CIGA Bill on Schwarzenegger's Desk

A bill that would extend the borrowing authority of the California Insurance Guarantee Association (CIGA) for two years has passed the Legislature and is on Gov. Arnold Schwarzenegger's desk for final approval. The state Assembly on June 29 voted 39-0 to approve Assembly Bill 3072 by the Assembly Insurance Committee. The bill would extend CIGA's authority to issue bonds until Jan. 1, 2009. The Legislature authorized CIGA to borrow up to $1.5 billion in 2003, but that authority expires on Jan. 1, 2007. The guarantee fund so far has borrowed only half of the money allotted to it and b...