California Insurance Code 1063.4 – (a) Insureds entitled to the protection of this article shall …
(a) Insureds entitled to the protection of this article shall cooperate with the association in accordance with their policies in the same manner as they would have been required to cooperate with their insurer if it were not in liquidation and shall be deemed to have assigned to the association any right to make claim against the liquidator for a refund of unearned premium for the period of coverage provided by the association beginning on the date of the order of liquidation to the date of expiration or cancellation.
(b) Any insured or claimant entitled to the benefits of this article who elects to proceed under this article shall be deemed to have assigned to the association his or her rights against the estate of the insolvent insurer.
Terms Used In California Insurance Code 1063.4
- Claimant: means an insured making a first party claim or a person instituting a liability claim. See California Insurance Code 1063.1
- Insolvent insurer: means an insurer that was a member insurer of the association, consistent with paragraph (11) of subdivision (c), either at the time the policy was issued or when the insured event occurred, and against which an order of liquidation with a finding of insolvency has been entered by a court of competent jurisdiction, or, in the case of the State Compensation Insurance Fund, if a finding of insolvency is made by a duly enacted legislative measure. See California Insurance Code 1063.1
- Unearned premium: means that portion of a premium as calculated by the liquidator that had not been earned because of the cancellation of the insolvent insurer's policy and is that premium remaining for the unexpired term of the insolvent insurer's policy. See California Insurance Code 1063.1
(Amended by Stats. 1994, Ch. 6, Sec. 6. Effective February 10, 1994.)