SENATE INSURANCE COMMITTEE.
THE CHAIR IS DETAINED IN ANOTHER
COMMITTEE RIGHT NOW DOING A
PRESENTATION.
WE HAVE ALSO MEMBERS ON OUR
COMMITTEE THERE -- HAVE
PRESENTATIONS TO MAKE ALSO --
WE'RE GONNA GO AHEAD AND GET
STARTED AS A SUB COMMITTEE.
AND I BEFORE WE BEGAN OR
ANNOUNCING THAT FILE ITEM FOR AB
SIXTEEN OH TWO BY ASSEMBLYMEMBER
LOW HAS BEEN PULLED.
FROM TODAY'S HEARING AND WILL BE
A TO YOUR BILL.
I SEE MISTER CALDERON IN THE
ROOM MISTER KERR ARE YOU
COMFORTABLE STARTING.
WITH THE SUBCOMMITTEE ON YOUR
PRESENTATION.
I'LL TAKE THAT AS A YES.
I'M SORRY.
ALRIGHT LET'S DO IT.
THANK YOU MISTER CHAIR AND
MEMBERS SINCE NINETEEN NINETY
SIX THE CALIFORNIA I'M SORRY
ONCE AGAIN LET ME ANNOUNCE WHAT
YOUR PRESENT A PROBLEM THIS IS
FILE ITEM NUMBER TWO AB ONE ZERO
NINE NINE BY MISTER CALDERON.
THANK YOU MISTER MEMBER SINCE
NINETEEN NINETY SIX THE
CALIFORNIA ORGANIZED INVESTMENT
NETWORK OR COIN PROGRAM HAS
FACILITATED INSURANCE INDUSTRY
INVESTMENTS THAT BENEFIT
CALIFORNIA'S ENVIRONMENT.
AND IT'S LOW TO MODERATE INCOME
AND RURAL COMMUNITIES.
CURRENT LAW.
REQUIRES INSURANCE COMPANIES TO
REPORT THEIR COMMUNITY
DEVELOPMENT VESTED HOLDINGS IN
CALIFORNIA FROM TWO THIRDS
TWENTY THIRTEEN TO TWENTY
FIFTEEN AND IT ESTABLISHES.
THE COIN ADVISORY BOARD TO
ADVISE CALLING ON HOW TO
INCREASE.
INSURANCE INDUSTRY INVESTMENT IN
COMMUNITY DEVELOPMENT PROJECTS
THIS BILL REQUIRES INSURANCE
COMPANIES TO REPORTER COMMUNITY
DEVELOPMENT INVESTMENT HOLDINGS
IN CALIFORNIA FROM TWENTY
SIXTEEN TO TWO THOUSAND AND
TWENTY AND EXTENDS THE SUNSET ON
THE ADVISORY BOARD TO JANUARY
FIRST. TWENTY TWENTY NINE I
RESPECTFULLY ASK FOR AN AYE VOTE
ON THIS MEASURE THEM WORKING
WITH THE INSURANCE COMMISSIONER
N IN WITH ME TO TEST TODAY TO
TESTIFY IN SUPPORT OUR DOG.
I STREAM CURRENT COIN ADVISER
BOARD VICE REPORT CHAIR.
LINK WALWORTH COIN ADVISORY
BOARD MEMBER SAID AND TWENTY
EIGHTEEN VICE CHAIR AND MICHAEL
MARTINEZ FROM THE DEPARTMENT
INSURANCE.
WITNESSES IN SUPPORT PLEASE.
GOOD AFTERNOON MICHAEL MARTINEZ
YOUR BEHALF OF INSURANCE
COMMISSIONER RICARDO A
THE CALIFORNIA APARTMENT
INSURANCE IN STRONG SUPPORT OF
THIS MEASURE COMMISSIONERS --
DETESTED AND CRITICALLY EXCITED
TO HAVE -- THE CORN PROGRAM
CONTINUE TO BE RE AUTHORIZED
UNDER THIS.
MEASURE AND ABSOLUTELY AGREE
WITH THE ASSEMBLY MAN AND THANK
HIM FOR HIS AUTHORSHIP OF THIS.
OF THIS MEASURE THAT -- AND I'LL
KEEP MY COMMENTS BRIEF TO IN
ORDER TO ALLOW INDIVIDUALS TO
ACTUALLY SIT ON THE CORNER VISOR
BOARD AT THE DEPARTMENT -- SAY
LOOK AT MORE WORDS ABOUT THE
THEIR ACTIVITY INVOLVEMENT WITH
THE ORGANIZATION.
YEAH JUST FROM A ASPECT OF OF
THE IMPORTANCE OF THIS PROGRAM
IS THAT TO THE INSURANCE COMPANY
HOLDINGS IN CALIFORNIA COMMUNITY
DEVELOPMENT.
AND GREEN INVESTMENTS HAVE
CONSISTENTLY INCREASED.
IN FACT MORE THAN TRIPLED FROM
SIX POINT SIX BILLION AT THE
WITH THE P..
AT THE BEGINNING OF TWENTY
ELEVEN TO TWENTY ONE POINT
EIGHTY FIVE BILLION AT THE END
OF TWENTY FIFTEEN WHICH IS THE
LAST YEAR DATA WAS REPORTED.
