AB 290: California FAIR Plan Association: automatic payments.

The bill aims to make changes to the California Fair Plan Association, a joint reinsurance association that provides basic property insurance to those who cannot obtain it through normal channels. The association will be required to create an automatic payment system and accept automatic payments from policyholders. This change will prohibit the cancellation or nonrenewal of a fair plan policy solely because the policyholder is not enrolled in automatic payments. A policyholder will have a period to pay any outstanding installment premium, in accordance with the existing 10-day notice requirement.