Insurance.

(1) Existing law establishes the California Insurance Guarantee Association to provide coverage against losses arising from the failure of an insolvent property, casualty, or workers' compensation insurer to discharge its obligations under its insurance policies. The association is managed by a board of governors appointed by the Insurance Commissioner, the President pro Tempore of the Senate, and the Speaker of the Assembly. Existing law provides that any bonds to provide funds for covered claim obligations for workers' compensation claims shall be issued, as specified, prior to January 1, 2013. This bill would extend the date for bonds to be issued to provide funds for covered claim obligations for workers' compensation claims, as specified, to January 1, 2023. (2) Existing law, the California Life and Health Insurance Guarantee Association Act, establishes an association of insurers to pay benefits and continue coverage pursuant to contractual obligations under life and health insurance policies and annuity contracts in the event of the impairment or insolvency of a member insurer that issued the policies or contracts. Existing uncodified law states that specified changes made to the act during the 2009–10 Regular Session of the Legislature do not apply to any member insurer that, before the effective date of those changes, has been placed under an order of liquidation with a finding of insolvency. This bill would codify that provision. The bill would make conforming changes. (3) Existing law creates the State Compensation Insurance Fund to be administered by its board of directors for the purpose of transacting workers' compensation insurance, and insurance against the expense of defending any suit for serious and willful misconduct, against an employer or his or her agent, and insurance to employees and other persons of the compensation fixed by the workers' compensation laws for employees and their dependents. Existing law gives the Insurance Commissioner certain powers and duties regarding domestic fraternal benefit societies. Existing law requires every title insurer to deposit $100,000 with the Insurance Commissioner or other designated official of its home state, as provided. Existing law requires long-term care insurers to maintain records for each agent of that agent's amount of replacement sales as a percent of the agent's total annual sales and the amount of lapses of long-term care insurance policies sold by the agent as a percent of the agent's total annual sales. Existing law defines unfair methods of competition and unfair and deceptive acts or practices in the business of insurance. This bill would make technical, nonsubstantive changes to those provisions. (4) Existing law requires insurers transacting business in this state to at all times maintain reserves in an amount estimated in the aggregate to provide for the payment of all losses and claims for which the insurer may be liable, and to provide for the expense of adjustment or settlement of losses and claims. This bill would require every admitted property and casualty insurer, unless otherwise exempted by the domiciliary commissioner, to annually submit a Statement of Actuarial Opinion in accordance with the appropriate Property and Casualty Annual Statement Instructions of the National Association of Insurance Commissioners and specified supporting materials, as provided, and would authorize the commissioner to adopt regulations related to those instructions. The bill would require that specified documents, materials, and other information provided to the commissioner in support of the opinion and any other material provided by the insurer to the commissioner in connection with the specified supporting documents be, among other things, confidential, privileged, and exempt from the requirements of the California Public Records Act. (5) Existing constitutional provisions require that a statute that limits the right of access to the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest. The bill would make legislative findings to that effect.