AS PART OF THE CORN PROGRAM SO
CLEARLY WERE SEEN A HUGE
INVESTMENT WE BELIEVE A HUGE
BENEFIT. TO CALIFORNIA AND MANY
OPPORTUNITIES THROUGHOUT THE
STATE INCLUDING UNDERSERVED
COMMUNITIES AS WE WORK -- TO
UNDER THIS MEASURE AT CONTINUE
TO TRACK ON YOUR REPORT THE
SOCIAL INVESTMENT SO WITH THAT
ASK YOUR AYE VOTE THANK YOU.
OUR SON SUPPORT [inaudible]YEAH.
I JUST CAME BACK FROM THE
PHILLIES COMMITTEE THAT WENT ON
A LITTLE TOO LONG BUT THANK YOU
FOR BEING HERE AND SUCH AS ONE
ASK ANYBODY ELSE WISHING TO
SPEAK AND SUPPORT PLEASE COME UP
TO THE MIKE [inaudible]
YES.
THANK YOU CHAIR WOMAN MEMBERS OF
THE COMMITTEE.
MY NAME IS DOUGLAS MYSTERY I AM
THE PRESIDENT CEO OF CLEARING
HOUSE CFI WE ARE THE LARGEST
COMMUNITY DEVELOPMENT FINANCIAL
INSTITUTION.
LOCATED IN THE STATE OF
CALIFORNIA I'M ALSO THE CHAIRMAN
OF THE COIN ADVISORY BOARD AND
I'VE BEEN INVOLVED IN THE
PROGRAM SINCE ITS INCEPTION IN
THE LATE NINETIES.
AND I'M HERE TO OFFER MY STRONG
SUPPORT FOR THE BILL A. B. TEN
NINETY NINE THANK YOU.
OKAY SIR.
HELLO I'M I AM LINK WALWORTH
THEM THE VP OF INVESTMENTS SAID
CSA A INSURANCE GROUP WERE PART
OF THE TRIPLE A FAMILY YOU MIGHT
I WAS THAT WAY.
I'M.
I'VE -- BEEN WITH THE COIN
ADVISORYBOARD SINCE -- TWO
THOUSAND SIXTEEN WE BY COMPANY
C. S. A. FULLY SUPPORTS THIS
BILL AND RESPECTFULLY REQUEST
THAT THE COMMITTEE VOTES HI ON
IT [inaudible]
THANK YOU.
THE NOON SIR AND TELL THE
PERSONAL INSURANCE FEDERATION
CALIFORNIA ALSO IN SUPPORT.
THANK YOU ANYBODY ELSE WISHING
TO SPEAK IN SUPPORT.
YOU KNOW INTEREST ANYBODY
WISHING TO SPEAK IN OPPOSITION.
YOU KNOW INTEREST OUT MEMBERS
ANY QUESTIONS MISTER DOBALENA.
THANK YOU A MOMENT TO BRING THIS
FORWARD -- PERHAPS ONE OF YOUR
SUPPORTERS HERE CAN GIVE US SOME
IDEA.
HOW THE COMMUTER DEVELOPMENT
INVESTMENT PROGRAMS HELP?
SOME OF THE COMMUNITIES WITHIN
CALIFORNIA SPECIAL COMMUNITIES
THAT ARE HAVE BEEN HARD PRESSED
AND HAVE BEEN STRUGGLING FOR A
WHILE AND HOW.
THE PROGRAM HAS WORKED TO HELP
THEM.
YEAH I'D BE DELIGHTED TO JUST.
BRIEFLY SHARE WITH YOU SOME
DIRECT EXPERIENCE THAT I'VE HAD --
BECAUSE THE PROGRAM ITSELF AND
QUEEN HAS ENCOURAGE INVESTMENTS
FROM INSURANCE COMPANIES.
ARE GROUPS LIKE OURS AND OTHER
CD FIC FOCUS ON PROVIDING CREDIT
IN LOW AND MODERATE INCOME
COMMUNITIES IN THOSE COMMUNITIES
THAT TYPICALLY LACK ACCESS TO
CREDIT WE'VE BEEN ABLE TO OBTAIN --
INTEREST AND WERE ABLE TO RE
LAND THAT OUT.
AND SPECIFICALLY WE HAVE BEEN
ABLE TO DO CHARTER SCHOOLS IN
LOW INCOME COMMUNITIES -- WE'VE
BEEN ABLE TO DO HEALTH.
CENTERS.
AFFORDABLE HOUSING AND A NUMBER
OF OTHER HIGHLY IMPACTFUL
PROJECTS AS A RESULT OF OF WHAT
QUEEN AND THE INVESTMENTS BY
INSURANCE COMPANIES HAVE BEEN
ABLE TO DO [inaudible]
THANK YOU.
ANY MORE QUESTIONS FROM MEMBERS
MISTER JONES.
I I KNOW WE'RE SORT OF A QUORUM
IS ONE LET YOU KNOW ONCE WE HAVE
ONE I'LL BE SUPPORTING THE BILL
[inaudible]
THANK YOU.
ANYBODY ELSE WATCHING MEMBERS
OKAY WITH SANTA WOULD LIKE TO
CLOSE MEMBERS I APPRECIATE YOUR
TIME RESPECTFULLY ASK FOR AN AYE
VOTE AND I WOULD LIKE TO
CONGRATULATE THE CHAIR.
