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    AB-597
    Consumer Protection

    Public insurance adjusters.

    Engrossed
    CA
    ∙
    2025-2026 Regular Session
    0
    0
    Track
    Track

    Key Takeaways

    • Strengthens regulations on public insurance adjusters by requiring detailed service contracts and fee disclosures.
    • Prohibits adjusters from soliciting clients during disasters or between 6 PM and 8 AM.
    • Extends contract cancellation period to 5 days during declared emergencies or disasters.
    • Requires adjusters to provide clear written disclosures about their role and client rights.

    Summary

    Assembly Member Harabedian's legislation revises California's Public Insurance Adjusters Act to modify contract requirements and expand consumer protections. The bill requires public adjuster contracts to specify which insurance claims and coverages the services apply to, while prohibiting fees based on insurance payments made before contract execution or for claims outside the scope of services.

    The measure restricts public adjusters from soliciting business from policyholders or their representatives during active loss events, such as when emergency responders are present or evacuation orders remain in effect. It also prohibits contact between 6 p.m. and 8 a.m. unless requested by the policyholder.

    Contract cancellation rights are broadened to allow insureds to void agreements if adjusters misrepresent facts or violate solicitation rules. The bill extends the cancellation period from three business days to five calendar days for losses in areas under state emergency declarations. Required contract disclosures must explain these rights and detail the types of insurance adjusters consumers may encounter.

    Public adjusters must notify insurers within three business days after a contract's cancellation period expires. The legislation maintains existing requirements for written contracts, fee disclosures, and prohibited practices like charging late fees or requiring direct insurer payments to adjusters. Violations remain classified as misdemeanors under the Insurance Code.

    Key Dates

    Next Step
    Referred to the Senate Standing Committee on Insurance
    Next Step
    Senate Committee
    Referred to the Senate Standing Committee on Insurance
    Hearing has not been scheduled yet
    Vote on Assembly Floor
    Assembly Floor
    Vote on Assembly Floor
    AB 597 Harabedian Third Reading Urgency
    Assembly Insurance Hearing
    Assembly Committee
    Assembly Insurance Hearing
    Do pass as amended
    Assembly Insurance Hearing
    Assembly Committee
    Assembly Insurance Hearing
    Do pass and be re-referred to the Committee on [Appropriations]
    Assembly Appropriations Hearing
    Assembly Committee
    Assembly Appropriations Hearing
    Do pass and be re-referred to the Committee on [Appropriations]
    Assembly Appropriations Hearing
    Assembly Committee
    Assembly Appropriations Hearing
    Do pass as amended
    Introduced
    Assembly Floor
    Introduced
    Read first time. To print.

    Contacts

    Profile
    Anna CaballeroD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Roger NielloR
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Brian JonesR
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Susan RubioD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Josh BeckerD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    0 of 9 row(s) selected.
    Page 1 of 2
    Select All Legislators
    Profile
    Anna CaballeroD
    Senator
    Committee Member
    Profile
    Roger NielloR
    Senator
    Committee Member
    Profile
    Brian JonesR
    Senator
    Committee Member
    Profile
    Susan RubioD
    Senator
    Committee Member
    Profile
    Josh BeckerD
    Senator
    Committee Member
    Profile
    Pilar SchiavoD
    Assemblymember
    Bill Author
    Profile
    Steve PadillaD
    Senator
    Committee Member
    Profile
    Aisha WahabD
    Senator
    Committee Member
    Profile
    John HarabedianD
    Assemblymember
    Bill Author

    Get Involved

    Act Now!

    Email the authors or create an email template to send to all relevant legislators.

