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<ns0:Id>20250AB__183398AMD</ns0:Id>
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<ns0:Action>
<ns0:ActionText>INTRODUCED</ns0:ActionText>
<ns0:ActionDate>2026-02-11</ns0:ActionDate>
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<ns0:Action>
<ns0:ActionText>AMENDED_ASSEMBLY</ns0:ActionText>
<ns0:ActionDate>2026-03-16</ns0:ActionDate>
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<ns0:SessionYear>2025</ns0:SessionYear>
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<ns0:AuthorText authorType="LEAD_AUTHOR">Introduced by Assembly Member McKinnor</ns0:AuthorText>
<ns0:Authors>
<ns0:Legislator>
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<ns0:House>ASSEMBLY</ns0:House>
<ns0:Name>McKinnor</ns0:Name>
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<ns0:Title> An act to add Article 10.5 (commencing with Section 1861.5) to Chapter 9 of Part 2 of Division 1 of the Insurance Code, relating to vehicles. </ns0:Title>
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<ns0:GeneralSubject>
<ns0:Subject>Consumer Driving Data Protection Act of 2026.</ns0:Subject>
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The Insurance Rate Reduction and Reform Act of 1988, an initiative measure enacted by Proposition 103, as approved by the voters at the November 8, 1988, statewide general election, prohibits specified insurance rates from being approved or remaining in effect that are excessive, inadequate, unfairly discriminatory, or otherwise in violation of the act. Under the act, rates and premiums for automobile insurance are determined based on specified factors, including the insured’s driving safety record. Existing law authorizes the provisions of Proposition 103 to be amended by a statute that furthers the purposes of the act and is enacted by the Legislature with a
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<ns0:Numerator>2</ns0:Numerator>
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vote.
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<html:p>This bill, the Consumer Driving Data Protection Act of 2026, would authorize a consumer to opt to use telematics to establish their driving record, thus amending Proposition 103. The bill would prohibit the use of telematics data for a purpose other than rating private passenger automobile insurance. The bill would require a rate application under which telematics would be used to establish an insured’s driving record to include specified materials related to the insurer’s telematics program. This bill would prohibit an insurer that uses telematics from taking specified actions, including conditioning eligibility for a discount upon participation in a telematics program, unless the discount is approved by the commissioner. The bill would also set forth consent and privacy requirements for the collection and use of telematics data. The bill would authorize the commissioner to impose specified penalties for violations of the bill’s provisions, including civil penalties
and suspension of an insurer’s telematics program. The bill would declare that its provisions further the purposes of Proposition 103.</html:p>
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<ns0:VoteRequired>TWO_THIRDS</ns0:VoteRequired>
<ns0:Appropriation>NO</ns0:Appropriation>
<ns0:FiscalCommittee>YES</ns0:FiscalCommittee>
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<ns0:Bill id="bill">
<ns0:Preamble>The people of the State of California do enact as follows:</ns0:Preamble>
<ns0:BillSection id="id_01FE7728-156D-421A-868F-385AAAFBB922">
<ns0:Num>SECTION 1.</ns0:Num>
<ns0:Content>
<html:p>This act shall be known, and may be cited, as the Consumer Driving Data Protection Act of 2026.</html:p>
</ns0:Content>
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<ns0:BillSection id="id_63D1B382-9EA0-499B-8610-533297402B20">
<ns0:Num>SEC. 2.</ns0:Num>
<ns0:Content>
<html:p>The Legislature finds and declares all of the following:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
The Insurance Rate Reduction and Reform Act of 1988, an initiative measure enacted by Proposition 103, as approved by the voters at the November 8, 1988, statewide general election (Proposition 103), established a prior approval system for private passenger automobile insurance rates and specified the following mandatory rating factors in order of importance:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Driving safety record.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Annual miles driven.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Years of driving experience.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Those factors that the commissioner may adopt by regulation and that have substantial relation to the risk of loss.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
Proposition 103’s regulations permit an insurer to use a voluntary verified actual mileage program to offer discounts based on the second mandatory factor. The regulations do not permit using driving behavior or other telematics data as a rating factor.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
California seeks to modernize its insurance regulatory system by adopting a telematics framework consistent with the protections of Proposition 103. It is the intent of the Legislature to authorize voluntary telematics-based discount programs that (1) do not
alter the mandatory rating factor hierarchy established under Section 1861.02 of the Insurance Code and (2) are adopted as a “driving record” under the first mandatory factor and are a voluntary consumer choice alternative to the Department of Motor Vehicles motor vehicle record, which has been the only form of driving information allowable for rating purposes since Proposition 103 passed almost 40 years ago.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
The purpose of this act is to provide statutory guidance for the voluntary collection, use, analysis, retention, and disclosure of telematics data in private passenger automobile insurance rating, while ensuring actuarial integrity, promoting fairness, preserving regulatory oversight, and safeguarding strong fundamental consumer privacy rights.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
Motor vehicles increasingly generate large volumes of sensitive driving data, and insurers and third-party telematics
providers now possess unprecedented technological capabilities to collect and analyze that data.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
Ensuring fairness, transparency, and accountability in the use of telematics data is essential to maintaining public trust in the insurance marketplace and preventing the emergence of hidden or unregulated rating factors.
