California Public Utilities Code

§ 3299.100

PUC § 3299.100 Effective Sep 19, 2025Div. 1 · Part 6 · Ch. 6

Statute text

(a)For purposes of this section, “third-party entity” means an entity, other than a large electrical corporation, other insurer or reinsurer admitted to conduct the business of insurance in California or in compliance with Sections 1765.1 and 1765.2 of the Insurance Code, or a law firm or business retained by an insurer for the purpose of assisting with the pursuit of the property insurer’s subrogation rights, that seeks to enter into an agreement with a property insurer.

(b)Any agreement entered into on or after the effective date of this chapter by a property insurer to sell, assign, or transfer, in whole or in part, to a third-party entity, a right of subrogation, reimbursement, or recovery, as applicable, including a right to recover attorney fees, resulting from a wildfire that is ignited on or after the effective date of this chapter and that destroys 1,000 or more structures is subject to all of the following:

(1)Before entering into an agreement with the third-party entity, the property insurer shall first offer to settle its right of subrogation, reimbursement, or recovery, as applicable, on the same terms and conditions as the proposed agreement, to the large electrical corporation, if any, that provides electrical service to the service area in which the wildfire ignited.

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Legislative history

Added by Stats. 2025, Ch. 119, Sec. 47. (SB 254) Effective September 19, 2025.