Bill Text: CA AB1551 | 2011-2012 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Housing.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Passed) 2012-09-25 - Chaptered by Secretary of State - Chapter 555, Statutes of 2012. [AB1551 Detail]

Download: California-2011-AB1551-Introduced.html

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BILL NUMBER: AB 1551	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Torres

                        JANUARY 26, 2012

   An act to amend Sections 488.5 and 557.5 of the Insurance Code,
and to amend Section 16051 of the Vehicle Code, relating to
insurance.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1551, as introduced, Torres. Insurance: public safety
employees: accidents.
   Existing law provides that no insurer shall, in issuing or
renewing a private automobile insurance policy to a peace officer,
member of the Department of the California Highway Patrol, or
firefighter, with respect to his or her operation of a private motor
vehicle, increase the premium on that policy for the reason that the
insured or applicant for insurance has been involved in an accident
while operating an authorized emergency vehicle, as defined, in the
performance of his or her duty during the hours of his or her
employment.
   This bill would also provide that no insurer shall, in issuing or
renewing a private automobile insurance policy to a peace officer,
member of the Department of the California Highway Patrol, or
firefighter, with respect to his or her operation of a private
passenger motor vehicle, increase the premium on that policy for the
reason that the insured or applicant for insurance has been involved
in an accident while operating his or her private passenger motor
vehicle in the performance of his or her duty at the request or
direction of the employer.
   Existing law provides that a peace officer, member of the
Department of the California Highway Patrol, or firefighter shall not
be required to report any accident in which he or she is involved
while operating any employer-leased or employer-rented vehicle, in
the performance of his or her duty during the hours of his or her
employment, to any person who has issued that peace officer, member
of the Department of the California Highway Patrol, or firefighter a
private automobile insurance policy.
   This bill would additionally provide that a peace officer, member
of the Department of the California Highway Patrol, or firefighter
shall not be required to report, and the employer of the same may not
request or require that a peace officer, member of the Department of
the California Highway Patrol, or firefighter report, any accident
in which he or she is involved while operating a private passenger
motor vehicle at the request or direction of his or her employer in
the performance of the employee's duty to any person who has issued
that peace officer, member of the Department of the California
Highway Patrol, or firefighter a private automobile insurance policy.

   The bill would also provide that in the event of a loss or injury
that occurs during any time period when the vehicle is operated at
the request or direction of the employer in the performance of the
employee's duty, the vehicle's owner shall have no liability, and the
employer shall be considered the owner of the vehicle for liability
purposes. The bill would require that a good faith delay by an
employee in reporting the accident to his or her private passenger
motor vehicle liability insurer, under the circumstances described,
cannot be used by the insurer as a basis to claim delayed reporting,
noncooperation, prejudice, or the like as a means of avoiding the
defense or indemnity obligations that would otherwise exist under the
terms of the automobile liability insurance policy or applicable law
in the absence of delayed reporting.
   The bill would make conforming changes relating to proof of
financial responsibility, in the event of an accident involving a
private passenger motor vehicle operated on behalf of a public
agency.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 488.5 of the Insurance Code is amended to read:

   488.5.  (a)  No   An  insurer shall 
not  , in issuing or renewing a private automobile insurance
policy to a peace officer, member of the  Department of the 
California Highway Patrol, or firefighter, with respect to his or
her operation of a private  passenger  motor vehicle,
increase the premium on that policy for the reason that the insured
or applicant for insurance has been involved in an accident while
operating an authorized emergency vehicle, as defined in subdivision
(a) or (f) of Section 165 of the Vehicle Code or in paragraph (1) or
(2) of subdivision (b) of Section 165 of the Vehicle Code,  or
any employer-leased vehicle or employer-rented vehicle,  in the
performance of his or her duty during the hours of his or her
employment  , or was involved in an accident while operating his
or her private passenger motor vehicle in the performance of his or
her duty at the request or direction of the employer  .
   (b)  No   An    insurer shall
 not  , in issuing or renewing a private automobile
insurance policy to a federal officer or federal customs agent, with
respect to his or her operation of a private motor vehicle, increase
the premium on that policy for the reason that the insured or
applicant for insurance has been involved in an accident while
operating an official government vehicle in the performance of his or
her duty during the hours of his or her employment.
   (c) As used in this section:
   (1) "Peace officer" means every person defined in Chapter 4.5
(commencing with Section 830) of Title 3 of Part 2 of the Penal Code.

