CA Ins Code Section 134


(a)

A purchasing group that intends to do business in this state shall, prior to doing business, furnish to the commissioner notice, which shall do the following:

(1)

Identify the state in which the group is domiciled.

(2)

Specify the lines and classifications of liability insurance that the purchasing group intends to purchase.

(3)

Identify the insurance company or companies from which the group intends to purchase its insurance and the domicile of that company.

(4)

Specify the method by which, and the person or persons, if any, through whom, insurance will be offered to its members whose risks are resident or located in this state.

(5)

Identify the principal place of business of the group.

(6)

Provide other information that may be required by the commissioner to verify that the purchasing group is qualified under subdivision (i) of Section 130.

(b)

The purchasing group shall register with and designate the commissioner as its agent solely for the purpose of receiving service of legal documents or process, for which a filing fee in the amount of three hundred dollars ($300) shall be submitted to the commissioner for deposit in the Risk Retention Administration Account within the Insurance Fund, except that these requirements do not apply in the case of a purchasing group that did all of the following:

(1)

Was domiciled before April 1, 1986, and is domiciled on and after October 27, 1986, in any state of the United States.

(2)

Before October 27, 1986, purchased insurance from an insurance carrier licensed in any state, and since October 27, 1986, purchased its insurance from an insurance carrier licensed in any state.

(3)

Was a purchasing group under the requirements of the Product Liability Risk Retention Act of 1981 (15 U.S.C. Sec. 3901 et seq.) before October 27, 1986.

(4)

Does not purchase insurance that was not authorized for purposes of an exemption under that act, as in effect before October 27, 1986.

(c)

Any purchasing group that was doing business in this state prior to the enactment of this chapter shall, within 30 days after January 1, 1990, furnish notice to the commissioner pursuant to subdivision (a) and furnish information that may be required pursuant to subdivisions (b) and (c).

(d)

Each purchasing group that is required to give notice pursuant to subdivision (a) shall also furnish information that may be required by the commissioner to:

(1)

Verify that the entity qualifies as a purchasing group.

(2)

Determine where the purchasing group is located.

(3)

Determine appropriate tax treatment.

(4)

Verify that the purchasing group is in compliance with this chapter.

(e)

Any purchasing group that intends to do business in this state shall make its initial registration by submitting to the commissioner the materials listed in subdivision (a). The registration is valid until December 31 of the year in which it was made, as long as the purchasing group is in compliance with this chapter. To maintain the registration, the purchasing group shall continue to comply with this chapter. Additionally, the purchasing group shall file the following documents with the commissioner on or before January 31 of each year:

(1)

An annual reporting statement on a form prescribed by the commissioner.

(2)

An annual renewal fee, to be determined by the commissioner, limited to the actual cost of administering this section, not to exceed two hundred dollars ($200).

(3)

Any other information required by the commissioner to determine whether the purchasing group is in compliance with this chapter or other applicable provisions of this code.

(f)

The purchasing group shall notify the commissioner in writing of any changes in the information provided according to subdivision (a) within 30 days of the effective date of the change.
Last Updated

Aug. 19, 2023

§ 134’s source at ca​.gov