</html:p>
<html:p>
(g)
<html:span class="EnSpace"/>
Consumers have a fundamental interest in controlling their personal driving data, including the right to know what is collected, how it is used, and with whom it is shared.
</html:p>
<html:p>
(h)
<html:span class="EnSpace"/>
Strong privacy and data security standards are necessary to protect consumers from unauthorized access, misuse, or commercial exploitation of telematics data by insurers, third-party telematics providers, or other
parties.
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
A clear statutory framework governing telematics programs will promote innovation, improve existing safety incentives, and highlight for consumers the connection between the environmental benefits of driving fewer miles with lower automobile insurance premiums, while ensuring that new technologies operate within the consumer protection principles established by California law.
</html:p>
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<ns0:BillSection id="id_6919A992-6B90-453E-ADB3-DEB9CF97A387">
<ns0:Num>SEC. 3.</ns0:Num>
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Article 10.5 (commencing with Section 1861.5) is added to Chapter 9 of Part 2 of Division 1 of the
<ns0:DocName>Insurance Code</ns0:DocName>
, to read:
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<ns0:LawHeading id="id_46321B33-3FC7-4FC9-8D17-ECEDF506AF8B" type="ARTICLE">
<ns0:Num>10.5.</ns0:Num>
<ns0:LawHeadingVersion id="id_D39F9615-119F-4A42-95AD-808A0B21C31C">
<ns0:LawHeadingText>Telematics and Usage-Based Insurance Programs</ns0:LawHeadingText>
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<ns0:LawSection id="id_1E693085-FE87-46EF-9A3D-3CD27418AC6E">
<ns0:Num>1861.5.</ns0:Num>
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<ns0:Content>
<html:p>For purposes of this article:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
“Consent” means a freely given, specific, informed, and unambiguous indication of the consumer’s wishes by which the consumer, or the consumer’s legal guardian, a person who has power of attorney, or a person acting as a conservator for the consumer, including by a statement or by a clear affirmative action, signifies agreement to the processing of telematics data relating to the consumer for a narrowly defined particular purpose. Consent shall be voluntary, informed, affirmative, stand-alone consent provided by the subject consumer before the collection or use of telematics data.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
“Consumer authorization” means the manner in which consumer consent is obtained
and documented.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
“Scoring model” means a computational, statistical, actuarial, or algorithmic methodology capable of evaluating telematics data, or the inferences derived from those methodologies, to generate a numerical score or predictive assessment used directly or indirectly in rating automobile insurance.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
“Telematics” means technology that uses vehicle devices, connected devices, mobile applications, embedded systems, or other technological means to collect, transmit, and analyze objectively measurable data for private passenger automobile insurance rating. Telematics shall not include the collection of nondriving-related personal information.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
“Telematics data” means information electronically collected, transmitted, or derived that reflects the operation, mileage, or use of a motor vehicle,
including speed, acceleration, braking, time of operation, and distance traveled. Telematics data does not include nondriving-related personal information.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
“Telematics program” means a program operated by an insurer or third-party telematics provider that collects, receives, analyzes, or uses telematics data for rating.
</html:p>
<html:p>
(g)
<html:span class="EnSpace"/>
“Third-party telematics provider” means an entity, including an affiliate of an insurer, that collects, stores, discloses, processes, or analyzes telematics data used in the business of insurance.
