commissioner may for a license as set forth in Sections 14026.5 to 14028.5, inclusive. (b) The commissioner may deny, suspend, revoke, or restrict an adjusting firm’s license if a nonlicensed adjuster registered by the firm pursuant to Section 14022.5 commits an act that would give rise to suspension, revocation, or restriction of the firm’s license under Section 14038, 14039, or 14061 to 14064, inclusive. (Added by Stats. 2019, Ch. 502, Sec. 9. (SB 240) Effective October 3, 2019.)
  83. 14065.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The commissioner may choose a civil penalty of up to $500 instead of suspending or revoking a license for certain violations, if that better serves the chapter’s purposes.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 5. Disciplinary Proceedings [14060 - 14065] ( Article 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14065. The commissioner, in lieu of suspending or revoking a license issued under this chapter for violations of Sections 14061, 14063, 14064, and 14064.5, may impose a civil penalty not to exceed five hundred dollars ($500) upon a licensee, if the commissioner determines that a penalty better serves the purposes of this chapter. (Amended by Stats. 2019, Ch. 502, Sec. 10. (SB 240) Effective October 3, 2019.)
  84. 14070.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    This section defines “presiding officer” as the executive officer of the Office of Administrative Hearings.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14070. As used in this article, “presiding officer” means the executive officer of the Office of Administrative Hearings. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  85. 14071.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    A nonresident licensee who accepts the chapter’s rights and privileges is treated as appointing the presiding officer to receive lawful process in disciplinary proceedings.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14071. The acceptance by a nonresident licensee of any of the rights and privileges conferred upon him or her by this chapter, as evidenced by his or her performance within this state, either personally or through an employee, of any act for which a license is required by this chapter, is equivalent to the appointment by such licensee of the presiding officer as his or her true and lawful attorney upon whom may be served all lawful process in any disciplinary proceeding conducted against him or her under this chapter. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  86. 14072.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    If the licensee accepts the rights and privileges described in this article, the licensee agrees that process served under the article has the same legal effect as personal service in this state.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14072. The acceptance of such rights and privileges as evidenced by such act shall signify the agreement of the licensee that any such process which is served against him or her in the manner provided in this article shall be of the same legal force and validity as if served upon him or her personally in this state. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  87. 14073.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    Service of the accusation, notice of defense, and statement may be made by leaving them with the presiding officer or at the officer’s office in Sacramento, with a $2 fee for each licensee served.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14073. Service shall be made by leaving a copy of the accusation, together with a notice of defense and statement to respondent as described in Section 11505 of the Government Code, with a fee of two dollars ($2) for each licensee to be served, in the hands of the presiding officer or in his or her office in Sacramento. Such service shall be sufficient service on the licensee subject to compliance with Section 14074. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  88. 14074.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    The presiding officer must promptly send the notice and related documents to the licensee by registered mail at the licensee’s last known address on file with the commission.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14074. A notice of such service and a copy of the accusation, together with the notice of defense and statement to respondent, shall forthwith be sent by registered mail by the presiding officer to the licensee at his or her last known address as furnished by the commission. Personal service of such notice, copy of the accusation, notice of defense, and statement to respondent upon the licensee wherever found outside this state shall be the equivalent of such mailing. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  89. 14075.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. )

    Verify source ↗

    For mail service, proof of compliance with Section 14074 must be made by affidavit and USPS return receipt, and those documents must be filed with the commissioner. For personal service outside the state, proof may be made by a qualifying public officer’s return, which must also be filed with the commissioner.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14075. Proof of compliance with Section 14074 shall be made in the event of service by mail by affidavit of the presiding officer or his or her authorized employee showing such service by mailing, together with the return receipt of the United States post office bearing the signature of the licensee or his or her agent. Such affidavit and receipt shall be appended to the original accusation on file with the commissioner. In the event of personal service outside this state, such compliance may be proved by the return of any duly constituted public officer qualified to serve process in civil actions in the state or jurisdiction where the licensee is found, showing such service to have been made. Such return shall be appended to the original accusation on file with the commissioner. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  90. 14076.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    The commissioner, or a hearing officer in an administrative hearing, may postpone or continue proceedings and extend time limits to help the licensee defend the case. The licensee must have at least 30 days after service of the accusation to file a notice of defense, and certain hearing notices and cross-examination requests must meet minimum timing rules.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14076. The commissioner, or if the proceeding is heard before a hearing officer of the Office of Administrative Hearings, such hearing officer, may order such postponements or continuances and grant such extensions of time as may be necessary to afford the licensee reasonable opportunity to defend the proceeding. In no event shall the licensee have less than 30 days after the date of service of the accusation in which to file a notice of defense, nor shall the notice of hearing provided for in Section 11509 of the Government Code or the notice and copy of affidavit referred to in Section 11514 of the Government Code be mailed or delivered less than 20 days prior to the date of hearing, and the time for making a request to cross-examine under Section 11514 of the Government Code shall not be less than 15 days. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  91. 14077.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    The presiding officer must keep a record of all process served under this article, and the record must show the day and hour of service.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14077. The presiding officer shall keep a record of all process served upon him or her pursuant to this article, which record shall show the day and hour of service. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  92. 14078.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    This section defines “nonresident” for this article as a person who is not a resident of California when performing the act referred to in Section 14071.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 6. Nonresidents [14070 - 14078] ( Article 6 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14078. As used in this article, “nonresident” means a person who is not a resident of this state at the time of the performance of the act referred to in Section 14071. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  93. 14080.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 7. Penal Provisions [14080- 14080.] ( Article 7 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    This section makes knowingly falsifying certain fingerprints or photographs a felony, and makes violating other provisions of the chapter a misdemeanor.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 7. Penal Provisions [14080- 14080.] ( Article 7 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14080. Any person who knowingly falsifies the fingerprints or photographs submitted under subdivision (f) of Section 14024 is guilty of a felony. Any person who violates any of the other provisions of this chapter is guilty of a misdemeanor punishable by fine not to exceed five hundred dollars ($500), or by imprisonment in the county jail not to exceed one year, or by both such fine and imprisonment. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  94. 14085.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 7.5. Crop Insurance Adjusters [14085- 14085.] ( Article 7.5 added by Stats. 2012, Ch. 786, Sec. 46. )

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    The commissioner must issue a crop insurance adjuster license on application if the applicant meets the stated requirements. A person may not act as a crop insurance adjuster, or use someone else to adjust crop insurance claims, unless the adjuster is licensed. The commissioner may also adopt implementing regulations.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 7.5. Crop Insurance Adjusters [14085- 14085.] ( Article 7.5 added by Stats. 2012, Ch. 786, Sec. 46. ) ## 14085. (a) Upon application, the commissioner shall issue a crop insurance adjuster license to a person who meets both of the following requirements: (1) Obtains an insurance adjuster license, with the exception of the examination requirement of Section 14026. (2) Provides evidence that he or she has satisfactorily completed the loss adjustment training curriculum and competency testing required by the Federal Crop Insurance Corporation Standard Reinsurance Agreement. (b) For the purposes of this article, the following definitions apply: (1) “Crop insurance” means insurance provided by the private insurance market that indemnifies for damage to crops from unfavorable weather conditions, fire, lightning, flood, hail, insect infestation, disease, or other yield-reducing conditions or perils, and multiple peril crop insurance reinsured by the federal crop insurance corporation. (2) “Crop insurance adjuster” means a person who investigates, negotiates, or settles crop insurance claims. (c) A person shall not act as or purport to be a crop insurance adjuster unless licensed as a crop insurance adjuster. (d) A person shall not contract, employ, or use any other person to adjust claims made under a crop insurance policy unless the other person is licensed as a crop insurance adjuster. (e) All provisions of this chapter and any regulations adopted pursuant to this chapter shall apply to crop insurance adjusters, unless exempted by or in conflict with this article or the regulations adopted pursuant to this article. (f) The commissioner may adopt regulations to implement this article, including, but not limited to, regulations that require applicants to satisfy other competency requirements in addition to or instead of those referred to in paragraph (2) of subdivision (a), and regulations that establish standards of practice for crop insurance adjusters. (Added by Stats. 2012, Ch. 786, Sec. 46. (AB 2303) Effective January 1, 2013.)
  95. 14090.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    Licenses, branch office certificates, and pocket cards generally expire two years after the last day of the month when the initial license was issued; older licenses use a May 31 even-year expiry date.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14090. Every license, branch office certificate, and pocket card issued pursuant to this chapter shall expire on the day two years after the last calendar day of the month in which the initial license was issued. Licenses issued prior to January 1, 2011, shall expire on May 31 of each even-numbered year. To renew an unexpired license or certificate, the licensee shall, on or before the date on which it would otherwise expire, apply for renewal on a form prescribed by the commissioner, and pay the renewal fee prescribed by this chapter. On renewal, the evidence of renewal of the license or certificate as the commissioner may prescribe, and renewal pocket cards for the persons mentioned in Section 14034, shall be issued to the licensee. (Amended by Stats. 2010, Ch. 400, Sec. 29. (AB 2782) Effective January 1, 2011.)
  96. 14090.1.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    An insurance adjuster licensee who is not exempt must complete 24 hours of continuing education, including 3 hours in ethics, and the requirement is reported on a biennial renewal basis.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14090.1. (a) An individual who holds an insurance adjuster license and who is not exempt under subdivision (b) shall satisfactorily complete a minimum of 24 hours, of which three hours are to be in ethics, of continuing education courses pertinent to the duties and responsibilities of an insurance adjuster license reported to the insurance commissioner on a biennial basis in conjunction with his or her license renewal cycle. (b) This section does not apply to any of the following: (1) A licensee not licensed for one full year prior to the end of the applicable continuing education biennium. (2) A licensee holding a nonresident insurance adjuster license who has met the continuing education requirements of his or her designated resident state. (3) An individual licensed as an insurance adjuster and as a property or casualty broker-agent, pursuant to Section 1625, who has met the continuing education requirements specified in Section 1749.3. (Amended by Stats. 2013, Ch. 321, Sec. 28. (AB 1391) Effective January 1, 2014.)
  97. 14090.2.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    The commissioner may set license periods and renewal dates for licenses under this chapter, and must provide fee proration or other adjustments to avoid overcharging anyone, to the extent practicable.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14090.2. Notwithstanding Section 14090, the commissioner may establish license periods and renewal dates for all licenses issued pursuant to this chapter so as to distribute the renewal work to permit the most efficient and economical use of personnel and equipment. In such cases, to the extent practicable, provision shall be made for the proration or other adjustment of fees so that no person shall be required to pay more than that which he or she would have been required to pay had no change in license periods or renewal dates been made. (Added by renumbering Section 14090.1 by Stats. 2008, Ch. 300, Sec. 17. Effective January 1, 2009.)
  98. 14091.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    An expired license or branch office certificate may be renewed within one year after expiration if the renewal application is filed, the required renewal fee is paid, and the delinquency fee is paid.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14091. Except as otherwise provided in this article, an expired license or branch office certificate may be renewed at any time within one year after its expiration on the filing of an application for renewal on a form prescribed by the commissioner, and the payment of the renewal fee in effect on the last preceding regular renewal date. The licensee, as a condition precedent to renewal, shall also pay the delinquency fee prescribed by this chapter. Renewal under this section shall be effective on the date on which the application is filed, on the date on which the renewal fee is paid, or on the date on which the delinquency fee, if any, is paid, whichever last occurs. If so renewed, the license or certificate shall continue in effect through the date provided in Section 14090 which next occurs after the effective date of the renewal, when it shall expire if it is not again renewed. Renewal of a license or certificate shall not prohibit the bringing of disciplinary proceedings for an act committed before the effective date of the renewal. (Amended by Stats. 2008, Ch. 300, Sec. 19. Effective January 1, 2009.)
  99. 14092.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    A suspended license or branch office certificate must be renewed under this article, but renewal does not let the licensee use the license or certificate while it is still suspended.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14092. A suspended license or branch office certificate is subject to expiration and shall be renewed as provided in this article, but renewal of the license does not entitle the licensee, while the license remains suspended and until it is reinstated, to engage in the licensed activity, or in any other activity or conduct in violation of the order or judgment by which the license was suspended, and renewal of the branch office certificate does not entitle the licensee, while the certificate remains suspended, and until it is reinstated, to engage in the licensed activity at the location for which the certificate was issued, or to engage in any other activity or conduct in violation of the order or judgment by which the certificate was suspended. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  100. 14093.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    A revoked license or branch office certificate can expire under this article, but it cannot be renewed. If it is reinstated after expiration, the licensee must pay a reinstatement fee, plus any delinquency fee accrued at revocation.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14093. A revoked license or branch office certificate is subject to expiration as provided in this article, but it may not be renewed. If it is reinstated after its expiration, the licensee, as a condition precedent to its reinstatement, shall pay a reinstatement fee in an amount equal to the renewal fee in effect on the last regular renewal date before the date on which it is reinstated, plus the delinquency fee, if any, accrued at the time of its revocation. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  101. 14094.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    If a license or branch office certificate is not renewed within one year after expiration, it cannot later be renewed, restored, reinstated, or reissued. A new license or certificate may be obtained only by meeting the original issuance requirements.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [14090 - 14094] ( Article 8 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14094. A license or branch office certificate which is not renewed within one year after its expiration may not be renewed, restored, reinstated, or reissued thereafter; and a license which expired before October 1, 1958, and was not reinstated before October 1, 1961, may not be renewed, restored, reinstated, or reissued. The holder of the license or certificate may obtain a new license or certificate only on compliance with all of the provisions of this chapter relating to the issuance of an original license or certificate. (Amended by Stats. 2008, Ch. 300, Sec. 20. Effective January 1, 2009.)
  102. 14097.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 9. Revenue [14097 - 14099] ( Article 9 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    This section sets the fees for insurance adjuster licenses, branch office certificates, renewals, delinquency, and reexamination, and lets the commissioner waive or refund some initial license fees.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 9. Revenue [14097 - 14099] ( Article 9 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14097. The amount of fees prescribed by this chapter, unless otherwise fixed, is that fixed in the following schedule: (a) The application fee for an original license is seventy-two dollars ($72). (b) The application fee for an original branch office certificate is forty-seven dollars ($47). (c) The fee for an original license is an amount equal to the renewal fee in effect on the last regular renewal date before the date on which the license is issued, except that, if the license will expire less than one year after its issuance, then the fee is an amount equal to 50 percent of the renewal fee in effect on the last regular renewal date before the date on which the license is issued. The commissioner may, by appropriate regulation, provide for the waiver or refund of the initial license fee if the license is issued less than 45 days before the date on which it will expire. (d) The renewal fee shall be fixed by the commissioner as follows: (1) For a license as an insurance adjuster, not more than two hundred eighty-three dollars ($283). (2) For a branch office certificate, not more than fifty-six dollars ($56). (e) The application and license fee for classifications prescribed by the commissioner, in addition to those provided for in this chapter, and the application and license fees for a change in the type of business organization of a licensee, shall be in the amount prescribed by rule and regulation of the commissioner. (f) The delinquency fee shall be 50 percent of the renewal fee in effect on the date of expiration, but not more than seventy-two dollars ($72). (g) The fee for reexamination of an applicant or his or her manager is twenty-nine dollars ($29). (Amended by Stats. 2017, Ch. 534, Sec. 93. (AB 1699) Effective January 1, 2018.)
  103. 14098.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 9. Revenue [14097 - 14099] ( Article 9 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    The department must receive and account for money made under this chapter, report it to the Controller monthly, and pay it to the Treasurer for the Insurance Fund.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 9. Revenue [14097 - 14099] ( Article 9 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14098. The department shall receive and account for all money derived from the operation of this chapter and, at the end of each month, shall report such money to the Controller and shall pay it to the Treasurer, to the credit of the Insurance Fund. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  104. 14099.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 9. Revenue [14097 - 14099] ( Article 9 added by Stats. 1980, Ch. 1190, Sec. 11. )

