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Insurance

Nov. 16, 2010

A 'Get Out of Jail Free' Card for the Insurance Industry

A recent court decision may unravel the regulatory process established by California voters 22 years ago. By Harvey Rosenfield of Consumer Watchdog.


By Harvey Rosenfield


Can the California Insurance Commissioner or one of his staff authorize an insurance company to break the law, so that the company is immune from a civil suit for illegal surcharges?


According to Division Three of the 2nd District Court of Appeal, the answer to this question is yes. Its decision last month in MacKay v. Superior Court (21st Century Ins. Co.) 188 Cal.App.4th 1427 is the latest in a decades-long campaign by the ...

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