Bill That Would Extend CIGA Request to Issue Bonds Heads to Governor's Desk

A bill that would extend the deadline for the California Insurance Guarantee Association to ask the state Infrastructure and Economic Development Bank to issue bonds to cover claims arising from the insolvencies of workers’ compensation carriers is headed to the governor’s desk. Assembly Bill 1541 would extend the deadline to Jan. 1, 2026. Current law requires that any bonds should be issued before Jan. 1, 2023. The Senate on Aug. 30 passed AB 1541 by a 39-0 vote. Prior to that, the Assembly passed the bill 77-0 on May 5. AB 1541 originated in the Assembly Insurance Commit...