</html:p>
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</ns0:LawSection>
<ns0:LawSection id="id_2C6875C4-832D-4A55-9945-5C5EB3B62A5D">
<ns0:Num>1861.51.</ns0:Num>
<ns0:LawSectionVersion id="id_A145B282-E4AA-4D1C-B81A-A4EB8E1E1BC2">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
A consumer may opt to use telematics to establish their driving record for purposes of paragraph (1) of subdivision (a) of Section 1861.02. Participation in a telematics program shall be strictly voluntary.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
An insurer that uses telematics shall not do any of the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Require participation in a telematics program as a condition of obtaining or renewing coverage.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Penalize, surcharge, or otherwise adversely underwrite a consumer who declines to participate in a telematics program.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Condition eligibility for a discount upon
participation in a telematics program, unless the discount is approved by the commissioner.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Increase premium in increments of less than six months from the date the policy goes into effect.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
A consumer may revoke consent for participation in a telematics program at any time. That revocation shall be effective immediately.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
An insurer that uses telematics shall establish a process by which the consumer may appeal data collected through the telematics program that the consumer believes is incorrect, or appeal the application of a rating factor to the consumer. The commissioner may adopt regulations pertaining to insurer dispute resolution programs.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
A dispute relating to the collection of telematics data via a mobile device shall be resolved
in favor of the consumer.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_2E98D757-7AB0-49A2-B21D-6F01C7A8BD21">
<ns0:Num>1861.52.</ns0:Num>
<ns0:LawSectionVersion id="id_CB52F0F2-E63C-4FF2-8F46-8D1C68D6C917">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
An insurer or third-party telematics provider shall not do any of the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Collect or use telematics data without obtaining and documenting prior consumer consent in writing.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Collect or use telematics data that predates the consumer authorization required by this section, including from a third-party telematics provider.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Collect or use telematics data for underwriting, claims, marketing, or any purpose other than rating of private passenger automobile insurance policies pursuant to Sections 660, 661, and 1861.02.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Share or
disclose telematics data to a person, other than a third-party telematics provider under contract to provide telematics services to the insurer.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
Sell or obtain valuable consideration in connection with the disclosure of telematics data.
</html:p>
<html:p>
(6)
<html:span class="EnSpace"/>
Undertake any other prohibited acts specified by the commissioner in regulation.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
Consumer authorization shall be all of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Written in clear, plain language easily understood by the consumer.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Free from any feature or characteristic that may confuse a consumer or impair the consumer’s ability to freely express the consumer’s preference. It shall be equally easy for a consumer to opt out of a telematics
program as it is to opt in, and ready means shall be provided for a consumer to opt out of a telematics program once the consumer has opted in.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Provided to the department with the rate application seeking to apply telematics to establish an insured’s driving record.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
(A)
<html:span class="EnSpace"/>
An insurer shall not disclose to a third party any telematics data that is or may be linked to a consumer, other than is necessary to provide the service.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Notwithstanding subparagraph (A), an insurer may disclose telematics data that identifies a consumer, pursuant to subpoena or other legally enforceable process. An insurer shall provide written notice to the consumer before disclosing personally identifiable information pursuant to this subparagraph.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
The consumer authorization document shall disclose all of the following, at a minimum:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
All categories of telematics data to be collected from the consumer.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The specific devices, methods, and sources that shall be used to collect telematics data from the consumer. The disclosure shall specifically state if audio or visual recordings of the occupants of the vehicle may be taken as part of the insurer’s telematics program.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The specific purpose for which the telematics data will be used.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
If and how the telematics data will affect premiums.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
The identity of a third-party telematics provider that may access the consumer’s telematics data.
</html:p>
<html:p>
(6)
<html:span class="EnSpace"/>
The duration of telematics data retention.
</html:p>
<html:p>
(7)
<html:span class="EnSpace"/>
The consumer’s right to access the consumer’s telematics data, the process to access the consumer’s telematics data, and the process to request correction of incorrect telematics data.
</html:p>
<html:p>
(8)
<html:span class="EnSpace"/>
The consumer’s right to revoke authorization at any time.
</html:p>
<html:p>
(9)
<html:span class="EnSpace"/>
The consumer’s right to appeal the application of rates developed using telematics data or the accuracy of underlying telematics data.
