Insurance.

The bill text was reformatted from an official chaptered document (with page numbers, 'Ch. 542' headers, and printed layout) to a web page presentation that adds navigation elements (home, FAQ, feedback, sitemap, login), a quick search bar, version history list, and a digest key showing vote/appropriation/fiscal committee status.

The sentence 'This section is the sole means for enforcement of this article' was deleted from Section 937.4(c). This removes an explicit restriction that would have limited enforcement of the reinsurance reporting requirements (Article 10.85) to only the civil penalty process outlined in that subsection. Without this language, the Insurance Commissioner may potentially pursue other enforcement actions beyond the specified civil penalties for non-compliance with the annual reinsurance data reporting requirement.

Formatting changes throughout: removal of 'line X' numbering used in amendment markup, updated header to show passage dates (Senate and Assembly both September 13, 2025), addition of Governor's receipt and approval blocks, and reformatting of the legislative counsel's digest. No substantive policy content was altered beyond the enforcement language noted above.

The minimum time an insurer must allow before requiring proof of loss after a state of emergency loss was reduced from 180 days to 100 days.

The extension period for good cause delays in providing proof of loss was reduced from six months to three months per extension.

The advance payment percentage for contents (personal property) after a total loss in a state of emergency was reduced from 100% to 60% of the applicable policy limit, still capped at $350,000.

New Section 937.4(d) allows the commissioner to consider an insurer's violation of the reinsurance reporting article as a basis for other enforcement action against the insurer, as authorized by law, expanding beyond the civil penalty mechanism.

Removed 'Unavoidable permit delays' and 'Lack of necessary construction materials' from the list of circumstances beyond the insured's control that justify an extension of the proof of loss deadline.

Simplified the description of qualifying delay from 'a delay in approval for reconstruction, or reconstruction of, the property' to simply 'a delay in providing proof of loss,' narrowing the scope of what qualifies as a recognized delay circumstance.

The entire amendment to Insurance Code Section 2030 (fire insurance rescission) was removed from the bill. The Senate version had made technical, nonsubstantive changes to that provision; the Assembly dropped it entirely.

The reinsurance reporting requirement was narrowed. The report must now 'only include data and information necessary to understand its reinsurance program placement data' rather than broadly covering all reinsurance placement data. A new list specifies what information may be included: program overview, catastrophe program in place, type of risk covered, California-specific information, and year-over-year changes.

The minimum time an insurer must allow before requiring proof of loss after a state-of-emergency loss was reduced from 180 days to 100 days.

The good-cause extension period for submitting proof of loss was reduced from 6 months to 3 months per extension.

A new provision allows insurers to require an attestation form as a condition of receiving the advance personal property payment. The insured must acknowledge the residence was furnished and reasonably believe the damaged personal property had value equal to or exceeding the advance payment amount. The commissioner may issue a bulletin or regulation describing parameters for the form.

A new requirement was added to the aggregated public report: it must include 'only data and indices aggregated sufficiently to avoid identification of individual company reinsurance practices.'

The advance payment for personal property after a total loss in a state of emergency was changed from 100% of the dwelling structure policy limit (capped at $250,000) to 60% of the personal property policy limit (capped at $350,000). This shifts the calculation base and reduces the percentage while increasing the dollar cap.

Two new circumstances were added that qualify as beyond the insured's control for proof-of-loss extension purposes: (1) delays by the insurer in acknowledging the claim or providing necessary forms and instructions, and (2) for personal property coverage, the fact that a personal property inventory is premature if the primary structure has not yet commenced construction.

Assembly Member Harabedian was added as a co-author, and the fiscal committee designation changed from 'no' to 'yes,' indicating the bill now requires fiscal committee review.

Added entirely new Article 10.85 (Sections 937-937.5), the Insurance and Climate Risk Market Intelligence Act, requiring admitted insurers with $50M+ in written premiums from fire, allied lines, private flood, homeowners, farmowners, and commercial nonliability lines to file annual reports on reinsurance placement data and use of probabilistic catastrophic models, starting March 1, 2026.

Added civil penalties for failure to submit the new reinsurance report: up to $5,000 per 30-day period for non-compliance, or up to $10,000 per 30-day period (capped at $100,000 total) if the failure is found willful. A 30-day extension is available for unforeseen circumstances.

Required the Insurance Commissioner to post an aggregated, non-identifying report of reinsurance data on the department website, updated annually. Individual insurer reports are confidential and exempt from the California Public Records Act.

Required insurers to provide one or more additional six-month extensions for good cause if the insured, acting in good faith and with reasonable diligence, encounters delays beyond their control (permit delays, lack of construction materials, unavailability of contractors).

Required insurers to notify insureds of their option to receive the advance contents payment and their option to subsequently file a full itemized claim for additional amounts.

Extended the time limit for policyholders to collect full replacement cost after a state-of-emergency loss from 12 months to 36 months from the date of first actual cash value payment.

Set compliance date of July 1, 2026 for all policy forms issued or renewed to comply with the new Section 2051.5 and Section 10103.7 requirements.

Prohibited insurers from requiring proof of loss less than 180 days after a loss relating to a declared state of emergency, with additional six-month extensions available for good cause including disability, injury, incapacity, or inability to access property due to governmental action or hazardous materials.

Increased the advance partial payment for contents in a total loss of a furnished residence during a state of emergency from no less than 30% of the policy limit to 100% of the policy limit applicable to personal property, up to a maximum of $250,000, without requiring an itemized claim.