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    An application or license fee is not refundable unless Section 158 of the Business and Professions Code allows it.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 1. Insurance Adjuster Act [14000 - 14099] ( Chapter 1 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## ARTICLE 9. Revenue [14097 - 14099] ( Article 9 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## 14099. Application or license fee shall not be refunded except in accordance with Section 158 of the Business and Professions Code. (Added by Stats. 1980, Ch. 1190, Sec. 11. Operative July 1, 1981, by Sec. 13 of Ch. 1190.)
  105. 1420.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 7. Dividends [1420- 1420.] ( Article 7 enacted by Stats. 1935, Ch. 145. )

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    Savings or credits may be returned to subscribers if the return would not impair required assets or reserves.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 7. Dividends [1420- 1420.] ( Article 7 enacted by Stats. 1935, Ch. 145. ) ## 1420. Savings or credits may be returned to the subscribers irrespective of the source from which such savings or credits accrue whenever such returns do not constitute an impairment of the assets or reserves required to be maintained. (Amended by Stats. 1967, Ch. 581.)
  106. 1430.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 8. Reports and Examination [1430 - 1434] ( Article 8 enacted by Stats. 1935, Ch. 145. )

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    The attorney must file an annual sworn report with the commissioner and provide additional reports or information when the commissioner requires it.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 8. Reports and Examination [1430 - 1434] ( Article 8 enacted by Stats. 1935, Ch. 145. ) ## 1430. The attorney shall make a report, under oath, to the commissioner covering each calendar year. Such report shall be made annually during the time limited for the filing of annual statements by insurers transacting the same class of insurance. It shall show the financial condition of the exchange. The attorney shall at any time furnish such additional information and reports, other than names and addresses of subscribers, as the commissioner requires. The attorney shall not be required to furnish the names or addresses of any subscribers except in case of an unpaid final judgment against the exchange. (Enacted by Stats. 1935, Ch. 145.)
  107. 1431.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 8. Reports and Examination [1430 - 1434] ( Article 8 enacted by Stats. 1935, Ch. 145. )

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    The commissioner may examine the assets, business affairs, and records of every exchange and its attorney at any reasonable time.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 8. Reports and Examination [1430 - 1434] ( Article 8 enacted by Stats. 1935, Ch. 145. ) ## 1431. The assets, business affairs and records of every exchange and its attorney shall be subject to examination by the commissioner at any reasonable time. The cost and expense of such examination shall be paid as prescribed in Section 736. (Amended by Stats. 1947, Ch. 1008.)
  108. 1432.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 8. Reports and Examination [1430 - 1434] ( Article 8 enacted by Stats. 1935, Ch. 145. )

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    The commissioner may examine and supervise reciprocal or interinsurance exchanges, their attorneys, agents, and brokers, and may hold hearings using the same procedure as for other insurers.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 8. Reports and Examination [1430 - 1434] ( Article 8 enacted by Stats. 1935, Ch. 145. ) ## 1432. The commissioner has: (a) The right of examination of and supervision over reciprocal or interinsurance exchanges, their attorneys, agents and brokers. (b) The right to hold and conduct hearings in the manner and under the same procedure as in the case of other insurers. (Enacted by Stats. 1935, Ch. 145.)
  109. 1433.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 8. Reports and Examination [1430 - 1434] ( Article 8 enacted by Stats. 1935, Ch. 145. )

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    The commissioner may examine subscriber-name-and-address records, and information from those records must be kept confidential unless a court orders disclosure.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 8. Reports and Examination [1430 - 1434] ( Article 8 enacted by Stats. 1935, Ch. 145. ) ## 1433. The commissioner’s right of examination shall include the right to examine the records containing the names and addresses of the subscribers. Any information obtained from such records shall be confidential and the disclosure thereof, except under order of court, constitutes a breach of official duty. (Enacted by Stats. 1935, Ch. 145.)
  110. 1434.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 8. Reports and Examination [1430 - 1434] ( Article 8 enacted by Stats. 1935, Ch. 145. )

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    If the attorney’s principal office is in another State, the commissioner may accept a certified copy of that State’s examination report instead of conducting an examination.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 8. Reports and Examination [1430 - 1434] ( Article 8 enacted by Stats. 1935, Ch. 145. ) ## 1434. Where the principal office of the attorney is located in another State, the commissioner, in lieu of examination may accept a certified copy of the report of examination made by the insurance authority of another State. (Enacted by Stats. 1935, Ch. 145.)
  111. 1450.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 9. Suits [1450 - 1453] ( Article 9 enacted by Stats. 1935, Ch. 145. )

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    The exchange may sue or be sued in its own name.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 9. Suits [1450 - 1453] ( Article 9 enacted by Stats. 1935, Ch. 145. ) ## 1450. The exchange may sue or be sued in its own name as in the case of an individual. Any judgment rendered against the exchange shall be binding upon each subscriber only in such proportion as his interests may appear. (Enacted by Stats. 1935, Ch. 145.)
  112. 1451.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 9. Suits [1450 - 1453] ( Article 9 enacted by Stats. 1935, Ch. 145. )

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    A suit may not be brought against a subscriber on an exchange obligation until there is a final judgment against the exchange that stays unpaid for 30 days.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 9. Suits [1450 - 1453] ( Article 9 enacted by Stats. 1935, Ch. 145. ) ## 1451. No action shall lie against any subscriber, upon any obligation made or incurred in the name of the exchange, until a final judgment has been obtained against the exchange and remains unsatisfied for thirty days. (Enacted by Stats. 1935, Ch. 145.)
  113. 1452.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 9. Suits [1450 - 1453] ( Article 9 enacted by Stats. 1935, Ch. 145. )

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    Process may be served on the commissioner under the procedure in Article 1 of Chapter 2, Division 3.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 9. Suits [1450 - 1453] ( Article 9 enacted by Stats. 1935, Ch. 145. ) ## 1452. Process may be served upon the commissioner as provided in Article 1 (commencing with Section 12919) of Chapter 2 of Division 3. (Amended by Stats. 1970, Ch. 949.)
  114. 1453.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 9. Suits [1450 - 1453] ( Article 9 enacted by Stats. 1935, Ch. 145. )

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    If process is served on the commissioner, a judgment in the case binds the subscribers to the extent of their interests.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 9. Suits [1450 - 1453] ( Article 9 enacted by Stats. 1935, Ch. 145. ) ## 1453. A judgment rendered in any case where service of process has been made on the commissioner shall be binding against the subscribers as their interests appear. (Enacted by Stats. 1935, Ch. 145.)
  115. 1470.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 10. Policy [1470- 1470.] ( Article 10 enacted by Stats. 1935, Ch. 145. )

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    In a policy form prescribed by this code, the attorney may add provisions or conditions required by the reciprocal or interinsurance plan, but only if they do not conflict with California law.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 10. Policy [1470- 1470.] ( Article 10 enacted by Stats. 1935, Ch. 145. ) ## 1470. In any form of policy prescribed by this code, the attorney may insert provisions or conditions required by the plan of reciprocal or interinsurance if the plan is not inconsistent with, or in conflict with, any law of this State. (Enacted by Stats. 1935, Ch. 145.)
  116. 15.

    ## Insurance Code - INS ## GENERAL PROVISIONS ( General Provisions enacted by Stats. 1935, Ch. 145. )

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    “City” includes “city and county.”