   (2) "Policy" shall have the same meaning as defined in subdivision
(a) of Section 660.
  SEC. 2.  Section 557.5 of the Insurance Code is amended to read:
   557.5.   No   (a)     A
 peace officer, member of the  Department of the 
California Highway Patrol, or firefighter shall  not  be
required to  report any   report, nor shall any
employer of the same be authorized to request or require that a peace
officer, member of the Department of the   California
Highway Patrol, or firefighter report, any  accident in which he
or she is involved while operating an authorized emergency vehicle,
as defined in subdivision (a), (b), or (f) of Section 165 of the
Vehicle Code,  or  any employer-leased or
employer-rented  vehicle in the performance of his or her
duty during the hours of his or her employment,  
vehicle, or any private passenger motor vehicle that is owned,
leased, or rented by the employee, if operated at the request or
direction of the employer in the performance of the employee's duty
 to any person who has issued that peace officer, member of the
 Department of the  California Highway Patrol, or
firefighter a private automobile insurance policy. 
   (b) (1) Notwithstanding any other provision of law or any
provision in a private passenger motor vehicle owner's automobile
liability insurance policy, in the event of a loss or injury that
occurs during any time period when the vehicle is operated at the
request or direction of the employer in the performance of the
employee's duty, the vehicle's owner shall have no liability. The
employer shall be considered the owner of the vehicle for the purpose
of Section 17150 of the Vehicle Code, and any losses shall be borne
solely by the employer.  
   (2) Notwithstanding any other provision of law, the employer shall
assume liability for a claim in which a dispute exists as to whether
the employer directed or requested the employee to use the private
passenger motor vehicle when the loss occurred that gave rise to the
claim. The private passenger motor vehicle insurer that insures the
vehicle shall reimburse the employer to the extent of the insurer's
obligation under the applicable automobile liability insurance policy
if it is subsequently determined that the employer did not direct or
request the employee to use the private passenger motor vehicle when
the loss occurred that gave rise to the claim.  
   (3) A good faith delay by an employee in reporting the accident to
his or her private passenger motor vehicle liability insurer, under
the circumstances described in this section, shall not be used by the
insurer as a basis to claim delayed reporting, noncooperation,
prejudice, or the like as a means of avoiding the defense or
indemnity obligations that would otherwise exist under the terms of
the automobile liability insurance policy or applicable law in the
absence of delayed reporting.  
    As 
    (c)     As  used in this section:

   (a) 
    (1)  "Peace officer" means every person defined in
Chapter 4.5 (commencing with Section 830) of Title 3 of Part 2 of the
Penal Code. 
   (b) 
    (2)  "Policy" shall have the same meaning as defined in
subdivision (a) of Section 660. 
   (3) "Private passenger motor vehicle" or "private motor vehicle"
means a motor vehicle that is insured under a personal automobile
liability insurance policy insuring a single individual or
individuals residing in the same household as the named insured, but
does not include a vehicle with less than four wheels. 
  SEC. 3.  Section 16051 of the Vehicle Code is amended to read:
   16051.   (a)    Evidence may be established by
filing a report indicating that the motor vehicle involved in the
accident was owned, rented, or leased by or under the direction of
the United States, this state, or any political subdivision of this
state or municipality thereof. 
   (b) Evidence may be established by filing a report indicating that
the motor vehicle involved in the accident was owned and operated by
a peace officer, member of the Department of the California Highway
Patrol, or firefighter in the performance of his or her duty, and at
the request of or under the direction of the United States, this
state, or any political subdivision or municipality of this state.