SACRAMENTO - Insurance Commissioner Steve Poizner today issued the following statement regarding Governor Arnold Schwarzenegger's signing of AB 2150 by Assemblymember Patty Berg (D-Eureka), which helps protect consumers by preventing the financial abuse of seniors.
"Too many seniors are being targeted by people who overstate their experience with senior matters," said Commissioner Poizner. "The Department has worked closely with Assembly Member Berg to craft this new law that will help us crack down on people who use misleading titles. Seniors should be able to rely on qualified professionals who have the knowledge and experience to help them navigate complex financial waters."
After working with the author on the bill, the Department of Insurance urged the Governor to sign AB 2150. A copy of the letter is attached.
AB 2150 provides that insurance agents and brokers may not use a "senior" designation in the course of marketing and selling insurance products unless they have completed required hours of training, and the designation has been approved by the Insurance Commissioner. This new law will prohibit agents and brokers from misrepresenting themselves as senior experts, which has previously resulted in seniors making poor investments or becoming victims of fraud.
Last October, Commissioner Poizner established his Senior Issues Working Group to develop strategies to protect seniors from predatory insurance schemes, and to ensure that seniors more clearly understand their insurance choices.
The Seniors Issues Working Group is composed of more than a dozen CDI staff from virtually every major division of the Department, and works collaboratively with state agencies and senior advocacy groups to serve the best interests of California seniors. The task force continues to help develop legislation to further safeguard vulnerable Californians.
