Article 6. Malpractice Actions of California Health And Safety Code >> Division 2. >> Chapter 2. >> Article 6.
(a) Every insurer providing professional liability insurance
to a health facility licensed pursuant to this chapter and every
health facility or associated group of health facilities licensed
pursuant to this chapter under common ownership which are self
insured shall report periodically, but in no event less than once
each year, to the state department any final judgment over three
thousand dollars ($3,000) rendered against such health facility
during the preceding year in, or any settlement over three thousand
dollars ($3,000) during the preceding year of, a claim or action for
damages for personal injuries caused by an error, omission, or
negligence in the performance of its professional services, or by the
performance of its professional services without consent.
(b) In the event that there are no final judgments or settlements
in excess of three thousand dollars ($3,000) during the year such
fact shall also be reported to the department.
Notwithstanding any other provision of law, no insurer shall
enter into a settlement exceeding three thousand dollars ($3,000) to
settle a claim or action referred to in Section 1305 without the
written consent of the insured, except that this prohibition shall
not void any settlement entered into without such written consent.
The requirement of written consent can only be waived by both the
insured and the insurer.
The provisions of this section shall only apply to a settlement on
a policy of insurance executed or renewed on or after January 1,
The state department shall keep a record of all reports made
pursuant to Section 1305.
The state department shall notify every health facility
licensed pursuant to this chapter and every insurer providing
professional liability insurance to such health facilities of the
provisions of this article.