    ## Insurance Code - INS ## GENERAL PROVISIONS ( General Provisions enacted by Stats. 1935, Ch. 145. ) ## 15. “City” includes “city and county.” (Enacted by Stats. 1935, Ch. 145.)
  117. 150.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 1. THE CONTRACT [100 - 679.75] ( Part 1 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 2. Parties, Events, and Interests [150 - 305] ( Chapter 2 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 1. Parties to the Contract: Generally [150 - 151] ( Article 1 enacted by Stats. 1935, Ch. 145. )

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    A person who is capable of making a contract may act as an insurer, but only subject to the code’s restrictions.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 1. THE CONTRACT [100 - 679.75] ( Part 1 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 2. Parties, Events, and Interests [150 - 305] ( Chapter 2 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 1. Parties to the Contract: Generally [150 - 151] ( Article 1 enacted by Stats. 1935, Ch. 145. ) ## 150. Any person capable of making a contract may be an insurer, subject to the restrictions imposed by this code. (Enacted by Stats. 1935, Ch. 145.)
  118. 1500.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 12. Agents and Brokers [1500- 1500.] ( Article 12 enacted by Stats. 1935, Ch. 145. )

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    Insurance-agent rules do not apply to the attorney-in-fact of a reciprocal or interinsurance exchange or to salaried representatives who receive no commissions, but they do apply to agents, brokers, or solicitors of such an exchange who receive commissions.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 12. Agents and Brokers [1500- 1500.] ( Article 12 enacted by Stats. 1935, Ch. 145. ) ## 1500. The provisions of this code regarding the appointment, licensing, qualification and regulation of insurance agents, brokers and solicitors, apply neither to the attorney-in-fact of a reciprocal or interinsurance exchange, nor to the salaried representatives of such exchange or attorney who receive no commissions, but do apply in the case of any agent, broker or solicitor of any reciprocal or interinsurance exchange who receives any commission. (Amended by Stats. 1947, Ch. 577.)
  119. 15000.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 1. General Provisions [15000 - 15002] ( Article 1 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    This chapter may be cited as the Public Insurance Adjusters Act.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 1. General Provisions [15000 - 15002] ( Article 1 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15000. This chapter may be cited as the Public Insurance Adjusters Act. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  120. 15001.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 1. General Provisions [15000 - 15002] ( Article 1 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    This section defines key terms for the Public Insurance Adjusters Act and lets a public insurance adjuster, in limited circumstances, declare another state as its home state.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 1. General Provisions [15000 - 15002] ( Article 1 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15001. As used in this chapter, the following terms have the following meanings: (a) “Apprentice public insurance adjuster” means a person who is qualified in all respects as a public adjuster, except as to experience, education, or training. (b) “Business entity” means a corporation, association, partnership, limited liability company, limited liability partnership, or other legal entity. (c) “Catastrophic disaster” means an event that results in large numbers of deaths and injuries; causes extensive damage or destruction of facilities that provide and sustain human needs; produces an overwhelming demand on state and local response resources and mechanisms; causes a severe long-term effect on general economic activity; and severely affects state, local, and private sector capabilities to begin and sustain response activities. A catastrophic disaster shall be declared by the President of the United States or the Governor of the state or district in which the disaster occurred. (d) “Commissioner” means the Insurance Commissioner. (e) “Department” means the Department of Insurance. (f) “Fingerprints” means an impression of the lines on the finger taken for the purposes of identification. (g) “Home state” means the District of Columbia and any state or territory of the United States in which the public insurance adjuster’s principal place of residence or principal place of business is located. If neither the state in which the public insurance adjuster maintains the principal place of residence nor the state in which the public insurance adjuster maintains the principal place of business has a substantially similar law governing public insurance adjusters, the public insurance adjuster may declare another state in which it becomes licensed and acts as a public insurance adjuster to be the “home state.” (h) “Licensee” means a person licensed under this chapter. (i) “Person” includes any individual, firm, company, association, organization, partnership, limited liability company, and corporation. (Amended by Stats. 2016, Ch. 833, Sec. 4. (SB 488) Effective January 1, 2017.)
  121. 15002.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 1. General Provisions [15000 - 15002] ( Article 1 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    This section says no one is entitled to practice law in California under this chapter unless they are an active member of the State Bar of California.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 1. General Provisions [15000 - 15002] ( Article 1 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15002. Nothing in this chapter shall be construed as entitling any person to practice law in this state, unless he or she is an active member of the State Bar of California. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  122. 15003.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 2. Administration [15003 - 15005] ( Article 2 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    The commissioner may appoint inspectors, investigators, and other needed personnel under the State Civil Service Act.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 2. Administration [15003 - 15005] ( Article 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15003. The commissioner may, in accordance with the State Civil Service Act, appoint those inspectors, investigators, and other personnel as may be necessary for the administration and enforcement of this chapter. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  123. 15004.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 2. Administration [15003 - 15005] ( Article 2 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    The commissioner can authorize other department officers or employees to exercise the commissioner’s powers and duties, but the commissioner remains responsible for supervising them.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 2. Administration [15003 - 15005] ( Article 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15004. Every power and duty granted to or imposed upon the commissioner may be exercised by any other officer or employee of the department authorized by the commissioner, but the commissioner shall have the supervision of and the responsibility for all powers and duties exercised by those officers and employees. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  124. 15005.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 2. Administration [15003 - 15005] ( Article 2 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    The commissioner may adopt and enforce reasonable rules for public insurance adjusters.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 2. Administration [15003 - 15005] ( Article 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15005. The commissioner may adopt and enforce reasonable rules: (a) Fixing the qualifications of licensees in addition to those prescribed in the chapter, necessary to promote and protect the public welfare. (b) Carrying out generally the provisions of this chapter, including regulation of the conduct of licensees. (c) For a change in the classification of a licensee, or in the type of business organization upon application therefore by a licensee, and to prescribe the fee, if any, to be paid. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  125. 15006.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    A person may not do regulated insurance adjuster business or hold themself out as a licensee unless licensed; violations can trigger civil penalties and a commissioner cease-and-desist order.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15006. (a) No person shall engage in a business regulated by this chapter, or act or assume to act as, or represent himself or herself to be, a licensee unless he or she is licensed under this chapter. Any person who violates this subdivision shall, in addition to any other penalties provided by law, be liable to the state for a civil penalty in an amount not exceeding ten thousand dollars ($10,000), or if that violation is willful, in an amount not exceeding twenty-five thousand dollars ($25,000). The penalty shall be assessed and recovered in a civil action brought by the commissioner in a court of competent jurisdiction in the name of the people of the State of California. (b) Any contract for services regulated by this chapter that is entered into by an insured with any person who is in violation of subdivision (a) may be voided at the option of the insured, and the insured shall not be liable for the payment of any past services rendered, or future services to be rendered, by that person under that contract or otherwise. (c) Whenever it appears to the commissioner that any person is engaging in acts or practices in violation of subdivision (a), the commissioner may, without any requirement of notice or hearing, issue and cause to be served upon that person an order requiring that person to cease and desist immediately from engaging further in those acts or practices. (d) Any person who fails to comply fully with an order of the commissioner issued under subdivision (c) shall be liable to the state for a civil penalty in an amount not exceeding one hundred dollars ($100) per day for each and every day that the violation or failure to comply continues, but in no event to exceed a maximum amount of five thousand dollars ($5,000). The commissioner shall collect the amount so payable and may bring an action in a court of competent jurisdiction in the name of the people of the State of California to enforce collection. This penalty is in addition to any other penalties provided by law. (e) The powers vested in the commissioner by this section are in addition to any and all other powers and remedies vested in the commissioner by law, and nothing herein shall be construed as requiring the commissioner to employ the powers conferred in this section instead of or as a condition precedent to the exercise of any other power or remedy vested in the commissioner. (Amended by Stats. 2004, Ch. 600, Sec. 1. Effective January 1, 2005.)
  126. 15007.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    This section defines who counts as a public insurance adjuster.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15007. A public insurance adjuster within the meaning of this chapter is a person who, for compensation, acts on behalf of or aids in any manner, an insured in negotiating for or effecting the settlement of a claim or claims for loss or damage under any policy of insurance covering real or personal property or any person who advertises, solicits business, or holds himself or herself out to the public as an adjuster of those claims and any person who, for compensation, investigates, settles, adjusts, advises, or assists an insured with reference to claims for those losses on behalf of any public insurance adjuster. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  127. 15008.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    This chapter does not apply to several listed categories of persons and claim handlers.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15008. This chapter does not apply to any of the following: (a) An attorney at law admitted to practice in this state, when performing his or her duties as an attorney at law. (b) Photographers, estimators, appraisers, engineers, and arbitrators, who are employed exclusively by a public insurance adjuster for the purpose of furnishing technical assistance to a licensed public insurance adjuster. (c) A person who negotiates or settles claims arising under a life or health insurance policy or an annuity contract. (d) A person who settles subrogation claims between insurers. (Amended by Stats. 2016, Ch. 833, Sec. 5. (SB 488) Effective January 1, 2017.)
  128. 15009.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    License applicants must use the commissioner’s prescribed form, pay the application fee, and comply with Section 1703.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15009. An application for a license under this chapter shall be on a form prescribed by the commissioner and accompanied by the application fee provided by this chapter. Every applicant for a license under this chapter shall comply with the provisions of Section 1703. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  129. 15009.1.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Applicants for a public insurance adjuster license must complete a 20-hour prelicensing course, and some out-of-state applicants must also finish education, pass the exam, and meet application requirements before a license is issued.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15009.1. (a) The applicant shall complete a 20-hour prelicensing course of study for the lines of authority for a public insurance adjuster license. (b) An applicant who resides in another state that does not license public insurance adjusters is eligible to designate California as his or her home state. He or she is required to complete the prelicensing education, pass the public insurance adjuster examination, and meet the license application requirements before a license can be issued. (c) An applicant licensed as a public insurance adjuster in another state is exempt from completing a prelicensing education course to apply for a California public insurance adjuster license if, at the time of application, the applicant’s out-of-state license is current or was canceled within 90 calendar days. (Added by Stats. 2016, Ch. 833, Sec. 6. (SB 488) Effective January 1, 2017.)
  130. 15010.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    An applicant must verify the application and include the listed information and documents.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15010. An application shall be verified and shall include all of the following: (a) The full name and business address of the applicant. (b) The name under which the applicant intends to do business. (c) A statement as to the general nature of the business in which the applicant intends to engage. (d) If the applicant is a person other than an individual, the full name and resident address of each of its partners, officers, and directors. (e) Two photographs, not older than six months, of the applicant, of a type prescribed by the commissioner, and one classifiable set of his or her fingerprints, to be sent to a live scan fingerprint provider as directed by the department, if fingerprints are not submitted in person with a live scan fingerprinting service provider certified by the Department of Justice. (f) A verified statement of his or her experience qualifications. (g) Other information, evidence, statements, or documents as may be required by the commissioner. (Amended by Stats. 2016, Ch. 833, Sec. 7. (SB 488) Effective January 1, 2017.)
  131. 15011.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    An applicant for a public insurance adjuster license must meet age, experience, office, exam, bond, and disclosure requirements before the license is granted.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15011. Before an application for a license is granted, the applicant shall meet all of the following requirements: (a) Be at least 18 years of age. (b) Shall not have committed acts or crimes constituting grounds for denial of licensure under Section 1668 or 1669. (c) Shall have at least two years’ experience in the handling of loss claims under insurance contracts as determined by regulations adopted by the commissioner, and be competent to transact business and discharge the responsibilities of a public insurance adjuster in a manner as to safeguard the interests of the public. A person who has been licensed as an apprentice public insurance adjuster, as set forth in Section 15016, for 12 full months, shall be considered to have met the two-year experience requirement. (d) Maintain an office in the State of California with public access during regular business hours. (e) Pass an exam given by the commissioner in regard to property loss adjusting. (f) Post a surety bond executed by a surety company authorized to do business in this state in the sum of twenty thousand dollars ($20,000). (g) For an organization applicant, designate a licensed individual public insurance adjuster to be responsible for the organization’s compliance with the insurance laws, rules, and regulations of this state. (h) For an organization applicant, authorize only licensed individual public insurance adjusters to exercise authority under the organization’s license. (i) Comply with any requirement to file supplementary documents, affidavits, and statements as may be necessary to obtain a full disclosure of the information that will aid the commissioner in determining whether the prerequisites for the license have been met. (Amended by Stats. 2016, Ch. 833, Sec. 8. (SB 488) Effective January 1, 2017.)
  132. 15012.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner-issued license must include authority to adjust claims for specified fire, burglary, flood, property, and income-loss coverages.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15012. The license issued by the commissioner shall include, but not be limited to, adjusting claims for fire and allied coverages, burglary, flood, and all property claims both real and personal, and loss of income. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  133. 15013.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Applicants for a public insurance adjuster license must pass an exam before the license is issued, and the commissioner must send the exam result within 30 days.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15013. Each applicant for a license as a public insurance adjuster shall, prior to issuance of the license, personally take and pass, to the satisfaction of the commissioner, an examination given by the department as follows: (a) The examination shall be prescribed by the commissioner and shall be of sufficient scope to reasonably test the applicant’s knowledge, among other things, of basic insurance theory, essential elements of contracts, technical competence in the handling of the various lines for which the applicant is being tested, claims ethics and knowledge of the Unfair Practices Act, and the duties and responsibilities of public insurance adjusters under the law. (b) The examination shall be given to applicants under the supervision of the department or the department’s examination contractor and shall be in written form. (c) The commissioner shall, within a reasonable period of time, not to exceed 30 days, transmit the results of the examination and action taken on the application to the applicant. (d) In the event an applicant who is otherwise qualified fails the examination, the commissioner may administer a reexamination. (e) The examination shall be given at those times and places within the state as the commissioner deems reasonably necessary to serve the convenience of the department and applicants. (Amended by Stats. 2016, Ch. 833, Sec. 9. (SB 488) Effective January 1, 2017.)