IS A MEMBER OF THE GRISLY
SOFTBALL TEAM WE'RE GONNA
[inaudible]
THANK YOU.
A LOT OF PRESSURE.
A PLEASE CALL THE ROLL OVER I'M
SORRY WE DON'T HAVE A QUORUM YET
SO WE'LL KEEP IT OPENED OUT FOR
ABSENT MEMBERS THANK YOU VERY
MUCH TO WE HAVE THE NEXT. ONE IS
IN THE BACK.
AS I MEAN IS THERE AND WOULD YOU
LIKE TO PROCEED.
NEXT WE'LL BE HEARING A. B.
TWELVE OH NINE IS THERE IN LONG
TERM CARE BENEFITS WELCOME
ASSEMBLY MEMBER.
THANK YOU.
THANK YOU MADAM CHAIR AND
SENATORS [inaudible]
THIS CAN.
THIS CAN BE A LITTLE LONGER.
I COULD BE EXTREMELY SHORT -- SO
SO I WILL START GOING THROUGH IT.
HOPEFULLY IT ADDRESSES ANY
QUESTIONS YOU MAY HAVE BUT UP I
HOPE THAT YOU.
FROM WHAT I HEAR YOU'RE ALREADY
COMFORTABLE WITH THIS BILL -- AB
TWELVE OH NINE OUT LET ME JUST-GO THROUGH A A A FEW VERY BRIEF
POINTS.
AB TWELVE OH NINE AT SEVERAL
PROTECTIONS FOR LONG TERM CARE
INSURANCE CONSUMERS.
BUY ONE PROTECTING A POLICY
HOLDERS ACCESS TO LOANS AND
WITHDRAWALS FROM HYBRID POLICIES
THAT COMBINE LIFE AND LONG TERM
CARE INSURANCE BENEFITS.
ADDING DISCLOSURES THAT EXPLAIN
THE EFFECT OF LONG TERM CARE
BENEFIT PAYMENTS POLICY LOANS
AND WITHDRAWALS ON HYBRID LIFE
OF LONG TERM CARE POLICY VALUES
THREE GIVING POLICY HOLDERS A
THIRTY DAY WAITING PERIOD DURING
WHICH THEY CAN DECIDE TO CANCEL
PAYMENT.
OF A LONG TERM CARE BENEFIT
CLAIMS LOAN POLICY OR WITHDRAW
FROM A HYBRID LIFE.
LONG TERM CARE POLICY.
PROHIBITING LONG TERM CARE
PREMIUM AND COST OF INSURANCE
RATES THAT AUTOMATICALLY
INCREASE BASED ON THE AGE OF THE
POLICY HOLDER.
AND LAST REQUIRING INSURERS TO
OFFER AN OPTIONAL BENEFIT.
THAT IF PURCHASED WILL HELP
PREVENT THE LAPSE OF HYBRID
UNIVERSAL LIFE.
LONG TERM CARE POLICIES -- THIS
BILL IS MEANT TO BE A CONSUMER
PROTECTION.
OF FOR OUR OF AGING POPULATION
AND AS CALIFORNIANS ARE AGING
AND WE'RE EXPECTING TO HAVE.
A LARGER PROPORTION OF
CALIFORNIANS AGE SIXTY TWO AND
ABOVE -- WITHIN THE NEXT FIFTEEN
TO TWENTY YEARS.
THIS ISSUE AREAS GOING TO BE
SOMETHING THAT IF WE DON'T START
LOOKING AT AND RAINING AND
PLACING CERTAIN.
RESTRICTIONS -- I IS -- IS GOING
TO BECOME MORE CHALLENGING OVER
TIME.
WITH ME IS MICHAEL MARTINEZ
SENIOR DEPUTY COMMISSIONER AND
LEGISLATIVE DIRECTOR AT THE
DEPARTMENT OF INSURANCE.
OF ON BEHALF OF THE SPONSOR THE
INSURANCE COMMISSIONER.
AND HAPPY TO ANSWER ANY
QUESTIONS -- AND I MUST SAY
THANK YOU VERY MUCH TO HEW TO
THE WONDERFUL WORK THAT.
Q. AND OF COMMITTEE STAFF DID
AND HELPING ADDRESS -- THIS BILL
AS WELL THANK YOU.
MISTER MARTINEZ.
BUT HE HAS BEGUN IN FAVOR.
GOOD AFTERNOON MICHAEL MARTINEZ
HER BEHALF OF INSURANCE
COMMISSIONER RICARDO LARA IN
STRONG SUPPORT OF THIS MEASURE
AND WANT TO THANK THE ASSEMBLY
MEMBER FOR HIS.
PARTNERSHIP ON US AND AND WE
BELIEVE THE COMMISSIONER
BELIEVES A MULTI YEAR.
OF PARTNERSHIP IN LOOKING AT
LONG TERM CARE INSURANCE I'D SAY
THAT IN HIS FIRST SIX MONTHS AS
AS COMMISSIONER.
HE IS AMONG MANY ITEMS HIS
REALLY -- IS ZEROING IN ON LONG
TERM CARE INSURANCE AS WE'VE
HEARD IN THIS COMMITTEE HAS HAS
DECENTLY DALTON LTC MATTERS
THROUGHOUT THE YEARS ANDY.
