New State Laws Aim to Stop Fraud, Expanding Access to Insurance

Jan. 1, 2023, saw several new laws take effect, including some aimed at expanding insurance access and combating fraud. the insurance cost. If you’ve been trying to find accident insurance for your home or received calls about your extended car, it can help.

Accident insurance is hard to come by for some homeowners in the state. That’s why there are many programs planned to try to expand the opportunities. This law authorizes the creation of Climate Conservation Districts throughout the state.

The California Department of Insurance (CDI) says these districts can “help communities reduce risk before a disaster and improve recovery.” Each province will be able to implement projects to help protect communities, reduce the risk of natural disasters with the aim of expanding opportunities. insurance.

Another rule that can help people who may have bought insurance they didn’t need or that turned out to be fake. SB 1040 authorizes the Commissioner of Insurance to order reimbursement from individuals who purchased insurance without proper state licensing. This includes the so-called “extended vehicle warranty” which is illegally sold over the phone.

In July, NBC 7 Respond tells you how an insurance agent was accused of stealing tens of thousands of dollars from a client. Since then, CDI has brought other charges against many other agents in the state.

This new law seeks to help combat fraud. SB 1242 clarifies anti-fraud training requirements for agents and brokers. It also explains how to report alleged fraud to CDI.

These three laws are just a few of the new laws aimed at protecting Californians from insurance problems. You can learn more on the CDI website here.

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