  134. 15016.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    An apprentice public insurance adjuster license is limited and comes with application, training, fee, and document-filing requirements, plus California-only claim adjusting and a 20-hour prelicensing course.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15016. (a) The apprentice public insurance adjuster license is a license to facilitate the training necessary to ensure reasonable competency to fulfill the responsibilities of a public insurance adjuster as defined in Section 15007. (b) The apprentice public insurance adjuster license is subject to the following terms and conditions: (1) The applicant shall submit, with an application for an initial apprentice public insurance adjuster license, an attestation or certification from a licensed public insurance adjuster assuming responsibility for all actions of that applicant. (2) The apprentice public insurance adjuster is authorized to adjust claims only in California. (3) The applicant is required to qualify under subdivisions (a) and (b) of Section 15011. (4) The applicant is required to pay a license fee of one hundred dollars ($100). (5) The applicant is required to comply with any requirement to file supplementary documents, affidavits, and statements as may be necessary to obtain a full disclosure of the information that will aid the commissioner in determining whether the prerequisites for the license have been met. (6) The apprentice public insurance adjuster shall not be required to take and successfully complete the prescribed public insurance adjuster examination. (7) The licensee shall at all times be an employee of a public insurance adjuster and be subject to training, direction, and control by a licensed public insurance adjuster. (8) The apprentice public insurance adjuster license is for a period not to exceed 12 months, and the license shall not be renewed. (9) The licensee is restricted to participation in factual investigation, tentative closing, and solicitation of losses subject to the review and final determination of a licensed public insurance adjuster. (10) The licensee shall be subject to suspension, revocation, or conditions in accordance with Section 1668. (11) The applicant shall submit two photographs, not older than six months, of the applicant, of a type prescribed by the commissioner, and one classifiable set of his or her fingerprints, to be sent to a live scan fingerprint provider as directed by the department, if fingerprints are not submitted in person with a live scan fingerprinting service provider certified by the Department of Justice. (12) The apprentice public insurance adjuster shall complete the 20-hour prelicensing education course of study as defined in Section 15009.1 during the license period. (Repealed and added by Stats. 2016, Ch. 833, Sec. 12. (SB 488) Effective January 1, 2017.)
  135. 15017.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner must issue a nonresident license to qualified persons who meet Section 15011 and appoint the commissioner for service of process. A nonresident person must receive a nonresident public insurance adjuster license if the listed conditions are met and licensure is not denied under specified sections.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15017. (a) A nonresident license shall be issued by the commissioner to qualified persons who meet the requirements set forth in Section 15011, and who have appointed the commissioner as an agent for service of process in this state. (b) Unless denied licensure pursuant to Sections 15018, 15018.5, and 15019, a nonresident person shall receive a nonresident public insurance adjuster license if all of the following apply: (1) The person is currently licensed in good standing as a public insurance adjuster in his or her home state. (2) The person has paid the fees required by Section 15060. (3) The person has provided proof of financial responsibility as required by Section 15033. (4) The individual has submitted to the commissioner the completed application for licensure. (5) The person’s home state awards nonresident public insurance adjuster licenses to residents of California on the same basis. (Amended by Stats. 2016, Ch. 833, Sec. 13. (SB 488) Effective January 1, 2017.)
  136. 15018.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    After a hearing, the commissioner may deny a license unless the applicant satisfies the commissioner that the applicant has not done certain disqualifying acts or crimes.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15018. After a hearing, the commissioner may deny a license unless the applicant makes a showing satisfactory to the commissioner that the applicant has not: (a) Committed any acts or crimes constituting grounds for denial of license under Section 1668. (b) Been refused a license under this chapter or had a license revoked. (c) While unlicensed, committed, aided or abetted the commission of any acts for which a license is required in this chapter. (d) Been convicted of any crime or wrongdoings in connection with this license. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  137. 15018.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner may deny an application without a hearing if the applicant has committed an act or been convicted of a crime that is grounds for denying a license under Section 1669.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15018.5. The commissioner may, without hearing, deny an application if the applicant has committed any act or been convicted of a crime constituting grounds for denial of license under Section 1669. (Added by Stats. 2005, Ch. 448, Sec. 13. Effective January 1, 2006.)
  138. 15019.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Hearings under this chapter about granting a license or a licensee’s qualifications must follow Chapter 5 of the Government Code, and the commissioner has the powers given there.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15019. Whenever a hearing is held under this chapter to determine whether an applicant for a license should be granted or to determine the qualifications of a licensee, the proceeding shall be conducted in accordance with Chapter 5 (commencing with Section 11501) of Part 1 of Division 3 of Title 2 of the Government Code, and the commissioner shall have all the powers granted therein. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  139. 15020.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner determines the form and content of the license.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15020. The form and content of the license shall be determined by the commissioner. (Amended by Stats. 2016, Ch. 833, Sec. 14. (SB 488) Effective January 1, 2017.)
  140. 15021.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The license must be posted at all times in a conspicuous place at the licensee’s principal place of business.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15021. The license shall at all times be posted in a conspicuous place in the principal place of business of the licensee. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  141. 15022.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    When a license is issued, the commissioner must provide each licensee a pocket card at no charge.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15022. Upon the issuance of a license, a pocket card of that size, design, and content as may be determined by the commissioner shall be issued without charge to each licensee. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  142. 15023.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    A license issued under this chapter cannot be assigned.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15023. A license issued under this chapter is not assignable. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  143. 15024.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Each licensee must file the commissioner the complete address of its principal place of business. The commissioner may also require other identifying information about that business location.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15024. Each licensee shall file with the commissioner the complete address of his or her principal place of business including the name and number of the street, or if the street where the business is located is not numbered, the number of the post office box. The commissioner may require the filing of other information for the purposes of indentifying that principal place of business. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  144. 15025.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    A licensee must notify the department of any address change within 30 days.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15025. A licensee shall within 30 days of the change notify the department of any change of his or her address. The principal place of business may be at home or at a business address but it shall be the place at which the licensee maintains a permanent office. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  145. 15026.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    A licensee may not run or advertise the business from any location other than the one on the commissioner’s records as the principal place of business unless a branch office certificate has been obtained. The licensee must also notify the commissioner in writing within 10 days after a branch office is closed or moved.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15026. A licensee shall not advertise or conduct business from any location other than that shown on the records of the commissioner as his or her principal place of business unless he or she has received a branch office certificate for that location after compliance with the provisions of this chapter and those additional requirements necessary for the protection of the public as the commissioner may by regulation prescribe. A licensee shall notify the commissioner in writing within 10 days of closing or changing the location of a branch office. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  146. 15027.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    Public insurance adjuster licensees must use a written commissioner-approved contract, give the insured copies, and follow detailed contract, disclosure, cancellation, and solicitation rules.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15027. (a) A licensee shall not, directly or indirectly, act within this state as a public insurance adjuster without having first entered into a contract, in writing, on a form approved by the insurance commissioner and executed in duplicate by the public adjuster and the insured or a duly authorized representative. One original contract shall be kept on file by the licensee, available at all times for inspection, without notice, by the commissioner or his or her duly authorized representative, and one original contract shall be given to the insured. (b) The written contract between the licensee and the insured shall contain each of the following: (1) Title of “Public Adjuster Contract.” (2) The name, business name, license number, telephone number, and address of the licensee. (3) The name and address of the insured. (4) A description of the loss and its location, if applicable. (5) The name of the insurer and the policy number, if known. (6) The full salary, fee, commission, or other consideration the licensee is to receive for services under the contract. (7) A public adjuster’s fee, commission, or other valuable consideration shall not cause the insured to receive less than any amount paid to the insured by the insurer prior to the date of the written contract between the insured and the public adjuster. (8) A description of the services to be provided to the insured. (9) Signatures of the licensee and the insured. (10) The date the contract was signed by the licensee and the date the contract was signed by the insured. (11) The following statement: “As a public adjuster, I am required by the California Insurance Code to post a surety bond in the sum of $20,000 to cover certain kinds of claims made by you, the insured. If you have any questions concerning the surety bond, you may contact the California Department of Insurance Licensing Hotline at 1-800-967-9331 or www.insurance.ca.gov.” (12) A statement of the compensation to the licensee, including the percentage and base to which the percentage applies. (13) A statement that the insured has the right to cancel the contract within three business days of signing it and being provided the signed contract. (c) A contract covered by this section shall not contain a contract term that does any of the following: (1) Allows the licensee’s fee to be collected when money is due from an insurer, but not paid, or allows a licensee to collect the entire fee from the first payment issued by an insurer, rather than as a percentage of each payment issued by an insurer. (2) Requires the insured to authorize an insurer to issue a payment only in the name of the licensee. (3) Imposes late fees or collection costs on the insured. (d) A licensee shall not solicit or attempt to solicit a client for employment during a loss-producing occurrence. A loss-producing occurrence continues to exist when any of the following conditions exist at the property that is subject to solicitation: (1) Any of the circumstances that caused the loss are present at the property where the solicitation would otherwise take place. (2) Emergency responders are present at the property where the solicitation would otherwise take place. (3) An evacuation order is still in effect at the property where the solicitation would otherwise take place. (e) A licensee or any other person or entity offering, for a fee, service regulated by this chapter shall not solicit a policyholder for employment or initiate any contact with a policyholder between the hours of 6 p.m. and 8 a.m., unless requested by the policyholder. (f) A licensee shall not use any form of contract other than that approved by the commissioner and that contains each of the following: (1) A provision allowing the client to cancel the contract by written notice sent or delivered by certified mail, return receipt requested, or other form of mailing that provides proof of mailing, to the licensee by midnight of the third business day after the day on which the client signs a contract that complies with this section and is provided a copy of that signed contract. Each copy of the contract shall contain a completed form, captioned “Notice of Cancellation,” that shall be placed at the end of the contract and be separated from the remainder of the contract by a printed line. Nothing shall be printed on the reverse side of the notice form. The notice form shall be completed by the licensee, and shall contain in type of at least 10-point the following statement written in the same language, e.g., Spanish, as used in the contract: ## Notice of Cancellation (Date of Contract)You may cancel this contract within three business days from the above date that you signed the contract and you were provided with a copy of that signed contract, except that, as it pertains to a disaster as defined in Section 15001, your right to cancel is five calendar days without any penalty or obligation to pay your public adjuster, other than for reimbursement of moneys paid by your public adjuster for out-of-pocket emergency expenses for you or on your behalf. If your public adjuster seeks reimbursement from you for out-of-pocket emergency expenses, your public adjuster shall provide you with an itemized statement of those emergency expenses advanced to you or on your behalf if the cancellation is made within the first three business days after the contract was signed by you and you were provided a copy of the signed contract. Nothing in this contract permits your public adjuster to recover any costs, except for out-of-pocket emergency expenses advanced to you. If you cancel, any money or other consideration paid by you will be returned within five business days following the receipt of your cancellation notice, and any security interest arising out of the transaction will be canceled. To cancel this contract, mail or deliver by certified mail, return receipt requested, or other form of mailing that provides proof of mailing, a signed and dated copy of this cancellation notice, or any other written notice, or send a telegram to: (name of public adjuster)at (address of public adjuster’s place of business) _____ not later than midnight of(Date)I hereby cancel this contract(Date)(Client’s signature)(2) The statement “WE REPRESENT THE INSURED ONLY” prominently displayed in at least 10-point type. (3) A provision disclosing the percentage of the insured’s claim, or other fee, that the licensee will charge for his or her services. The licensee shall obtain the initials of the insured next to this provision. (4) A conspicuous statement in at least 10-point type in immediate proximity to the space reserved for the client’s signature, as follows: “You may cancel this contract at any time before midnight of the third business day after the date of this contract. See the notice of cancellation form at the end of this contract for an explanation of this right.” (g) A licensee shall not knowingly make any false report to his or her employer or divulge to any other person, except as he or she may be required by law to do so, any information acquired by him or her except at the direction of the employer or a client for whom the information is obtained. (h) A licensee shall not use a badge in connection with the official activities of the licensee’s business. (i) A licensee shall not permit an employee or agent in his or her own name to advertise, engage clients, furnish reports, or present bills to clients, or in any manner whatever to conduct business for which a license is required under this chapter. (j) Pursuant to subdivisions (a) and (c) of Section 15006, the commissioner shall have the authority to enforce the provisions of this chapter and prosecute violations thereunder committed by unlicensed persons or entities that hold themselves out or act as public insurance adjusters. (k) For purposes of this section, “business day” shall have the same meaning given to that term in subdivision (e) of Section 1689.5 of the Civil Code, as in effect on the operative date of this statute. (l) The contract and the notice of cancellation set forth in paragraph (1) of subdivision (f) shall be written in the same language, e.g., Spanish, as principally used in the negotiation of the contract. (m) Within five business days after a contract has been canceled, the licensee shall tender to the client any payments made by the client and any note or other evidence of indebtedness, including an itemized statement of all amounts tendered to the client. (n) The licensee is not entitled to compensation for services performed prior to cancellation, other than for reimbursement of moneys paid by the licensee for out-of-pocket emergency expenses for the client or on behalf of the client. If the licensee seeks reimbursement from the client for out-of-pocket emergency expenses, and if the cancellation is made within the first three business days after the contract was initiated, the licensee shall provide the client with an itemized statement of those emergency expenses advanced to the client or on behalf of the client by the licensee. Nothing in this subdivision shall permit the licensee to recover any costs, except for out-of-pocket emergency expenses advanced to the client. Any security interest shall be canceled upon cancellation of the contract. (o) Notice of cancellation given by the client need not take the particular form specified in paragraph (1) of subdivision (f). Notice of cancellation, however expressed, is effective if it indicates the intention of the client not to be bound by the contract. (p) Cancellation occurs when the client gives written notice of cancellation by certified mail, return receipt requested, or other form of mailing that provides proof of mailing, to the licensee at the address specified in the contract. (q) Notice of cancellation, if given by mail, is effective when sent by certified mail, return receipt requested, or other form of mailing that provides proof of mailing, properly addressed with postage prepaid. (r) Until the licensee has complied with this section, the client may cancel the contract. (s) The contracts shall be executed in duplicate. The licensee shall retain one original contract, and shall provide the insured with an original contract. (t) The licensee shall provide the client with an original contract and notice of cancellation at the time the client signs the contract. (u) Any confession of judgment or waiver of the provisions of this chapter shall be deemed contrary to public policy and shall be void and unenforceable. (v) Prior to the signing of the contract, the licensee shall provide the insured with a separate printed disclosure document in the following form that bears the name and license number of the licensee: ## “DISCLOSURE There are three types of insurance adjusters that could be involved in the processing of your insurance claim. The definitions of the three types are as follows: (1) Public adjusters means the insurance adjusters who do not work for your insurance company. They work for you, the insured, to assist in the preparation, presentation, and settlement of your claim. You hire them by signing a contract and agreeing to pay them a fee or commission based on a percentage of the settlement, or other method of compensation. Public adjusters are required to be licensed, bonded, and tested by the State of California to represent your interest only. (2) Company adjusters means the insurance adjusters who are employees of your insurance company. They represent your insurance company and are paid by your insurance company. They will not charge you a fee and are not individually licensed or tested by the State of California. (3) Independent adjusters means the insurance adjusters who are hired on a contract basis by your insurance company to represent the company in the settlement of the claim. They are paid by your insurance company. They will not charge you a fee. You have the right, but are not required, to use the services of a public adjuster in the preparation and handling of your insurance claim. Public adjusters cannot solicit your business while the loss is underway, or between the hours of 6 p.m. and 8 a.m. Your “Public Adjuster Contract,” with a public adjuster representing you, should clearly indicate the amount of the fee you will be paying to your public adjuster. Your contract, with this fee percentage, should be acknowledged by your initials on the “Public Adjuster Contract.” The salary, fee, commission, or other consideration is to be paid by you (the insured), not the insurance company (insurer). You have the right to cancel the contract with your public adjuster, without any penalty or obligation, within three business days from the date the contract is signed. If the contract was established from a catastrophic disaster as defined in subdivision (c) of Section 15001, the insured has the right to cancel within five calendar days. If you cancel the contract with your public adjuster, any money or other consideration paid by you will be returned within five business days following the receipt of your cancellation notice, and any security interest arising out of the transaction will be canceled. To cancel the contract with your public adjuster, mail or deliver by certified mail, return receipt requested, or other form of mailing that provides proof of mailing, a signed and dated copy of the cancellation notice, or any other written notice, or send a telegram to the public adjuster at the address in the contract. You have the right to, and may, communicate with your insurance company at any time if you feel the need during the claims process. If you have any concerns or questions, the officers at the California Department of Insurance Consumer Hotline are there to help you. Please contact them at 1-800-927-HELP (4357) or www.insurance.ca.gov.” (w) No later than three business days after the cancellation has expired, the public adjuster shall notify the insurer, its adjuster, or its attorney, that he or she has entered into a written contract with the insured. (x) If the licensee misrepresents or conceals a material fact from the insured prior to execution of the contract, the insured is entitled to rescind the contract without time limit. (y) Notwithstanding any other provision of this section, if a property loss is included in an area that is subject to a catastrophic disaster, as defined in Section 15001, the insured shall have the right to cancel a contract with a public adjuster within five calendar days of signing it and being provided a copy of the signed contract. (Amended by Stats. 2016, Ch. 833, Sec. 15. (SB 488) Effective January 1, 2017.)
