Section 11892 Of Chapter 5. Market Assistance Program For Long-term Health Care Facility Liability Insurance From California Insurance Code >> Division 2. >> Part 3. >> Chapter 5.
11892
. (a) The commissioner may order the creation of an
unincorporated, not-for-profit, temporary joint underwriting
association for liability insurance, constituting a legal entity
separate and distinct from all its members. The purpose of the
association shall be to provide a market for liability insurance on a
self-supporting basis, without subsidy from association members.
(b) If the commissioner determines after a public hearing that
liability insurance for long-term health care facilities, residential
care facilities for the elderly, or physicians who provide or
oversee the provision of services to residents in long-term health
care facilities or residential care facilities for the elderly is
readily available through the voluntary market, the association
created pursuant to subdivision (a) shall cease its underwriting
operations.
(c) The commissioner may develop appropriate standards and
regulations to implement the joint underwriting association
authorized by this section.