CONTINUE JUST CONCERNED WITH
INCREASING HIGH COST OF LTC
INSURANCE RATES ON CONSUMERS IS
YOU KNOW OR MIGHT KNOW THE
DEPARTMENT OF INSURANCE.
DOES CONDUCT A RIGOROUS REVIEW
OF ALL RATE INCREASE REQUESTS
THAT COE BEFORE THE DEPARTMENT
THEY LOOK AND MAKE SURE AND ONLY
APPROVE A RATE INCREASE IF THE
INSURER FALLS ALL CURRENT LAWS.
IN ORDER TO MINIMIZE THE IMPACT
WERE POSSIBLE THE DEPARTMENT IS
ALSO IN HAS BEEN REVIEWING AND
APPROVING NEW OUR PRODUCTS. FOR
PLACEMENT ON THE MARKET THAT
OFFER A DIFFERENT WAY TO PLAN
FOR FUTURE ALTI SEEDS NEEDS THAT
MAY PRESENT A MORE AFFORDABLE
PACKAGE. FOR CONSUMERS AND SO
WHAT WE'VE SEEN AND THIS.
WE WE IT WITHIN THE MARKET
PLACES GOING FROM STANDALONE LTC
POLICIES TO MORE HYBRID -- INCH
WHERE YOU HAVE EL TO SEE
POLICIES AND LIFE INSURANCE
POLICIES ARE PUT TOGETHER ALONG
WITH VERY VERY ABEL'S WITHOUT
END OF THEMSELVES AND SO.
IT'S JUST LOOKING AT WAYS IN
WHICH WE CAN HAVE.
AND PRESENT A A A MORE
AFFORDABLE PACKAGE OFINSURANCE
FOR SOME CONSUMERS IF THEY SO
NEEDED AND AS WELL AS THE
COMMISSION IS LOOKING AT WAYS.
TO IMPROVE THE EFFICIENCY AN
INTERNAL REVIEW TURNAROUND OF
LTC AYE PRODUCTS AT THE
DEPARTMENT WHILE ENSURING
CALIFORNIA SPECIFIC.
CONSUMER PROTECTIONS APPLY TO
THESE PRODUCTS I'M CONVENE ALL
OF THIS TO IN ORDER.
TO A PAINT THIS PICTURE FROM THE
DEPARTMENT'S PERSPECTIVE THAT
THERE IS A A A A A A BIG PICTURE
WITH REGARD TO LTC PRODUCTS AND
AND ENSURING THAT.
A WIDE DIVERSITY OF PRODUCTS ARE
AVAILABLE IN THE MARKET PLACE
THAT THERE ARE CONSUMER
PROTECTIONS PROVIDED.
AND THAT -- AND THAT THIS BILL
IS A HUGE COMPONENT AND BEING
ABLE TO HELP -- ADDRESS AND
ENSURE THAT CALIFORNIANS ARE
CLEARLY AWARE OF THE NEED TO
PLAN.
FOR THEIR LONG TERM CARE NEEDS.
AS WHAT THE ASSEMBLY MEMBER HAD
STATED.
THAT THIS PRODUCT I'M SORRY THIS
MEASURE WOULD GIVE CONSUMERS.
A RIGHT TO ACCESS BENEFITS
THEY'RE PAID.
FOR IT WOULD HELP CONSUMERS MAKE
INFORMED DECISIONS WHEN USING
HYBRID POLICY BENEFITS.
ENSURE CONSUMERS LTC COVERAGE IS
AVAILABLE WHEN IT IS NEEDED MOST
WE CONTINUE TO WORK WITH
INTERESTED STAKEHOLDERS ON THIS
MEASURE.
AS A DAY CONTINUES TO MOVE
FORWARD IN THIS PROCESS AND WITH
THAT ASK YOUR AYE VOTE THANK YOU.
THANK YOU ANYBODY ELSE WISHING
TO SPEAK IN SUPPORT PLEASE COME
TO MY AT LET ME TAKE A PAUSE FOR
A SECOND I SEE THAT WE HAVE A
QUORUM PLEASE.
CALL THE ROLL RUBIO.
VIA PRESENT JONES.
JONES PRESENT ARCHULETA.
ARCHULETA PRESENT BEATS.
BEATS PRESENT BOARD YES DODD
GALGIANI GALGIANI PRESENT GLAZER
[inaudible]
HUESO.
HERE HUESO PRESENT MITCHELL MORE
LOCK.
MORE LIKE PRESENT PORTANTINO
ROTH.
WE DO HAVE A QUORUM AND SO WITH
THAT I WILL ASK ANYBODY ELSE
WISHING TO SPEAK IN SUPPORT TO
PLEASE COME TO THE MIKE
[inaudible]
CLEANERS.
GOOD AFTERNOON SHERRY MCCUE
REPRESENT THE ASSOCIATION OF
CALIFORNIA LIFE AND HEALTH
INSURANCE COMPANIES WE LIKE TO
THINK THE SPONSORING THE AUTHOR.
FOR WORKING WITH US TO ADDRESS
OUR CONCERNS WE STILL HAVE A FEW
REMAINING ISSUES THAT WE WOULD
LIKE TO ADDRESS BUT WE'RE VERY
CALM FOR THE BILL MOVING FORWARD
TODAY SO THAT WE CAN CONTINUE
THOSE CONVERSATIONS.
