Bill Proposes to Simplify CIGA Assessment Practices

A bill amended last week attempts to simplify how the California Insurance Guarantee Association assesses insurance companies. Assemblyman Ken Cooley, D-Rancho Cordova, on March 17 amended AB 2710 to include language that would eliminate a law requiring carriers to recover from policyholders the amount of assessments paid to CIGA over a reasonable period of time. Starting Jan. 1, 2017, the bill would require carriers to recover CIGA assessments in the year immediately following the payment of those surcharges. The bill would also require carriers file a report with CIGA indicating h...