  147. 15027.1.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    A licensee may not solicit a residential contract of engagement in a catastrophic disaster area until 7 calendar days after the loss-producing occurrence ends, unless directly contacted by the insured or the insured’s representative.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15027.1. (a) In addition to the restrictions in subdivision (e) of Section 15027, a licensee shall not solicit a contract of engagement for residential properties under this chapter that are included in an area subject to a catastrophic disaster until seven calendar days have elapsed from the conclusion of a loss-producing occurrence as defined in subdivision (d) of Section 15027. (b) Subdivision (a) shall not apply if the licensee is contacted directly by the insured or the insured’s representative. (c) Nothing in subdivision (a) shall prohibit a licensee from providing a policyholder, without making personal contact with the policyholder, with accurate written materials explaining services provided by public insurance adjusters. (Amended by Stats. 2016, Ch. 833, Sec. 16. (SB 488) Effective January 1, 2017.)
  148. 15027.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    A public adjuster working under a qualifying contract may not take more than the contract amount, must disclose any claim-related compensation from other sources to the insured, and the insured may rescind if disclosure is not made or a third-party payment conflicts with the insured’s interests.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15027.5. Any person acting as a public adjuster who has executed a contract as described in Section 15027 is the agent of the insured. While acting under the authority of such a contract, a public adjuster may not receive any fees or other consideration, monetary or otherwise, from either the insured or any other source, in excess of the amount or percentage provided in the contract. Any compensation received by the public adjuster from any party or any other source connected to the claim adjustment, including any contractor, insurer, or vendor, shall be disclosed by the public adjuster to the insured. The insured may rescind the contract if the adjuster fails to make the required disclosure or if the public adjuster’s receipt of any compensation from a third party conflicts with the interests of the insured. (Added by Stats. 2005, Ch. 448, Sec. 16. Effective January 1, 2006.)
  149. 15028.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    A licensed public insurance adjuster must not misrepresent facts to get adjustment business and must not engage in certain referral, payment, interest, advance, or employee-conduct practices.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15028. No person licensed as a public insurance adjuster shall do any of the following: (a) Use any misrepresentation to solicit a contract or agreement to adjust a claim. (b) Solicit or accept remuneration from, or have a financial interest in, any salvage, repair or other firm which obtains business in connection with any claim he or she has a contract or agreement to adjust. (c) Advance moneys to any potential client or insured in order to obtain business. (d) Offer to pay a fee, commission, or other valuable consideration, exceeding one hundred dollars ($100), to a person for referring a loss unless he or she employs that person to so act for him or her and that person is licensed to act as an adjuster under the provisions of this chapter. (e) Permit an employee or agent, in his or her own name, to advertise, engage clients, furnish reports, present bills to clients, or in any manner conduct business for which a license is required pursuant to this chapter. (Amended by Stats. 2016, Ch. 833, Sec. 17. (SB 488) Effective January 1, 2017.)
  150. 15028.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    Public insurance adjusters must keep complete records of each transaction and retain them for at least five years after the transaction ends.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15028.5. (a) A public insurance adjuster shall maintain a complete record of each of his or her transactions as a public insurance adjuster. The records shall include all of the following: (1) The name of the insured. (2) The date, location, and amount of the loss. (3) A copy of the contract between the public insurance adjuster and the insured. (4) The name of the insurer and the amount, expiration date, and number of each policy carried with respect to the loss. (5) An itemized statement of the recoveries by the insured from the sources known to the public insurance adjuster. (6) The total compensation received for the adjustment. (7) An itemized statement of disbursements made by the public insurance adjuster from recoveries received on behalf of the insured. (b) Records shall be maintained for at least five years after the termination of the transaction with the insured, and shall be open to examination by the commissioner. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  151. 15028.6.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    Public insurance adjusters must hold claim proceeds in a fiduciary capacity, and applicants must sign a disclosure authorization for the commissioner. Misusing fiduciary funds for personal use is theft and punishable by law.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15028.6. All funds received as claim proceeds by any person acting as a public insurance adjuster are received and held by that person in his or her fiduciary capacity. Any person who diverts or appropriates any fiduciary funds for his or her own use is guilty of theft and punishable for theft as provided by law. Every applicant for a license to act as a public insurance adjuster shall, as part of the application, endorse an authorization for disclosure to the commissioner of all financial records of any fiduciary funds as defined in this section, pursuant to Section 7473 of the Government Code. The authorization shall continue in force and effect for so long as the licensee continues to be licensed by the department. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  152. 15028.7.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    Public adjusters who handle funds for an insured must place them in a non-interest-bearing escrow or trust account and, for fiduciary funds, provide a written statement to the insured within 15 business days.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15028.7. (a) A public adjuster who receives, accepts, or holds any funds on behalf of an insured towards the settlement of a claim for loss or damage shall deposit the funds in a non-interest-bearing escrow or trust account in a financial institution that is insured by an agency of the federal government in the adjuster’s home state or the state where the loss occurred. (b) All funds held in an escrow or trust account shall be the property of the insured and shall be held pursuant to a written contract signed by the insured and the public adjuster. (c) A public adjuster who receives any fiduciary funds shall, within 15 business days of receipt, deposit the funds in the escrow account and provide a written statement to the insured showing the amount of funds received and deposited in escrow. (d) A public adjuster who, after reasonable diligence, is unable to obtain the endorsements of all payees designated on any bank draft representing fiduciary funds, or who receives a written statement from the insured indicating that he or she does not wish to establish an escrow or trust account, shall be exempt from the requirements of subdivisions (a) to (c), inclusive. (e) The endorsement by a payee designated on any bank draft representing fiduciary funds shall not be construed as a waiver of any potential right of the payee to dispute the public adjuster’s entitlement to those funds or any portion thereof. (Added by Stats. 2005, Ch. 448, Sec. 17. Effective January 1, 2006.)
  153. 15029.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    A person may not hold a license under this chapter at the same time as a license under Chapter 1 starting at Section 14000.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15029. No person shall concurrently hold a license under the provisions of this chapter and the provisions of Chapter 1 (commencing with Section 14000). (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  154. 15030.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    Each licensee must keep a record of employee information that the commissioner prescribes.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15030. Each licensee shall maintain a record containing that information relative to his or her employees as may be prescribed by the commissioner. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  155. 15031.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    A licensee may not use a fictitious business name without the commissioner’s written authorization, and the commissioner may refuse confusing or misleading names.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15031. (a) A licensee shall not conduct a business under a fictitious or other business name unless and until he or she has obtained the written authorization of the commissioner to do so. (b) The commissioner shall not authorize the use of a fictitious or other business name that is so similar to that of a public officer or agency or that is used by another licensee that the public may be confused or misled thereby. (c) The authorization shall require, as a condition precedent to the use of a fictitious name, that the licensee comply with Section 1724.5. (d) A licensee desiring to conduct his or her business under more than one fictitious name shall obtain the authorization of the commissioner in a manner prescribed in this section for the use of additional fictitious names. (e) The licensee shall pay a fee of twenty-five dollars ($25) for each authorization to use an additional fictitious name and for each change in the use of a fictitious business name. If the original license is issued in a nonfictitious name and authorization is requested to have the license reissued in a fictitious business name, the licensee shall pay a fee of twenty-five dollars ($25) for that authorization. (Amended by Stats. 2016, Ch. 833, Sec. 18. (SB 488) Effective January 1, 2017.)
  156. 15032.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    A licensee’s advertisement soliciting business must include the person’s name, address, or license number as shown in the commissioner’s records.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 3. Regulation, Licensing, and Registration [15006 - 15032] ( Article 3 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15032. Every advertisement by a licensee soliciting or advertising business shall contain his or her name, address, or license number as they appear in the records of the commissioner. The commissioner may adopt regulations defining the term “advertisement” as used in this section. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  157. 15033.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 4. Bonds [15033 - 15037] ( Article 4 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    A license cannot be issued unless the applicant files a $20,000 surety bond with the commissioner, and the commissioner approves the bond.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 4. Bonds [15033 - 15037] ( Article 4 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15033. No license shall be issued under this chapter unless the applicant files with the commissioner a surety bond executed by a surety company authorized to do business in the state in the sum of twenty thousand dollars ($20,000) conditioned for the faithful and honest conduct of business by the applicant. The bond, as to its form, execution, and sufficiency of the surety shall be approved by the commissioner. (Amended by Stats. 2005, Ch. 448, Sec. 18. Effective January 1, 2006.)
  158. 15034.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 4. Bonds [15033 - 15037] ( Article 4 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    People injured by the principal’s willful, malicious, or wrongful act may sue on the bond to recover damages.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 4. Bonds [15033 - 15037] ( Article 4 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15034. The bond required by this chapter shall be taken in the name of the people in the state and every person injured by the willful, malicious, or wrongful act of the principal may bring an action on the bond in his or her name to recover damages suffered by reason of that willful, malicious, or wrongful act. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  159. 15035.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 4. Bonds [15033 - 15037] ( Article 4 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Licensees must keep the required surety bond on file and in force; if they fail, their license is suspended until they file the prescribed application and a proper bond.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 4. Bonds [15033 - 15037] ( Article 4 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15035. Every licensee shall at all times maintain on file the surety bond required by this chapter in full force and effect and upon failure to do so the license of the licensee shall be forthwith suspended and shall not be reinstated until an application therefore, in the form prescribed by the commissioner, is filed together with a proper bond. The commissioner may deny the application notwithstanding the applicant’s compliance with this section: (a) For any reason which would justify a refusal to issue, or a suspension or revocation of, a license. (b) For the performance of applicant of any practice while under suspension for failure to keep his or her bond in force, for which a license under this chapter is required. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  160. 15036.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 4. Bonds [15033 - 15037] ( Article 4 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Instead of the surety bond required by this chapter, a $20,000 cash deposit or certain approved deposit evidence may be placed with the State of California.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 4. Bonds [15033 - 15037] ( Article 4 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15036. In lieu of the surety bond required by this chapter there may be deposited with the State of California the sum of twenty thousand dollars ($20,000) in cash, or evidence of deposit of the sum of twenty thousand dollars ($20,000) in banks authorized to do business in this state and insured by the Federal Deposit Insurance Corporation, or investment certificates or share accounts in the amount of twenty thousand dollars ($20,000) issued by a savings association doing business in this state and insured by the Federal Deposit Insurance Corporation, or evidence of a certificate of funds or share account of the sum of twenty thousand dollars ($20,000) in a credit union as defined in Section 14002 of the Financial Code whose share deposits are guaranteed by the National Credit Union Administration or guaranteed by any other agency approved by the Department of Financial Protection and Innovation. (Amended by Stats. 2022, Ch. 452, Sec. 200. (SB 1498) Effective January 1, 2023.)
  161. 15037.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 4. Bonds [15033 - 15037] ( Article 4 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Bonds filed with the commissioner stay in effect until the surety ends future liability by giving 30-day notice to the commissioner.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 4. Bonds [15033 - 15037] ( Article 4 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15037. Bonds executed and filed with the commissioner pursuant to this chapter shall remain in force and effect until the surety has terminated future liability by 30-day notice to the commissioner. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  162. 15038.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Disciplinary proceedings under this article follow Government Code Chapter 5, unless Article 6 requires otherwise, and the commissioner has the powers granted there.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15038. Except as otherwise required to comply with the provisions of Article 6 (commencing with Section 15044), the proceedings under this article shall be conducted in accordance with Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code, and the commissioner shall have all the powers granted therein. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  163. 15039.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner may suspend or revoke a license under this chapter if the licensee commits certain misconduct listed in this section.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15039. The commissioner may suspend or revoke a license issued under this chapter if he or she determines that the licensee has done any of the following: (a) Made any false statement or given any false information in connection with an application for a license or a renewal or reinstatement of the license. (b) Violated this chapter. (c) Violated any rule of the commissioner adopted pursuant to the authority contained in this chapter. (d) Been convicted of any crime substantially related to the qualifications, functions, and duties of the holder of the registration or license in question. (e) Impersonated, or permitted, or aided and abetted an employee to impersonate a law enforcement officer or employee of the United States of America, or of any state or subdivision thereof. (f) Committed or permitted any employee to commit any act, while the license was expired which would be cause for the suspension or revocation of a license, or grounds for the denial of an application for a license. (g) Willfully failed or refused to render to a client services or a report as agreed between the parties and for which compensation has been paid or tendered in accordance with the agreement of the parties. (h) Committed assault, battery, or kidnapping, or used force or violence on any person. (i) Knowingly violated, or advised, encouraged, or assisted the violation of any court order or injunction in the course of business as a licensee. (j) Acted as a runner or capper for any attorney. (k) Committed any act which is a ground for denial of an application for license under this chapter. (l) Manufactured evidence. (m) Acceptance of employment adverse to a client or former client relating to a matter with respect to which the licensee has obtained confidential information by reason of or in the course of his or her employment by that client or former client. (Amended by Stats. 2006, Ch. 538, Sec. 476. Effective January 1, 2007.)