AND ADDRESS THE ISSUES ARE
BEFORE THE BILL'S TAKEN UP ON
THE SENATE FLOOR THANK YOU.
ANYBODY ELSE WISHING TO SPEAK IN
SUPPORT.
IN NONE ANYBODY WISHING TO SPEAK
IN OPPOSITION.
WITHOUT MEMBERS WISHING TO SPEAK.
MISTRUST LEVELS A BILL ANYBODY
ELSE HAVE ANY QUESTIONS CONCERNS
COMMENTS.
SO I DO HAVE ONE QUESTION IF YOU
DON'T MIND -- I JUST OUT I WOULD
LIKE TO SEE -- IF YOU COULD
EXPLAIN HOW DID YOU COME UP WITH
THE A ONE TEN AGE GROUP.
GOING TO THE BELL -- IT OFFERS
UP.
TO CONTENTS I'M JUST CURIOUS
ABOUT THAT ONE TEN A LET THE
TECHNICAL QUESTIONS BE ANSWERED
BY [inaudible]
OR THE FAMILY YEAH.
I AM A SMITH THANK YOU
[inaudible]
WELCOME.
YES GOOD AFTERNOON EMILY SMITH
AN ATTORNEY WITH THE DEPARTMENT
OF INSURANCE.
THE IDEA OF SETTING THE AGE AT
ONE TEN IS NOT A MAGIC NUMBER
BUT IT WAS DESIGNED TO ENSURE
THAT THE POLICY IS IS SAFE UNTIL.
AS AS LONG AS THE CONSUMERS
EXPECTED TO NEED IT.
OKAY WELL THANK YOU I REALLY I
WAS JUST.
CURIOUS ABOUT THAT BUT I DO HAVE
JUST ANOTHER -- STATEMENT THAT I
WANT TO MAKE I KNOW THAT THAT
WERE REQUIRED THE INSURERS TO
OFFER NEW FEATURES ON EXISTING
PRODUCTS BUT WE DO HAVE UP
INFORMATION -- ABOUT NEW
PRODUCTS BEING APPROVED IN
TAKING UP TO THREE YEARS IN THE
INSURANCE.
CAN YOU SPEAK TO THAT ABOUT
EXPEDITING THE APPROVAL PROCESS
FOR NEW PRODUCTS.
ABSOLUTELY A TRIVIA IS THAT TO
DO IT I APPRECIATE THAT AND
THAT'S SOMETHING THAT -- JUST
KINDLY MAYOR IN MY YEAH IN MY
EARLIER REMARKS -- ANTICIPATING
THAT IS SOMETHING OF OF KEEN
INTEREST TO THE INDUSTRY WITH
REGARD TO PRODUCT APPROVAL THAT.
IN THE SIX MONTHS THAT -- THE
COMMISSION NOW BEING THERE IS
THAT HE ACTUALLY IS LOOKING AT
THE INTERNAL REVIEW AND PRODUCT
APPROVAL OF PRODUCTS INCLUDING
LONG TERM CARE INSURANCE AND
IT'S SOMETHING THAT HE ACTUALLY
IS.
ROLLING UP HIS SLEEVES BECAUSE
AS YOU CAN IMAGINE IT IS A IT'S
AN INTERNAL ADMINISTRATIVE
PROCESS -- FOR REVIEWING AND AND
READING AND IT'S A LOT OF BACK
AND FORTH -- COLLABORATION IN AN
INTERNAL DISCUSSION AS WELL AS
COMMUNICATION WITH THE INSURER
WHO WOULD LIKE TO HAVE THESE
PRODUCTS SO AGAINST VICE TO SAY
HE'S ROLLING UP HIS SLEEVES HE
PERSONALLY IS.
AND I'M WITH THEIR WITH THEM IN
THE ROOM TO TO ME AND MEETING
WITH STAFF.
IS TO OKAY IF I AND AND AND YOU
KNOW ACNE INSURANCE COMPANY I'VE
A PRODUCT. ONE FROM POINT A TO
THE NEXT STEPS HE'S LEARNING
THAT IN ORDER TO SEE WHAT ARE
SOME ADDITIONAL EFFICIENCIES.
AN INTERNAL REVIEW TURN AROUND --
BUT A A OF FAST TRACKING THAT
COULD BE POTENTIAL POTENTIALLY
POSSIBLE -- AS HE AGAIN AND AND
IN THE ENSUING WEEKS AND MONTHS
AND HIS TENURE THERE SO IT AGAIN
SOMETHING IT'S A PARTY THAT HE
IS LOOKING AT THANK YOU I'M
CERTAINLY CONFIDENT THAT AND
HE'LL GET THERE -- I BELIEVE YOU
HAD A QUESTION MUCH MORE LIKE.
WE GET ASKED MORE QUESTIONS OF
THIS HONOR.
I'M I'M JUST CURIOUS ABOUT
LAPSING -- YOUR BILL HAS NO
LAPSE GUARANTEES AND INDUSTRIES
CONCERNED ABOUT THAT WOULD YOU
LIKE TO COMMENT.
SURE SURE I AB.
BASICALLY THIS THIS BILL HAD
FOUR DIFFERENT COMPONENTS.
THAT'S TRYING TO ADDRESS WHETHER
IT'S THE NO RATE INCREASES IN
LATER YEARS -- DISCLOSURE AND
THE INFORMATION -- TAKING OUT OF
LOANS AS WELL AS THE LAPSING OF
POLICY BECAUSE WHAT'S HAPPENING
IS WE'RE SEEING.
