Current through Register 2021 Notice Reg. No. 52, December 24, 2021
(a) Each insurer will be assessed and will
pay a fee of twenty-five ($.25) cents per vehicle for each quarter of a
calendar year or any part thereof that it insures under a policy of insurance
issued in this state. The assessment shall be made as provided in paragraph (b)
of this section.
Commissioner will invoice for the assessment specified in subsection (a)
quarterly. The assessment shall be due on each vehicle, identified by its
vehicle identification number for each quarter that a policy is in force on
such vehicle and when a vehicle is added to or replaces one under an existing
policy. Each quarterly assessment payment shall be submitted with a
certification by an Officer of the insurer, under penalty of perjury under the
laws of the State of California, that the number of vehicles reported therein
is accurate and has been calculated in conformity with these regulations. The
insurer shall, on request by the Commissioner, provide verification of the
number of vehicles insured under a policy of insurance.
Subject to the prior written approval of
the department, an insurer may use a method to identify the vehicles subject to
this assessment other than provided in subsection (b) if, prior to using such
methodology, the insurer:
that it can not identify the vehicles it insures in this state by their
individual vehicle identification number;
(2) submits a detailed description of
the proposed alternative method is as accurate a method as that described in
subsection (b) of this section, and
(4) agrees to use any method approved under
this subsection until another method may otherwise be approved in writing by
order to verify of the number of vehicles for which an assessment is due and
has been paid under this section, each insurer shall maintain a file known as
the Automobile Assessment File. The Auto Assessment File shall contain the
vehicle identification, policy number and transaction date for every vehicle
for which a policy of insurance was in force for each quarter or any part
thereof. For group insurers, the information shall be maintained on an
individual company basis. The data shall be kept in a computer format that
allows for the insurer to place each calender year quarter data on a computer
media format in a format specified by the Commissioner. The data in the file
shall be kept for a minimum of five years after each calendar year
A separate assessment
need not be paid on a vehicle insured on:
A renewal policy issued within the same quarter of a calendar year, on the same
vehicle by the same insurer or insurer with the same group.
(2) A multi-peril, umbrella or excess
coverage policy where the vehicle is already covered under a primary
(3) A road-side or
mechanical breakdown policy that does not provide coverage for collision or
other-than-collision (comprehensive) losses.
(4) A vehicle for which a policy has been
written but was not put in force.
(f) Payment of the assessment shall be
considered delinquent if not paid by the insurer within forty-five (45) days of
the invoice date. Any amount not paid within this period shall be charged a
late fee in accordance with CIC section 12995.
(g) Notwithstanding subdivision (a) of this
section, if the Commissioner determines that the amount to be collected will
exceed the amount to be expended from the annual Budget Act appropriation to
fund the program under this article, the Commissioner may discount the amount
of the assessment to be collected to more closely meet the expenditures
authorized by the annual Budget Act.
Cal. Code Regs. Tit.
Note: Authority cited: Section
Insurance Code;CalFarm Insurance Company et al. v. Deukmejian, et al. (1989) 48
Cal.3d 805, 824. Reference: Sections
1. New section filed
10-8-93; operative 11-7-93 (Register 93, No. 41).
2. Repealer and
new section and amendment of Note filed 10-12-2001; operative 11-11-2001
(Register 2001, No. 41).
3. Editorial correction of subsections
(a), (c) and (e) (Register 2001, No. 45).
4. Repealer of
subsections (a)-(b), new subsections (a)-(d), subsection relettering, amendment
of newly designated subsections (e) and (f) and new subsection (e)(4) filed
6-3-2005; operative 7-3-2005 (Register 2005, No.