  164. 15039.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner may suspend or revoke a license without a hearing if the commissioner determines the licensee committed an act or crime that would justify denial under Section 15018.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15039.5. The commissioner may, without hearing, suspend or revoke a license issued under this chapter if he or she determines that the licensee has committed any act or crime constituting grounds for denial of license under Section 15018.5. (Added by Stats. 2005, Ch. 448, Sec. 20. Effective January 1, 2006.)
  165. 15040.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Certain convictions and guilty or nolo contendere pleas count as convictions here, and the commissioner may suspend or revoke a license, or refuse to issue one, after specified appeal or probation events.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15040. The record or conviction, or a certified copy thereof, shall be conclusive evidence of the conviction as that term is used in this article or in Section 15018 or 15018.5. A plea or verdict of guilty or a plea of nolo contendere is deemed to be a conviction within the meaning of this article or of Section 15018 or 15018.5. The commissioner may order the license suspended or revoked, or may decline to issue a license, when the time for appeal has elapsed, or the judgment of conviction has been affirmed on appeal or when an order granting probation is made suspending the imposition of sentence, irrespective of a subsequent order under Section 1203.4 of the Penal Code allowing that person to withdraw their plea of guilty and enter a plea of not guilty, or setting aside the verdict of guilty, or dismissing the accusation, information, or indictment. (Amended by Stats. 2021, Ch. 627, Sec. 24. (AB 1511) Effective January 1, 2022.)
  166. 15041.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner must suspend or revoke a license under this chapter if the licensee uses misleading government-style representations or uses a different name in business-related advertising, solicitation, or contracts.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15041. The commissioner shall suspend or revoke a license issued under this chapter if the commissioner determines that the licensee has: (a) Used any letterhead, advertisement, or other printed matter, or in any matter whatever represented that he or she is an instrumentality of the federal government, a state, or any political subdivision thereof. (b) Used a name different than that under which he or she is currently licensed in an advertisement, solicitation, or contract for business. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  167. 15042.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner may suspend or revoke a license under this chapter if the licensee committed dishonesty or fraud in the course of business.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15042. The commissioner may suspend or revoke a license issued under this chapter if the commissioner determines that the licensee has committed any act in the course of the licensee’s business constituting dishonesty or fraud. “Dishonesty or fraud” as used in this section includes, in addition to other acts not specifically enumerated herein, any of the following: (a) Knowingly making a false statement relating to evidence or information obtained in the course of employment, or knowingly publishing a slander or libel in the course of business. (b) Using illegal means in the collection or attempted collection of a debt or obligation. (c) Manufacture of evidence. (d) Acceptance of employment adverse to a client or former client relating to a matter with respect to which the licensee has obtained confidential information by reason of or in the course of his or her employment by that client or former client. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  168. 15043.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner may impose a civil penalty of up to $500 on a licensee instead of suspending or revoking the license, if that better serves the chapter’s purposes.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 5. Disciplinary Proceedings [15038 - 15043] ( Article 5 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15043. The commissioner, in lieu of suspending or revoking a license issued under this chapter for violations of Sections 15039, 15041, and 15042, may impose a civil penalty not to exceed five hundred dollars ($500) upon a licensee, if the commissioner determines that such action better serves the purposes of this chapter. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  169. 15044.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    This provision defines “presiding officer” for this article as the Executive Officer of the Office of Administrative Hearings.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15044. As used in this article, “presiding officer” means the Executive Officer of the Office of Administrative Hearings. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  170. 15045.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    A nonresident licensee who performs a license-required act in the state is treated as appointing the presiding officer to receive lawful process and disciplinary proceedings.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15045. The acceptance of a nonresident licensee of any of the rights and privileges conferred upon him or her by this chapter, as evidenced by his or her performance in this state, either personally or through an employee, of any act for which a licensee is required by this chapter, is equivalent to the appointment by that licensee of the presiding officer as his or her true and lawful attorney upon who may be served all lawful process and any disciplinary proceedings conducted upon him or her under this chapter. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  171. 15046.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    A licensee’s acceptance of the act means service of process under this article counts the same as personal service in California.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15046. The acceptance of such rights and privileges as evidenced by such act shall signify the agreement of the licensee that any such process which is served against him or her in the manner provided in this article shall be of the same legal force and validity as if serviced upon him or her personally in this state. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  172. 15047.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Service is made by delivering the accusation, notice of defense, and statement to the presiding officer or the officer’s Sacramento office, with a $5 fee for each licensee served.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15047. Service shall be made by leaving a copy of the accusation, together with notice of defense and statement to respondent as described in Section 11505 of the Government Code, with a fee of five dollars ($5) for each licensee to be served, in the hands of the presiding officer or in his or her office in Sacramento. That service shall be sufficient service on the licensees subject to compliance with Section 15048. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  173. 15048.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The presiding officer must promptly send the notice, accusation, notice of defense, and statement to the licensee by registered mail to the licensee’s last known address. If the licensee is found outside the state, personal service of those documents counts the same as mailing.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15048. A notice of that service and a copy of the accusation, together with the notice of defense and statement to respondent shall forthwith be sent by registered mail by the presiding officer to the licensee at his or her last known address as furnished by the commissioner. Personal service of the notice, copy of the accusation, notice of defense, and statement to respondent upon the licensee whenever found outside this state shall be the equivalent to those mailings. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  174. 15049.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    This section says proof of compliance with Section 15048 must be shown by affidavit and return receipt when service is made by mail, and the affidavit or receipt must be attached to the original accusation on file with the commissioner.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15049. Proof of compliance with Section 15048 shall be made in the event of service by mail by affidavit of the presiding officer or his or her authorized employee showing such service by mailing, together with the return receipt of the United States Post Office bearing the signature of the licensee or his or her agent. That affidavit or receipt shall be appended to the original accusation on file with the commissioner. In the event of personal service outside this state, such compliance may be proven by the return of any duly constituted public officer qualified to serve process in civil actions in the state or jurisdiction where the licensee is found, showing such service to have been made. Such return shall be appended to the original accusation on file with the commissioner. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  175. 15050.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner or hearing officer may grant postponements, continuances, and time extensions so the licensee can defend the proceeding, and the provision sets minimum notice and filing periods.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15050. The commissioner, or if the proceeding is heard before a hearing officer of the Office of Administrative Hearings, the hearing officer, may order those postponements or continuances and grant those extensions of time as may be necessary to afford the licensee reasonable opportunity to defend the proceedings. In no event shall the licensee have less than 30 days after the date of service of accusation in which to file a notice of defense, nor shall the notice of hearings provided for in Section 11509 of the Government Code or the notice and copy of affidavit referred to in Section 11514 of the Government Code be mailed or delivered less than 20 days prior to the date of hearing, and the time for making a request to cross-examine under Section 11514 of the Government Code shall be not less than 15 days. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  176. 15051.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The presiding officer must keep a record of all process served under this article, and the record must show the day and hour of service.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15051. The presiding officer shall keep a record of all process served upon him or her pursuant to this article, which records shall show the day and hour of service. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  177. 15052.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    In this article, “nonresident” means a person who is not a resident of this state when the act in Section 15045 is performed.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 6. Nonresidents [15044 - 15052] ( Article 6 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15052. As used in this article, “nonresident” means a person who is not a resident of this state at the time of the performance of the act referred to in Section 15045. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  178. 15054.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Most licenses, branch office certificates, and pocket cards expire two years after the end of the month when the initial license was issued. A licensee must apply for renewal and pay the renewal fee before expiration, using a form prescribed by the commissioner.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15054. Every license, branch office certificate, and pocket card issued pursuant to this chapter shall expire on the day two years after the last calendar day of the month in which the initial license was issued. Licenses issued prior to January 1, 2011, shall expire on May 31 of each even-numbered year. To renew an unexpired license or certificate, the licensee shall, on or before the date on which it would otherwise expire, apply for renewal on a form prescribed by the commissioner, and pay the renewal fee prescribed by this chapter. On renewal, the evidence of renewal of the license or certificate as the commissioner may prescribe, and renewal pocket cards for the persons mentioned in Section 15022 shall be issued to the licensee. (Amended by Stats. 2010, Ch. 400, Sec. 31. (AB 2782) Effective January 1, 2011.)
  179. 15055.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    The commissioner may set license periods and renewal dates for licenses under this chapter, and should make fee adjustments where practical.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15055. Notwithstanding Section 15054, the commissioner may establish license periods and renewal dates for all licenses issued pursuant to this chapter so as to distribute the renewal work to permit the most efficient and economic use of personnel and equipment. In such cases, to the extent practical, provisions shall be made for the proration or other adjustment of fees so that no person shall be required to pay more than that which he or she would have been required to pay and no change in license period or renewal date shall be made. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  180. 15056.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    An expired license or branch office certificate may be renewed within one year after expiration if the renewal application is filed on the commissioner’s form and the renewal fee is paid; if renewal is after expiration, the delinquency fee must also be paid.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15056. (a) Except as otherwise provided in this article, an expired license or branch office certificate may be renewed at any time within one year after its expiration on the filing of an application for renewal on a form prescribed by the commissioner, and the payment of a renewal fee in effect on the actual renewal date. If the license or certificate is renewed after its expiration, the licensee, as a condition precedent to renewal, shall also pay the delinquency fee prescribed by this chapter. Renewal under this section shall be effective on the date on which the application is filed, on the date on which the renewal fee is paid, or on the date on which the delinquency fee, if any, is paid, whichever occurs last. If so renewed, the license or certificate shall continue in effect through the date provided in Section 15054 that next occurs after the effective date of the renewal, when it shall expire if it is not again renewed. (b) Renewal of a license or certificate does not prohibit the bringing of disciplinary proceedings for an act committed before the effective date of the renewal. (Amended by Stats. 2016, Ch. 833, Sec. 21. (SB 488) Effective January 1, 2017.)
  181. 15057.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    A suspended license or branch office certificate must be renewed under this article, but renewal does not let the licensee use the licensed activity while the suspension remains in effect.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15057. A suspended license or branch office certificate is subject to expiration and shall be renewed as provided in this article, but renewal of the license does not entitle the licensee, while the license remains suspended and until it is reinstated, to engage in the licensed activity, or any other activity or conduct in violation of the order or judgment by which the license was suspended, and renewal of the branch office certificate does not entitle the licensee, while the certificate remains suspended, and until it is reinstated, to engage in the license activity at the location for which the certificate was issued, or to engage in any other activity or conduct in violation with an order or judgment by which certificate was suspended. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  182. 15058.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    A revoked license or branch officer certificate cannot be renewed, and if it is reinstated after expiration, the licensee must pay a reinstatement fee.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15058. A revoked license or branch officer certificate is subject to expiration as provided in this article, but it may not be renewed. If it is reinstated after its expiration, the licensee, as a condition precedent to its reinstatement, shall pay a reinstatement fee in the amount equal to the renewal fee in effect on the last regular renewal date before the date on which it is reinstated, plus the delinquency fee, if any accrued at the time of its revocation. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  183. 15059.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    If a license or branch office certificate is not renewed within one year after expiration, it cannot later be renewed, restored, reinstated, or reissued. The holder can get a new one only by meeting the original issuance requirements in this chapter.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15059. A license or branch office certificate which is not renewed within one year after its expiration may not be renewed, restored, reinstated, or reissued thereafter. The holder of the license or certificate may obtain a new license or certificate only on compliance with all of the provisions of this chapter relating to the issuance of an original license or certificate. (Amended by Stats. 2005, Ch. 448, Sec. 23. Effective January 1, 2006.)
  184. 15059.1.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    Public insurance adjusters who are not exempt must complete 24 hours of continuing education, including 3 hours in ethics, and report it to the insurance commissioner with license renewal.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15059.1. (a) An individual who holds a public insurance adjuster license and who is not exempt under subdivision (b) shall satisfactorily complete a minimum of 24 hours, of which three hours are to be in ethics, of continuing education courses pertinent to the duties and responsibilities of a public insurance adjuster license, to be reported to the insurance commissioner on a biennial basis in conjunction with his or her license renewal cycle. (b) This section shall not apply to: (1) A licensee not licensed for one full year prior to the end of the applicable continuing education biennium. (2) A licensee holding a nonresident public insurance adjuster license who has met the continuing education requirements of his or her designated state or residence. (Amended by Stats. 2010, Ch. 400, Sec. 32. (AB 2782) Effective January 1, 2011.)
  185. 15059.2.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    A person who misses the Section 15059.1 requirements without an extension has the license put on inactive status, and an inactive licensee may not do the Section 1631 activities.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15059.2. A person who fails to meet the requirements imposed by Section 15059.1, and who has not been granted an extension of time by the commissioner within which to comply, shall have his or her license placed on inactive status until he or she demonstrates to the satisfaction of the commissioner that he or she has complied with all of the requirements of this article and all other applicable law. A licensee placed on inactive status may not perform the activities described in Section 1631. If a person cannot perform the requirements of this article due to a disability or inactivity due to special circumstances, the commissioner shall provide a procedure for the person to place his or her license on inactive status until the person demonstrates to the satisfaction of the commissioner that he or she has complied with all of the requirements of this article for the period of disability or inactivity. (Added by Stats. 2016, Ch. 833, Sec. 22. (SB 488) Effective January 1, 2017.)
  186. 15060.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    This section sets the fees for examinations, applications, renewals, replacement cards, delinquency, and reexamination.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15060. The amount of fees prescribed by this chapter is that in the following schedule: (a) The fee for the qualifying examination for an original license is sixty-two dollars ($62). (b) The application fee for an original branch office certificate is thirty-five dollars ($35). (c) The fee for an original license application is two hundred forty dollars ($240). If the license will expire less than one year after its issuance, then the fee is an amount equal to 50 percent of the renewal fee in effect on the last regular renewal date before the date on which the license is issued. (d) The renewal fees are as follows: (1) For a license as a public insurance adjuster, two hundred forty dollars ($240). (2) For a branch office certificate, fifty dollars ($50). (e) The fee for replacing an identification card is twenty-five dollars ($25). (f) The delinquency fee shall be 50 percent of the renewal fee in effect on the date of expiration. (g) The fee for reexamination of an applicant is twenty-five dollars ($25). (Amended by Stats. 2016, Ch. 833, Sec. 23. (SB 488) Effective January 1, 2017.)
  187. 15061.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