THE WORK FORCE POPULATION WHO IS
HAS AN AGE YET PURCHASING THESE
LONG TERM CARE OR OR OR WHOLE
LIFE INSURANCE WITH THE WRITERS --
LONG TERM CARE WRITERS AT SOME%
POINT LATER ON SEEING THAT WHILE
THEY'RE NOT EMPLOYED ANYMORE
THEY'RE NOT WORKING ANYMORE.
BUT THE PREMIUMS THAT THEY'RE
MAKING.
IS BECOMING.
BIGGER AND BIGGER.
A WHOLE AYE PRODUCT.
UP FOR IS WITH THE ONES HAVING
TO DO WITH THE LONG TERM THEY'RE
BUYING HYBRIDS OR WRITER BE
CRATER RIGHT.
AND SO AND AND SO IN ORDER TO
AND AND SOMETIMES THAT
CONTRIBUTES TO LAPSING OF PAYING
THE MEMES WHICH THEN LEADS THE
CANCELLATION OF THE PRODUCT.
AND SO THERE WERE GUARANTEED
THIS IS AN ATTEMPT TO PROTECT.
THESE CONSUMERS FROM THEIR
PROGRAM -- FROM THEIR A
INSURANCE EVER LAPSING OR BEING
CANCELED ON THEM -- AND MOST
RECENTLY WE'VE HAD SOME
DISCUSSIONS.
ABOUT.
WHETHER THERE IS THE LAPSE OR
WHETHER THERE IS A NO RATE
INCREASE ONE LEADS TO THE OTHER.
SO WE'RE STILL AN ONGOING
CONVERSATIONS OVER THAT THERE
WAS THE NEXT QUESTION
UNIVERSALMUSIC RATE NEUTRALITY
IS A NEW TERM WITH THE THE WILD
FIRES IN THE UTILITIES BUT ABOUT
PREMIUM NEUTRALITY [inaudible]
WELL.
I'LL LEAVE THAT TO THE INDUSTRY.
TO THE INSURANCE COMMISSIONER
AND THE INDUSTRY TO TO COIN WHAT
FREE AS THEY WANT UNLESS IF
YOU'RE ASKING THE QUESTION I'M
SORRY NO NO I'M JUST WONDERING
IF IF THE BILL WILL IMPACT
PREMIUM.
PRICES IN IT WILL PRICE OUT
YOUNGER PULL THAT THAT'S ONE OF
THE CONCERNS OBVIOUSLY.
AND SO THAT'S WHAT WE'RE SEEING
IF MAYBE IT'S YOUR AND FURTHER
DISCUSSIONS TO YES.
I GUESS BECAUSE MAYBE.
MAYBE AS WRITTEN ITSELF CREATING
TOO MANY.
OF OBSTACLES FOR MOVEMENT AS
WELL -- SO WE'RE NOT GOING
CONVERSATION.
AND WOMEN.
THANK YOU VERY MUCH THANK YOU
MADAM CHAIR.
THANK YOU ANYBODY ELSE WISHING
TO ASK ANY QUESTIONS.
THE NINE THANK YOU VERY MUCH FOR
ANSWERING OUR QUESTIONS I DO
HAVE A MOTION BY MISTER LET OUT
ITS TO PASS TO SENATE
APPROPRIATIONS COMMITTEE.
PLEASE CALL THE ROLL.
I RUBIO I JONES.
ARCHULETA AYE ARCHULETA I BATES.
DODD.
DODD AYE GALGIANI GALGIANI AYE
GLAZER WE SO.
WE SO I MITCHELL MORE LOCK.
MOORLACH AYE PORTANTINO ROTH.
WE'RE GONNA LEAVE THE BILL ON
CALL FOR THE ABSENT MEMBERS
THANK YOU VERY MUCH VERY MUCH.
WE NEED.
I SEE A SEVEN MEMBER BURKE --
WORK NEXT IS AB SEVEN FORTY BY
ASSEMBLY MEMBER.
AUTUMN BURKE PROPERTY INSURANCE
WELCOME.
THANK YOU MADAM CHAIR AND
SENATORS.
YEAH I LATE SENATE INSURANCE SO
MUCH I CAME BACK FOR MORE.
I AB SEVEN FORTY HAS BEEN
AMENDED TO EXPAND THE
ELIGIBILITY ELIGIBLE AREAS FOR
RIGHT OUT CREDITS WITHIN THE
FAIR PLAN FOR A MINUTE
HOMEOWNERS INSURERS.
THE FAIR PLAN IS A PRIVATE
ASSOCIATION COMPRISED OF ALL
PROPERTY INSURANCE IN CALIFORNIA.
CURRENTLY IF AN INSURER WRITES
AN INDEPENDENT HOMEOWNER POLICY
ANY BRUSH HAZARD AREA IS DEFINED
AS I ASSUME.
THE RECEIVER RIGHT OUT CREDIT
WHICH MEANS THAT IN A YEAR THAT
FAIR PLAN EXPERIENCES A LOSS
ENSURE WITH A RIGHT OUT CREDIT
WOULD NOT HAVE TO PAY THEIR FOR
MARKET SHARE BACK TO THE PLAN.
