California’s Insurance coverage Commissioner Is In search of Modifications to The Intervenor Course of

California Insurance coverage Commissioner Ricardo Lara on Friday introduced he needs to make sure reforms to the state’s insurance coverage legislation, Proposition 103, together with altering the controversial intervenor course of.

Prop. 103, handed by voters in 1988, is the state’s bedrock insurance coverage legislation that outlines what can and might’t be included in charge filings. The intervenor apply is a part of the submitting course of, through which outdoors teams can take part in charge hearings on behalf of shoppers and cost a charge for his or her companies.

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In accordance with Lara, some stakeholders have expressed issues that the method lacks transparency, is dominated by a small variety of recurring members and might result in delays and extra prices for shoppers and taxpayers.

Probably the most prolific intervenors is Shopper Watchdog, whose founder authored Prop. 103. The group has been reached out to for remark.

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Lara stated the proposed modifications will make clear how intervenor participation is evaluated and compensated, making certain that buyers, policyholders, and taxpayers solely fund the contributions to the general public curiosity. They may even make the method extra open and accessible, stopping any single group from monopolizing the method, in response to Lara.

Modifications would come with:

• Clarifying the “substantial contribution” customary for intervenor compensation.
• Requiring public reporting on intervenor exercise and compensation.
• Establishing timelines and tasks for administrative legislation judges, together with necessary 30-day standing updates on pending instances to the general public.
• Requiring the California Division of Insurance coverage to put up public paperwork on-line – together with listening to calendars and choices – making them accessible to all Californians and changing outdated bodily viewing rooms.

“Customers are pissed off with hidden charges, particularly when insurance coverage prices are already exorbitant and unaffordable for a lot of. California’s insurance coverage disaster calls for robust choices and accountability from everybody concerned – insurance coverage corporations, intervenors, and the Division itself,” Lara said. “To stabilize our market, we want a charge evaluation system that delivers well timed, truthful, correct, and thorough choices, reasonably than one which will get slowed down in course of or delays actual options.”

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California