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    The department must receive and account for money from this chapter, report it monthly to the Controller, and pay it to the Treasurer for the Insurance Fund.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15061. The department shall receive and account for all moneys derived from the operation of this chapter and, at the end of each month, shall report such money to the Controller and shall pay it to the Treasurer, to the credit of the Insurance Fund. (Added by Stats. 1985, Ch. 1202, Sec. 1.)
  188. 15062.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. )

    Verify source ↗

    Application or license fees must not be refunded under Section 1751.5.

    ## Insurance Code - INS ## DIVISION 5. INSURANCE ADJUSTERS [14000 - 16032] ( Division 5 added by Stats. 1980, Ch. 1190, Sec. 11. ) ## CHAPTER 2. Public Insurance Adjusters Act [15000 - 15062] ( Chapter 2 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## ARTICLE 8. Expiration and Renewal of Licenses and Cards [15054 - 15062] ( Article 8 added by Stats. 1985, Ch. 1202, Sec. 1. ) ## 15062. Application or license fees shall not be refunded pursuant to Section 1751.5. (Amended by Stats. 2016, Ch. 833, Sec. 24. (SB 488) Effective January 1, 2017.)
  189. 151.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 1. THE CONTRACT [100 - 679.75] ( Part 1 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 2. Parties, Events, and Interests [150 - 305] ( Chapter 2 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 1. Parties to the Contract: Generally [150 - 151] ( Article 1 enacted by Stats. 1935, Ch. 145. )

    Verify source ↗

    Any person may be insured, except a public enemy.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 1. THE CONTRACT [100 - 679.75] ( Part 1 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 2. Parties, Events, and Interests [150 - 305] ( Chapter 2 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 1. Parties to the Contract: Generally [150 - 151] ( Article 1 enacted by Stats. 1935, Ch. 145. ) ## 151. Any person except a public enemy may be insured. (Enacted by Stats. 1935, Ch. 145.)
  190. 1510.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 13. Penalties [1510 - 1512] ( Article 13 enacted by Stats. 1935, Ch. 145. )

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    An attorney-in-fact or the attorney’s representative must not exchange, solicit, or negotiate specified insurance contracts unless section 1511 applies and the attorney has complied with this chapter; a violation is a misdemeanor.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 13. Penalties [1510 - 1512] ( Article 13 enacted by Stats. 1935, Ch. 145. ) ## 1510. Any attorney-in-fact or representative of such an attorney who exchanges, or solicits or negotiates the exchange of, any contracts of insurance of the kind and character specified in this chapter, except as provided in section 1511, without compliance by the attorney with the provisions of this chapter, is guilty of a misdemeanor. (Enacted by Stats. 1935, Ch. 145.)
  191. 1511.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 13. Penalties [1510 - 1512] ( Article 13 enacted by Stats. 1935, Ch. 145. )

    Verify source ↗

    Before all chapter requirements are complied with, attorneys, agents, or other persons must not execute the policies mentioned here.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 13. Penalties [1510 - 1512] ( Article 13 enacted by Stats. 1935, Ch. 145. ) ## 1511. For the purpose of organization, and upon issuance of permit by the commissioner, powers of attorney and applications for such policies may be solicited without compliance with the provisions of this chapter, but no attorney, agent or other person shall execute any such policies until all of the provisions of this chapter are complied with. (Enacted by Stats. 1935, Ch. 145.)
  192. 1512.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 13. Penalties [1510 - 1512] ( Article 13 enacted by Stats. 1935, Ch. 145. )

    Verify source ↗

    If the attorney fails or refuses to comply with this chapter, the penalty is refusal, suspension, or revocation of the certificate of authority.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 13. Penalties [1510 - 1512] ( Article 13 enacted by Stats. 1935, Ch. 145. ) ## 1512. In addition to the foregoing penalties and where not otherwise provided, the penalty for failure or refusal to comply with any or all of the provisions of this chapter upon the part of the attorney, shall be the refusal, suspension or revocation of certificate of authority. Before such refusal, suspension or revocation, notice and hearing shall be given such attorney in accordance with the procedure provided in Section 704. (Amended by Stats. 1945, Ch. 901.)
  193. 1530.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 14. Tax Provisions [1530 - 1531] ( Article 14 enacted by Stats. 1935, Ch. 145. )