IT WOULD BE THEIR MARKET SHARE
MINUS THE RIGHT OUT CREDITS FOR
ON THE POLICIES WRITTEN IN THE
BRUSH HAZARD ZONE.
INTO THE COMEDIAN OUNCES THE
LINES OF BUSINESS THAT ARE
INCLUDED IN THE CALCULATION FOR
PARTICIPATION IMPAIR PLAN
INCLUDED OR FIRE AT ALLY ALLY
THE LINES HOMEOWNERS INSURANCE
COMMERCIAL MONTH MULTIPLE PERIL
AN EARTHQUAKE.
ALL WRITTEN PREMIUM DATA
RECEIVED A 100% CREDIT EXCEPT
FOR HOMEOWNERS PREMIUMS LITERACY
64% CREDIT IN ORDER TO REPRESENT
ONLY THE PROPERTY PORTION OF THE
PREMIUMS.
THIS BILL WOULD ADD -- HI AM
VERY HIGH HAZARD SEVERITY ZONES
AS DETERMINE AND THAT BY CAL
FIRE TO THE EXISTING AYSO BRUSH
HAZARD AREA.
THAT QUALIFIES INSURERS FOR
CREDITS THE CURRENT ISO BRUSH
HAZARD AREA ARE VERY LIMITED AND
FOCUS ON MORE URBAN AREAS OF
SOUTHERN CALIFORNIA.
AS A RESULT SOME REGIONAL
COMPANIES HAVE NO OPPORTUNITY TO
PARTICIPATE IN THE RIGHT OUT
CREDITS.
RIGHT IN ELIGIBLE AREAS TO
INCLUDE THOSE OF GREATER RISK
FOR WELFARE CAN INCREASE
ACCESSIBILITY FOR HOMEOWNERS TO
IN CHANGE AND TO OBTAIN
INSURANCE POLICIES.
THE GOAL OF AB SEVEN FORTY IS TO
INCENTIVIZE INSURERS TO WRITE
POLICIES IN.
MORE HIGH RISK FIRE ZONES IN AN
EFFORT TO INCREASE THE OPTIONS
FOR HOMEOWNERS INSURANCE IN
THESE AREAS.
I AM COMMITTED TO WORKING WITH
THE DEPARTMENT OF INSURANCE AND
THEIR PLAN TO INJURIES ADDRESS
ISSUES OF AVAILABILITY OF
HOMEOWNERS INSURANCE IN
CALIFORNIA ESPECIALLY IN AREAS
OF HIGH FIRE AT RISK.
CALIFORNIANS ARE EXPERIENCING
ISSUES WITH THE INSURANCE
AVAILABILITY NOMINALS AND UNDER
INSURANCE AB SEVEN FORTY IS ONE
PATHWAY. TO ADDRESS THESE
CHALLENGES SPECIFICALLY AROUND
THE ISSUES OF INSURANCE
AVAILABILITY THIS BILL CAN HELP
BETTER I'M PREPARING PROTECT OUR
CONSTITUENTS AGAINST FURTHER
DISASTER I RESPECTFULLY REQUEST
ENABLE.
THANK YOU ANYBODY ELSE WISHING
TO SPEAK IN SUPPORT.
AFTER MADAM CHAIR MEMBERS THE
COMMITTEE ARMAND FELICIANO ABOUT
THE FAIR PLAN WE ARE IN SUPPORT
OF AB.
SEVEN FORTY AS THE INSURER OF
LAST RESORT. ONE OF THE FEW
PLANS MANDATE IS TO ENGAGE
MAXIMUM.
USE OF THE PRIVATE MARKET IN
OBTAINING PROPERTY INSURANCE.
AND WE BELIEVE THIS BILL IS A
STEP IN THE RIGHT DIRECTION.
TRIBAL THANK YOU.
THANK YOU ANYBODY ELSE WISHING
TO SPEAK.
BUT AFTERNOON ANNA BUCK ON
BEHALF OF THE CALIFORNIA
ASSOCIATION OF REALTORS IN
SUPPORT.
THANK YOU ANYBODY ELSE WISHING
TO SPEAK IN SUPPORT PLEASE COME
UP TO THE MIKE.
THE NO INTEREST ANYBODY WISHING
TO SPEAK IN OPPOSITION.
I SEE NO ENTRANCE MEMBERS ANY
QUESTIONS BOB KATHLEEN SERVICE I
WANT TO THANK THE AUTHOR FOR
BRINGING THIS FORWARD WE COULD
HAVE PREDICTED THAT RATES WOULD
INCREASE EXPONENTIALLY.
AND I WAS ACTUALLY AT A A GROUP
OF REALTORS RECENTLY WHERE
ACTUAL MEMBERS WERE SPEAKING OF
INCREASES THAT WERE FIVE TO
SEVEN TIMES OVER WHAT THEY
ORIGINALLY WERE PAYING.
AND WHEN YOU CAN IMAGINE THAT
SOMEONE'S GOING TO BE PAYING
THREE TO FIVE HUNDRED DOLLARS
MORE A MONTH FOR HOMEOWNERS
INSURANCE.
THAT MEANS FOR MANY THT THEY
WON'T BE ABLE TO HOLD ON TO
THEIR HOME MAKE INSURANCE
PAYMENT.