</html:p>
<html:p>
(10)
<html:span class="EnSpace"/>
Additional disclosures specified by the commissioner in regulation.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
An insurer shall provide a requesting consumer with access to the consumer’s telematics data and a clear explanation of
how the data contributed to a rating determination or any other insurer decision that impacted the consumer and that relied upon or was informed by telematics data.
</html:p>
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</ns0:LawSection>
<ns0:LawSection id="id_4B873C2E-F038-4D4D-AA59-3BE0D9E7D7CF">
<ns0:Num>1861.53.</ns0:Num>
<ns0:LawSectionVersion id="id_47AAAAFC-7043-41EC-A7AE-8ADF60D41C78">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
Advertising materials relating to the insurer’s private passenger automobile insurance products shall clearly state that both telematic and traditional insurance products are available to the consumer.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
When advertising rates or savings, or providing a quote to a consumer, an insurer shall clearly indicate the rates or savings related to participation in the insurer’s telematics program, and shall provide a comparison rate from an equivalent traditional product offered by the insurer.
</html:p>
</ns0:Content>
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</ns0:LawSection>
<ns0:LawSection id="id_709C5AD0-2AE7-469C-82F9-FCDF227B2095">
<ns0:Num>1861.54.</ns0:Num>
<ns0:LawSectionVersion id="id_3638E921-6112-4EFB-9E4C-EC3683382D37">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
Telematics data shall be used only for rating for private passenger automobile insurance, as described in subdivision (a) of Section 660 and paragraph (1) of subdivision (a) of Section 1861.02.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The insurer shall obtain prior consumer authorization before the collection or use of telematics data.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
Telematics data shall qualify as a “driving safety record” and shall not be used as a proxy for anything else.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_A36F42CC-DB2C-4E6B-B03C-BFA61383B9FC">
<ns0:Num>1861.55.</ns0:Num>
<ns0:LawSectionVersion id="id_90870542-DF58-435A-911A-0DDF0ED17635">
<ns0:Content>
<html:p>A rate application under which telematics shall be used to establish an insured’s driving record shall be deemed complete only if the insurer submits to the commissioner the following materials related to the insurer’s telematics program:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
A complete description of the telematics program.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
All telematics data elements collected.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
All scoring models, including algorithms, variables, and weighting factors.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
All validation studies and actuarial support.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
All consumer disclosures and
authorization forms.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
All contracts with third-party telematics providers.
</html:p>
<html:p>
(g)
<html:span class="EnSpace"/>
All documentation relating to privacy and data security protections pertaining to telematics data and the insurer’s telematics program.
</html:p>
<html:p>
(h)
<html:span class="EnSpace"/>
A complete class plan application.
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
Any other information required by the commissioner.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_8A2C3F3E-D562-4ADE-81CA-40E47DCB0B85">
<ns0:Num>1861.56.</ns0:Num>
<ns0:LawSectionVersion id="id_3D5094A9-C07A-4D46-A198-ACD007625AAB">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
Insurers shall regularly conduct, document, and disclose upon request to the department both of the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Validation studies.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Ongoing model governance of scoring models.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The commissioner may require independent audits.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
The commissioner may prohibit or suspend an insurer’s use of a telematics program that causes rates to be excessive, inadequate, or unfairly discriminatory in violation of Section 1861.05 or that violates this article.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
Upon request by the
commissioner, an insurer shall provide documentation regarding the insurer’s compliance with this article, including any records required to be kept pursuant to this article.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
Insurers shall retain all information and documentation demonstrating compliance with this article for a minimum of seven years.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_47B1B4CD-93F0-4F57-9C4D-F6442202438C">
<ns0:Num>1861.57.</ns0:Num>
<ns0:LawSectionVersion id="id_8648834C-E70F-4CCD-B9AB-F87B30A367FE">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
Insurers and third-party telematics providers shall implement administrative, technical, and physical safeguards to protect telematics data.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
Telematics data shall be retained only as long as necessary for the purposes authorized by the consumer or as required by law.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
Unless retention is necessary for compliance, fraud investigation, or any other matter of law, telematics data shall be deleted upon any of the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Revocation of consumer authorization.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Termination of participation.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Consumer request.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
Telematics data shall not be:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Sold, shared, exchanged, or otherwise disclosed for monetary or other valuable consideration.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Licensed.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Shared or used for marketing.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Used for any purpose, except as permitted under this article and only with explicit consumer authorization.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
Transferred to an affiliate or service provider, except as necessary to perform insurance-related services under a written contract that requires data protection obligations.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
An insurer
is fully responsible for the actions of a third-party telematics provider if the insurer knew that the third-party telematics provider was violating this article and did not take steps to stop the violation.