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    Reciprocal insurers and their corporate attorneys in fact must pay specified annual taxes and fees, file an annual return, and compute a tax amount used to reduce management fees.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 14. Tax Provisions [1530 - 1531] ( Article 14 enacted by Stats. 1935, Ch. 145. ) ## 1530. In lieu of all other taxes, licenses or fees whatever, state or local, each exchange and its corporate attorney in fact considered as a single unit shall together pay annually on account of the transaction of such business in this state, the same fees as are paid by mutual insurers transacting the same kind of business, and the annual tax imposed by Section 28 of Article XIII of the Constitution of the State of California and by the applicable provisions of the Revenue and Taxation Code, except that each corporate attorney in fact of a reciprocal or interinsurance exchange shall be subject to all taxes imposed upon other corporations doing business in the state, other than taxes directly attributable to property used exclusively in or on income derived from its principal business as corporate attorney in fact. In any event, such corporate attorney in fact shall file an annual return and pay the minimum tax provided for by Section 23151 of the Bank and Corporation Tax Law. For the purposes of Section 12221 of the Revenue and Taxation Code, the term gross premiums, as applied to reciprocal or interinsurance exchanges, includes all sums paid by subscribers in this state by reason of the insurance exchange, whether termed premium deposit, membership fee, or otherwise, after deducting therefrom premium deposit returns or cancellations, and all amounts returned to subscribers or credited to their accounts as savings, but does not include such sums received for reinsurance and for ocean marine insurance. A corporate attorney in fact of each exchange shall annually compute the amount of tax that would be payable by it under the provisions of the Bank and Corporation Tax Law (Part 11 (commencing with Section 23001) of Division 2 of the Revenue and Taxation Code) except for the provisions of this section, and any management fee due from each exchange to its corporate attorney in fact shall be reduced pro tanto by a sum equivalent to the amount so computed. (Amended by Stats. 1980, Ch. 676, Sec. 186.)
  194. 1531.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 14. Tax Provisions [1530 - 1531] ( Article 14 enacted by Stats. 1935, Ch. 145. )

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    Certain exchanges must pay annual taxes by electronic funds transfer when their taxes exceed the stated thresholds, and a 10% penalty applies if they pay another way.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 14. Tax Provisions [1530 - 1531] ( Article 14 enacted by Stats. 1935, Ch. 145. ) ## 1531. (a) On and after January 1, 1994, and before January 1, 1995, every exchange and its corporate attorney in fact that is considered a single unit whose annual taxes exceed fifty thousand dollars ($50,000) shall make payment by electronic funds transfer. On and after January 1, 1995, every exchange and its corporate attorney in fact that is considered a single unit whose annual taxes exceed twenty thousand dollars ($20,000) shall make payment by electronic funds transfer. The exchange and its corporate attorney in fact considered as a single unit shall choose one of the acceptable methods described in Section 45 for completing the electronic funds transfer. (b) Payment is deemed complete on the date the electronic funds transfer is initiated, if settlement to the state’s demand account occurs on or before the banking day following the date the transfer is initiated. If settlement to the state’s demand account does not occur on or before the banking day following the date the transfer is initiated, payment is deemed to occur on the date settlement occurs. (c) (1) Any exchange and its corporate attorney in fact considered as a single unit required to remit taxes by electronic funds transfer pursuant to this section who remits those taxes by means other than an appropriate electronic funds transfer, shall be assessed a penalty in an amount equal to 10 percent of the taxes due at the time of the payment. (2) If the department finds that the failure of an exchange and its corporate attorney in fact, considered as a single unit, to make payment by an appropriate electronic funds transfer in accordance with subdivision (a) is due to reasonable cause or circumstances beyond the exchange’s and its corporate attorney in fact’s control, and occurred notwithstanding the exercise of ordinary care and in the absence of willful neglect, that exchange and its corporate attorney in fact shall be relieved of the penalty provided in paragraph (1). (3) Any exchange and its corporate attorney in fact seeking to be relieved of the penalty provided in paragraph (1) shall file with the department a statement under penalty of perjury setting forth the facts upon which the claim for relief is based. (Amended by Stats. 1995, Ch. 721, Sec. 2. Effective January 1, 1996.)
  195. 1540.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 15. Merger [1540- 1540.] ( Article 15 added by Stats. 1955, Ch. 1627. )

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    Domestic reciprocal insurers may merge only with the required subscriber vote and the commissioner’s prior approval.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 15. Merger [1540- 1540.] ( Article 15 added by Stats. 1955, Ch. 1627. ) ## 1540. Any two or more domestic reciprocal insurers, upon affirmative vote of not less than two-thirds of the subscribers of each such insurer who vote on such merger pursuant to due notice and the prior approval of the commissioner of the terms of such notice, of the manner and form of such voting and of such proposed merger, may merge. The commissioner shall not approve any plan for such merger which is inequitable to subscribers, or in any case where the bylaws or other rules, regulations, power of attorney or other instrument affecting the rights of subscribers of either such reciprocal, has been amended within one year prior to the date of filing with the commissioner of the application for such approval. (Amended by Stats. 1965, Ch. 164.)
  196. 1550.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 16. Merger of Certain Reciprocal Insurers [1550 - 1559] ( Article 16 added by Stats. 1995, Ch. 728, Sec. 3. )

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    This article applies only to domestic reciprocal insurers organized after 1974 that provide medical malpractice insurance.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 16. Merger of Certain Reciprocal Insurers [1550 - 1559] ( Article 16 added by Stats. 1995, Ch. 728, Sec. 3. ) ## 1550. This article shall apply only to domestic reciprocal insurers organized after 1974 to provide medical malpractice insurance. (Added by Stats. 1995, Ch. 728, Sec. 3. Effective January 1, 1996.)
  197. 1551.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 16. Merger of Certain Reciprocal Insurers [1550 - 1559] ( Article 16 added by Stats. 1995, Ch. 728, Sec. 3. )

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    A domestic reciprocal insurer may merge, consolidate, reinsure its policies, or transfer its assets under this article’s procedure.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 16. Merger of Certain Reciprocal Insurers [1550 - 1559] ( Article 16 added by Stats. 1995, Ch. 728, Sec. 3. ) ## 1551. By following the procedure specified in this article, any domestic reciprocal insurer described in this article may merge, consolidate, or otherwise unite with or become a part of, or may reinsure all of its policies with, and, upon assumption of all of its liabilities, may transfer all of its assets to, any other domestic reciprocal insurer or an incorporated insurer, domestic or foreign. If an insurer not admitted in California is the surviving entity in the transaction, the plan and agreement shall provide either for that insurer to be admitted to transact insurance in California or for any nonsurviving insurer admitted in California to withdraw from the state. The plan and agreement by which the transaction is to be effected shall be approved by a resolution of a majority of the body exercising the subscribers’ rights selected pursuant to Section 1308 for each domestic reciprocal insurer that is a party to the transaction or by such higher number as may be required by the documents governing the reciprocal, before it is submitted to the subscribers for their consideration. The resolution shall specify the reasons for and the purposes of the proposed transaction and the manner in which the transaction is expected to benefit and serve the best interests of the domestic reciprocal insurer and its subscribers. The plan and agreement shall be approved on behalf of each constituent other party by those persons required to approve those transactions by the laws under which that other party is organized or is otherwise governed. (Added by Stats. 1995, Ch. 728, Sec. 3. Effective January 1, 1996.)
  198. 1552.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 16. Merger of Certain Reciprocal Insurers [1550 - 1559] ( Article 16 added by Stats. 1995, Ch. 728, Sec. 3. )

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    The plan and agreement must be submitted to the commissioner, who may require changes and must not approve a transaction if specified subscriber rights were changed within the prior year.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 16. Merger of Certain Reciprocal Insurers [1550 - 1559] ( Article 16 added by Stats. 1995, Ch. 728, Sec. 3. ) ## 1552. The plan and agreement by which the transaction is to be effected shall be submitted to the commissioner, who shall examine it and require those provisions to be inserted in the agreement and any actions to be taken in connection with the transaction, including, but not limited to, (a) the terms and conditions of the transaction, (b) any fee, commission, right, option, benefit, or other valuable consideration paid or offered to or for the benefit of any director, officer, employee, subscriber, agent, or broker of each domestic reciprocal insurer or the insurer’s attorney-in-fact in connection with the transaction, (c) the contents of the notice of the vote on the transaction by the subscribers of each domestic reciprocal insurer that is a party thereto, (d) the manner and form of voting thereon by the subscribers of each domestic reciprocal insurer, and (e) any other change, that he or she may deem necessary in order that the transaction may be fair, just, and equitable to the subscribers of each domestic reciprocal insurer that is a party to the transaction, and the transaction is otherwise fair, just, and equitable to the parties to the transaction and their respective policyholders, owners, creditors, and the public. The commissioner shall not approve any transaction if the bylaws, rules, regulations, power of attorney, or instrument affecting the voting or distribution rights of subscribers of a domestic reciprocal insurer have been amended to change those rights within one year prior to the date of filing of the plan and agreement with the commissioner. The subscribers of a domestic reciprocal insurer who shall be eligible to participate in the transaction shall be those persons who are current subscribers of the domestic reciprocal insurer at the date the commissioner approves the plan and agreement for submission to the subscribers for approval pursuant to Section 1553, or at another date determined by the commissioner. No director, officer, agent, or employee of the domestic reciprocal insurer or the insurer’s attorney-in-fact shall receive any fee, commission, or other valuable consideration whatsoever, other than regular salary and compensation, for in any manner aiding, promoting, or assisting in the transaction, except as set forth in the plan and agreement approved by the commissioner. This provision shall not be deemed to prohibit the payment of reasonable fees and compensation to attorneys at law, accountants, and actuaries for services performed in the independent practice of their professions, even though they may also be directors of the insurer. (Added by Stats. 1995, Ch. 728, Sec. 3. Effective January 1, 1996.)
  199. 1553.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 16. Merger of Certain Reciprocal Insurers [1550 - 1559] ( Article 16 added by Stats. 1995, Ch. 728, Sec. 3. )

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    Before a merger plan can proceed, the commissioner must approve it and each domestic reciprocal insurer party must approve it by a two-thirds vote of subscribers at a meeting, with notice and quorum rules.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 16. Merger of Certain Reciprocal Insurers [1550 - 1559] ( Article 16 added by Stats. 1995, Ch. 728, Sec. 3. ) ## 1553. When the plan and agreement has been approved by the commissioner, with any changes required by him or her, it shall require the approval of each domestic reciprocal insurer that is a party to the transaction by not less than two-thirds of the votes cast by its subscribers represented in person or by proxy at a meeting called to consider the plan and agreement. At least 30 days before the day fixed for the meeting, notice of the meeting and its purpose shall be given to the subscribers at their addresses appearing on the books maintained at the home office of the insurer. With respect to subscribers whose addresses do not appear on the books of the insurer, notice shall be deemed to have been given if published at least once in some newspaper of general circulation in the county in which the principal office of the insurer is located. At the meeting, the presence in person or by proxy of 10 percent of the subscribers of the insurer shall constitute a quorum. In the absence of a quorum, the subscribers present at the meeting in person or by proxy may adjourn the meeting to a later date. If the meeting is adjourned to the next business day, no further notice need be given of the date to which the meeting is adjourned. If the meeting is adjourned to a date later than the next business day, notice of the date to which the meeting is adjourned shall be given to the subscribers at least 15 days prior to the adjourned meeting date. (Added by Stats. 1995, Ch. 728, Sec. 3. Effective January 1, 1996.)
  200. 1554.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 16. Merger of Certain Reciprocal Insurers [1550 - 1559] ( Article 16 added by Stats. 1995, Ch. 728, Sec. 3. )

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    If a domestic incorporated insurer is party to the transaction, certain Corporations Code sections apply to mergers and consolidations.

    ## Insurance Code - INS ## DIVISION 1. GENERAL RULES GOVERNING INSURANCE [100 - 1879.8] ( Division 1 enacted by Stats. 1935, Ch. 145. ) ## PART 2. THE BUSINESS OF INSURANCE [680 - 1879.8] ( Part 2 enacted by Stats. 1935, Ch. 145. ) ## CHAPTER 3. Reciprocal Insurers [1280 - 1560.19] ( Chapter 3 enacted by Stats. 1935, Ch. 145. ) ## ARTICLE 16. Merger of Certain Reciprocal Insurers [1550 - 1559] ( Article 16 added by Stats. 1995, Ch. 728, Sec. 3. ) ## 1554. If one of the insurers that is a party to the transaction is a domestic incorporated insurer, Section 1109 of the Corporations Code shall apply if the transaction is a merger or consolidation, and Section 1113 of the Corporations Code shall also apply if the transaction is a merger. (Added by Stats. 1995, Ch. 728, Sec. 3. Effective January 1, 1996.)

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