    Introduced By

    John Harabedian
    John HarabedianD
    California State Assembly Member
    Co-Author
    Pilar Schiavo
    Pilar SchiavoD
    California State Assembly Member
    40% progression
    Bill has passed all readings in its first house and is ready to move to the other house (4/1/2025)

    Latest Voting History

    View History
    April 1, 2025
    PASS
    Assembly Floor
    Vote on Assembly Floor
    AyesNoesNVRTotalResult
    770380PASS

    Key Takeaways

    • Strengthens regulations on public insurance adjusters by requiring detailed service contracts and fee disclosures.
    • Prohibits adjusters from soliciting clients during disasters or between 6 PM and 8 AM.
    • Extends contract cancellation period to 5 days during declared emergencies or disasters.
    • Requires adjusters to provide clear written disclosures about their role and client rights.

    Get Involved

    Act Now!

    Email the authors or create an email template to send to all relevant legislators.

    Introduced By

    John Harabedian
    John HarabedianD
    California State Assembly Member
    Co-Author
    Pilar Schiavo
    Pilar SchiavoD
    California State Assembly Member

    Summary

    Assembly Member Harabedian's legislation revises California's Public Insurance Adjusters Act to modify contract requirements and expand consumer protections. The bill requires public adjuster contracts to specify which insurance claims and coverages the services apply to, while prohibiting fees based on insurance payments made before contract execution or for claims outside the scope of services.

    The measure restricts public adjusters from soliciting business from policyholders or their representatives during active loss events, such as when emergency responders are present or evacuation orders remain in effect. It also prohibits contact between 6 p.m. and 8 a.m. unless requested by the policyholder.

    Contract cancellation rights are broadened to allow insureds to void agreements if adjusters misrepresent facts or violate solicitation rules. The bill extends the cancellation period from three business days to five calendar days for losses in areas under state emergency declarations. Required contract disclosures must explain these rights and detail the types of insurance adjusters consumers may encounter.

    Public adjusters must notify insurers within three business days after a contract's cancellation period expires. The legislation maintains existing requirements for written contracts, fee disclosures, and prohibited practices like charging late fees or requiring direct insurer payments to adjusters. Violations remain classified as misdemeanors under the Insurance Code.

    40% progression
    Bill has passed all readings in its first house and is ready to move to the other house (4/1/2025)

    Key Dates

    Next Step
    Referred to the Senate Standing Committee on Insurance
    Next Step
    Senate Committee
    Referred to the Senate Standing Committee on Insurance
    Hearing has not been scheduled yet
    Vote on Assembly Floor
    Assembly Floor
    Vote on Assembly Floor
    AB 597 Harabedian Third Reading Urgency
    Assembly Insurance Hearing
    Assembly Committee
    Assembly Insurance Hearing
    Do pass as amended
    Assembly Insurance Hearing
    Assembly Committee
    Assembly Insurance Hearing
    Do pass and be re-referred to the Committee on [Appropriations]
    Assembly Appropriations Hearing
    Assembly Committee
    Assembly Appropriations Hearing
    Do pass and be re-referred to the Committee on [Appropriations]
    Assembly Appropriations Hearing
    Assembly Committee
    Assembly Appropriations Hearing
    Do pass as amended
    Introduced
    Assembly Floor
    Introduced
    Read first time. To print.

    Latest Voting History

    View History
    April 1, 2025
    PASS
    Assembly Floor
    Vote on Assembly Floor
    AyesNoesNVRTotalResult
    770380PASS

    Contacts

    Profile
    Anna CaballeroD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Roger NielloR
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Brian JonesR
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Susan RubioD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Josh BeckerD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    0 of 9 row(s) selected.
    Page 1 of 2
    Select All Legislators
    Profile
    Anna CaballeroD
    Senator
    Committee Member
    Profile
    Roger NielloR
    Senator
    Committee Member
    Profile
    Brian JonesR
    Senator
    Committee Member
    Profile
    Susan RubioD
    Senator
    Committee Member
    Profile
    Josh BeckerD
    Senator
    Committee Member
    Profile
    Pilar SchiavoD
    Assemblymember
    Bill Author
    Profile
    Steve PadillaD
    Senator
    Committee Member
    Profile
    Aisha WahabD
    Senator
    Committee Member
    Profile
    John HarabedianD
    Assemblymember
    Bill Author