California Insurance Code

§ 791.12

INS § 791.12 Effective Jan 1, 2013Div. 1 · Part 2 · Ch. 1 · Art. 6.6

Statute text

No insurance institution or agent may base an adverse underwriting decision in whole or in part on the following:

(a)On the fact of a previous adverse underwriting decision or on the fact that an individual previously obtained insurance coverage through a residual market mechanism; provided, however, an insurance institution or agent may base an adverse underwriting decision on further information obtained from an insurance institution or agent responsible for a previous adverse underwriting decision. The further information, when requested, shall create a conclusive presumption that the information is necessary to perform the requesting insurer’s function in connection with an insurance transaction involving the individual and, when reasonably available, shall be furnished the requesting insurer and the individual, if applicable.

(b)On personal information received from an insurance-support organization whose primary source of information is insurance institutions; provided, however, an insurance institution or agent may base an adverse underwriting decision on further personal information obtained as the result of information received from an insurance-support organization.

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Legislative history

Amended by Stats. 2012, Ch. 823, Sec. 3. (AB 2298) Effective January 1, 2013.