California lawmakers pass several bills
Measures dealing with health insurance cancellation, mortgage lenders, chemicals and college aid to illegal immigrants are approved.
SACRAMENTO -- — Insurance companies could no longer cancel with impunity the health coverage of sick people under a measure passed Sunday in the last hour of the Legislature's session.
Lawmakers also moved to require that chain restaurants tell patrons the calorie content of their food; restrict unscrupulous practices by mortgage lenders; launch state review of chemicals; ban the sale of recalled products; and give college financial assistance to illegal immigrants.
The Legislature finished its work on bills Sunday, but because lawmakers have yet to agree to a budget -- it is 63 days overdue -- they will return next week to work on a spending plan.
"It really is a sad note that we wrap up the session and we will have the distinction of saying this is the longest the state has gone without having a budget," said Assembly Speaker Karen Bass (D-Los Angeles). "We're going to continue working until we adopt a budget."
One of the session's most contentious proposals won bipartisan support in the end, despite strong objections from insurance companies.
The insurance measure would ban companies from canceling policies retroactively except under certain conditions, such as when a person intentionally misleads an insurer about his or her health history when applying for coverage.
Five insurers have been fined a combined $15 million in the last couple of years for rescinding the health insurance of more than 3,300 people. Under AB 1945 by Assemblyman Hector De La Torre (D-South Gate), insurers could cancel policies only under specified conditions, and their rescission decisions would be reviewed by state regulators.
De La Torre said that under his bill, health insurers would no longer be "the judge and the jury when they dump somebody."
Though Gov. Arnold Schwarzenegger has not taken a position on the bill, he has called upon legislators to stop insurers from kicking sick people off their rolls.
The lower house also passed a companion measure by Assemblyman Kevin DeLeon (D-Los Angeles), AB 2569, that would require insurers to continue covering the family members of people whose policies have been rescinded.
In the Senate on Sunday, lawmakers gave final approval to a measure that would force Californians to face some dietary facts when ordering stuffed-crust pizza, char-grilled rib-eye and chalupas.
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