AND THE HOUSE PAYMENT SO I
PREDICT THAT UNLESS WE DO
SOMETHING TO ADDRESS THIS IN A
DRAMATIC WAY THAT WE'RE GOING TO
SEE PEOPLE LOSING THEIR HOMES.
AND THAT GOES AGAINST OUR GOALS
OF MAKING SURE THAT PEOPLE HAVE
HOUSING AND PREVENTING ANOTHER
HOUSING CRISIS IN SOME OF THESE
AREAS HAVE.
BEEN -- HARD HIT BY THE
WILDFIRES AND BECAUSE OF
FORECLOSURES.
WELL THANK YOU VERY MUCH FOR
BRINGING THIS FORWARD THANK YOU.
ANY OTHER MEMBERS WISHING TO ASK
QUESTIONS.
I SEEM NINE TOWN.
THESE.
WE HAVE A MOTION.
AB SENATOR OUT WEST SO WHO'S A
BILL AND THE MOTION IS TO PAY
OUT TO SENATE APPROPRIATIONS
COMMITTEE ARE IN PLEASE CALL THE
ROLL.
RUBIO I WILL BE I JONES.
JONES I ARCHULETA.
ARCHULETA IBEATS.
BATES I BORDERS DODD.
DODD AYE GALGIANI GALGIANI AYE
GLAZER HUESO.
HUESO AYE MITCHELL MORE LOCK.
MORE LIKE I PORTANTINO.
WE'RE GONNA LEAVE THE BILL LONG
CALL FOR ABSENT MEMBERS THANK
YOU VERY MUCH THANK YOU AND I
THINK THIS CONCLUDES SOME.
THE BILLS THAT WE NEED TO CALL
MISS MITCHELL I BE THERE ALL AND
HEALTH COMMITTEE.
IF YOU LIKE ENTERTAIN A MOTION
ON MISTER CALDERON IS BILL.
ABSOLUTION [inaudible]
I'M SORRY.
WE HAVE A MOTION ON MISTER
CALDERON.
ARE WE HAVE A MOTION FOR A. B.
TEN NINETY NINE CALDERON --
PLEASE CALL THE ROLL.
RUBIO AYE RUBIO AYE JONES.
JONES I ARCHULETA.
ARCHULETA IBEATS [inaudible] FOR
JUST. EIGHT I DODD.
DODD AYE GALGIANI GALGIANI AYE
GLAZER HUESO.
HUESO AYE MITCHELL MORE LOCK.
MORE LIKE I PORTANTINO ROTH
[inaudible]
OKAY.
AB TEN NINETY NINE CALDERON.
ITEM NUMBER.
TWO CURRENT VOTE IS.
EIGHT ZERO HI TO PASS TO
JUDICIARY COMMITTEE.
I'M SORRY CAN WE I'M SORRY CAN
WE KEEP OUR VOICES DOWN -- WE
STILL HAVE -- MISTER ROB HAS
JOINED US AND WE LIKE TO DIE --
CALL THE ROLL PLEASE CALL THE
ROLL ITEM NUMBER TWO ROTH
[inaudible]
ROTH I THE BILL AB TEN NINETY
NINE CALDERON AS NINES IT AS
YOUR OLD A WILL REMAIN ON CALL.
ITEM NUMBER ONE CURRENT VOTE IS.
EIGHT ZERO DO PASSED THE SENATE
APPROPRIATIONS ROTH.
ROTH AYE.
IT WILL REMAIN ON CALL THAT IS.
NINE ZERO ITEM NUMBER THREE AB
TWELVE ON THAT LAST.
ONE CAN WE COMMENTED PORTANTINO
OUT SEE WE CAN.
ITEM NUMBER ONE CURRENT VOTERS
NINETY ZERO TO PASS SENATE
APPROPRIATIONS AB SEVEN FORTY
MITCHELL [inaudible]
MITCHELL I MR.
GLAZER WE CAN DO IT ALL TOGETHER
[inaudible]
GLAZER [inaudible]
OKAY [inaudible]
YEAH OKAY [inaudible]
YES.
ITEM NUMBER ONE EIGHTY SEVEN
FORTY TWO PASSED THE SENATE
APPROPRIATIONS [inaudible]
GLAZER.
ITEM NUMBER [inaudible]
ONE EIGHTY SEVEN FORTY GLAZER I
THE BILL IS ELEVEN ZERO IT WILL
REMAIN ON CONFIRMATION
PORTANTINO.
ITEM NUMBER TWO AB TEN NINETY
NINE IT PASSED THE SENATE
JUDICIARY CURRENT VOTERS NINE
ZERO MITCHELL [inaudible]
CHAU I ROTH.
GLAZER AYE GLAZER AYE.
CALLS ON THE MISSOURI.
THE BILL IS ELEVEN ZERO IT WILL
REMAIN ON CALL.
ITEM NUMBER THREE AB TWELVE A
NINETY PASSED THE SENATE
APPROPRIATIONS.
GLAZER AYE GLAZER AYE MITCHELL.
MITCHELL AYE ROTH.
RUSSIAN BROTHERS ON THEIR LIST.
NOT BILLS ONLINE ZERO IT WILL
REMAIN ON CALL.
IN ANY OF THE I NEED.
TO THE LEGISLATIVE MISTER HE'S
IN SENATE.
RIGHT. ONE OF HIS.
I'M IN EDUCATION