</html:p>
</ns0:Content>
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</ns0:LawSection>
<ns0:LawSection id="id_EC8A8496-EDD5-4603-9308-B29F6015B6FD">
<ns0:Num>1861.58.</ns0:Num>
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<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
A contract entered into by an insurer or a third-party telematics provider under contract with an insurer for the function of collecting, storing, processing, or analyzing telematics data shall not relieve the insurer of an obligation under this article.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
An insurer shall conduct due diligence on all third-party telematics providers.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
During a market conduct exam pursuant to Section 730, an insurer shall maintain and disclose to the department all written contracts with third-party telematics providers.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
An insurer is responsible for any violations of this code committed by a third-party telematics
provider if the insurer knew that the third-party telematics provider was violating this code and did not take steps to stop the violation.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_E4C27B12-057E-4ADF-8B4A-0D2471D0D3D6">
<ns0:Num>1861.59.</ns0:Num>
<ns0:LawSectionVersion id="id_5D564741-AB83-4CA8-B35F-20BD4610022C">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
An insurer shall not deny a consumer the ability to participate in the insurer’s telematics program solely on the basis of one of the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
A vehicle operated by the consumer.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The consumer’s mobile device, carrier, operating system, or other technological attribute.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The consumer’s lack of mobile device.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Any factor beyond the control of the consumer or that requires the consumer to incur an expense other than the payment of premium.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
A licensee or a
third-party service provider shall not retaliate against a consumer because the consumer exercised or attempted to exercise the consumer’s rights pursuant to this article, including declining to participate in a telematics program. A licensee or a third-party service provider retaliates against a consumer if the licensee or third-party service provider, as a result of a consumer’s privacy choices, does any of the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Infringes upon a right, or impairs or impedes a benefit or protection, that is afforded to a consumer under this article.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Requires the consumer to consent to sharing of the consumer’s personal information for a purpose unrelated to the telematics program to obtain a particular product, coverage, rate, or service, if the consumer has an option to consent to sharing pursuant to this article.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Imposes a fee or charge for a consumer to exercise the consumer’s rights pursuant to this article.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Charges a different rate or premium to the consumer, other than as approved by the commissioner in a rate application using telematics.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
Provides a different insurance product.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
An insurer shall not condition participation in a telematics program upon waiver of the rights held by a consumer or require a consumer to submit to binding arbitration with respect to any matters arising from the insurer’s telematics program.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_AD18C9E1-AC81-45E4-884E-307773968A35">
<ns0:Num>1861.6.</ns0:Num>
<ns0:LawSectionVersion id="id_7F4CEE86-3DB5-4A7F-B3F6-E45DF1EE67D3">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
A violation of this article constitutes a rating violation pursuant to Sections 1858.07 and 1858.1.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The commissioner may impose any of the following, in accordance with Sections 1858, 1859, and 1859.1:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
Civil penalties.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
Corrective orders.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
Suspension of the insurer’s telematics program.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
License discipline, including revocation of the insurer’s certificate of authority.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
Hearings and judicial
review shall be conducted in accordance with Article 7 (commencing with Section 1858).
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_A6A1D283-8377-409F-9B0C-63281BA28BA7">
<ns0:Num>1861.61.</ns0:Num>
<ns0:LawSectionVersion id="id_50FF1D98-61CF-4E32-983E-7C359A4449BE">
<ns0:Content>
<html:p>The commissioner shall, as the commissioner deems necessary, adopt regulations to administer this article. These regulations shall be exempt from the Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code).</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
</ns0:LawHeading>
</ns0:Fragment>
</ns0:BillSection>
<ns0:BillSection id="id_748CFEEE-56C5-477F-92D7-084A324CC954">
<ns0:Num>SEC. 4.</ns0:Num>
<ns0:Content>
<html:p>The Legislature finds and declares that this act furthers the purposes of the Insurance Rate Reduction and Reform Act of 1988.</html:p>
</ns0:Content>
</ns0:BillSection>
</ns0:Bill>
</ns0:MeasureDoc>