DIVISION 2. CLASSES OF INSURANCE 1880-12880.5›PART 4. MISCELLANEOUS CASUALTY INSURANCES 12050-12129›CHAPTER 1. Surety Insurers on Reserve Basis; Capital Requirements and Permitted Insurances 12050-12122›ARTICLE 5. Financial Guaranty Insurance 12100-12122
§ 12110
California Insurance Code · 2018-11 edition · updated 2026-10-04 · California
An unearned premium reserve shall be established and maintained net of reinsurance and collateral with respect to all financial guaranty premiums. Where financial guaranty insurance premiums are paid on an installment basis, an unearned premium reserve shall be established and maintained, net of reinsurance, computed on a daily or monthly pro rata basis. All other financial guaranty insurance premiums written shall be earned in proportion with the expiration of exposure, or by such other method as may be prescribed or approved by the commissioner.
(Amended by Stats. 2005, Ch. 412, Sec. 4. Effective January 1, 2006.)
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