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ASSEMBLY BILL 1214 (KATZ 1989)

CHAPTER 646, STATUTES OF 1989

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Insurance Code section 1707 was amended and section 1704.5 was added to the Insurance Code in 1989 following legislative passage of Assembly Bill 1214, which affected these two sections only.  (See Exhibit #1e)  Assembly Bill 1214 was introduced on March 3, 1989 by Assembly member Richard Katz at the request of the Association of California Life Insurance Companies.  (See Exhibits #1a and #9, document A-3) 

 

Assembly bill 1214 was assigned to the Assembly Committee on Finance and Insurance and the Senate Committee on Insurance, Claims and Corporations where policy issues raised by the bill were considered.  (See Exhibits #3 and #5)  There were three amendments made to Assembly Bill 1214 as the bill was reviewed by both houses.  (See Exhibits #1b, #1c, #1d and #2)

 

Subsequent to legislative approval, Governor George Deukmejian signed the bill on September 21, 1989.  (See Exhibits #1e and #2)  The bill was recorded by the Secretary of State on September 22, 1989 as Chapter 646 of the Statutes of 1989.  (Id.)

 

The Consent analysis of Assembly Bill 1214 as last amended that was prepared by the Office of Senate Floor Analyses described this bill as follows:

 

DIGEST:  This bill authorizes life insurance agents to place applications for life insurance coverage with an insurance company without the agent possessing an appointment with that insurance company. . . .

(See Exhibit #7, page 1)