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Earlier editions: 2020-112018-11

DIVISION 2. CLASSES OF INSURANCE 1880-12880.8›PART 2. LIFE AND DISABILITY INSURANCE 10110-11549›CHAPTER 9. The Private Health Care Voluntary Purchasing Alliance Act 10800-10887›ARTICLE 8. Marketing 10870-10873

§ 10873

California Insurance Code · 2026 edition · updated 2026-10-04 · California

(a) A participating carrier, agent, broker, contractor, or producer of a participating carrier, or independent insurance agent, broker, contractor, or producer may not engage, directly or indirectly, in an activity or marketing practice that would encourage small employers or eligible enrollees to do any of the following:

(1) Refrain from enrolling in a health benefit plan offered through the purchasing alliance because of their health status, claims experience, industry, occupation, or geographic location within the service region.

(2) Seek coverage from other participating carriers because of their health status, claim experience, industry, occupation, or geographic location within the service region.

(3) Enroll or fail to enroll in the purchasing alliance because of their health status, claims experience, industry, occupation, or geographic location within the service region.

(b) In the event that an agent, broker, contractor, carrier, or producer of a participating carrier fails to abide by these provisions, they shall be subject to the penalties and fines described in Section 10718.

(Added by Stats. 1996, Ch. 916, Sec. 1. Effective January 1, 1997.)

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