California 20252026 Regular Session Status: To Executive 2 D cosponsors

SB 878 — Insurance business practices.

Last action — Enrolled and presented to the Governor at 2 p.m.

  1. ✓
    Introduced
  2. ✓
    In Committee
  3. ✓
    Passed Senate
  4. ✓
    Passed Assembly
  5. 5
    To Executive
  6. 6
    Enacted

This bill has been sent to the executive. Introduced January 06, 2026. It awaits signature.

Next likely step: the executive signs it into law or issues a veto.

Prognosis

Likely to advance 70% · moderate confidence

Where this bill stands today.

Odds of enactment

Moderate

How often bills like it became law.

  • To Executive

    Current position in the legislative process.

  • 4 sponsors

    1 primary, 3 co-sponsors signed on.

  • Single-party support

    Sponsorship is currently within one party (2 D).

  • Cleared a recorded vote

    Passed 6 recorded votes so far.

Prognosis reads this bill's own signals — stage, sponsorship breadth, committee status, recorded votes and cross-state momentum. Odds come from a model trained on which bills have become law.

In plain language

The bill addresses practices within the insurance industry.

This bill focuses on regulations concerning how insurance businesses operate. It aims to modify or establish practices for insurance companies.

Summary

Insurance business practices.

Bill Text

How this bill changes current law

1 change Share ↗

AI-generated reading aid from the bill's amendatory text — verify against the official bill.

This bill amends 1 section(s) of the California codes: Section 2051.5 of the Insurance Code.

  • Section 2051.5 of the Insurance Code

    SEC. 3.1. Section 2051.5 of the Insurance Code is amended to read: (3) After a payment is made pursuant to paragraph (2) of subdivision (b) of Section 2051, and after the insurer has received adequate proof of loss and documentation reasonably sufficient to determine the amount payable, an insurer shall pay the undisputed amount of replacement cost associated with the primary structure and other insured structures, up to the limits in the policy, within 30 calendar days from the occurrence of either of the following:(A) The date upon which the insured obtains a valid and executed contract with a licensed contractor to rebuild the insured structure at its original location or at another location.(B) The date upon which the insured enters into contract or escrow to purchase a replacement home at another location pursuant to subdivision (c).(4) A payment that is not made pursuant to this section within 30 calendar days shall accrue interest payable to the insured pursuant to Section 2057. (f) This section shall remain in effect only until January 1, 2028, and as of that date is repealed. SEC. 3.2. Section 2051.5 is added to the Insurance Code, to read: 2051.5. (a) (1) Under an open policy that requires payment of the replacement cost for a loss, the measure of indemnity is the amount that it would cost the insured to repair, rebuild, or replace the thing lost or injured, without a deduction for physical depreciation, or the policy limit, whichever is less.(2) If the policy requires the insured to repair, rebuild, or replace the damaged property in order to collect the full replacement cost, the insurer shall pay the actual cash value of the damaged property, as defined in Section 2051, until the damaged property is repaired, rebuilt, or replaced. Once the property is repaired, rebuilt, or replaced, the insurer shall pay the difference between the actual cash value payment made and the full replacement cost reasonably paid to replace the damaged property, up to the limits stated in the policy.(3) After a payment is made pursuant to paragraph (2) of subdivision (b) of Section 2051, and after the insurer has received adequate proof of loss and documentation reasonably sufficient to determine the amount payable, an insurer shall pay the undisputed amount of replacement cost associated with the primary structure and other insured structures, up to the limits in the policy, within 30 calendar days from the occurrence of either of the following:(A) The date upon which the insured obtains a valid and executed contract with a licensed contractor to rebuild the insured structure at its original location or at another location.(B) The date upon which the insured enters into contract or escrow to purchase a replacement home at another location pursuant to subdivision (c).(4) A payment that is not made pursuant to this section within 30 calendar days shall accrue interest payable to the insured pursuant to Section 2057.(b) (1) (A) A time limit of less than 12 months from the date that the first payment toward the actual cash value is made shall not be placed upon an insured in order to collect the full replacement cost of the loss, subject to the policy limit.(B) If a loss is relating to a state of emergency, as defined in Section 8558 of the Government Code, a time limit of less than 36 months from the date that the first payment toward the actual cash value is made shall not be placed upon the insured in order to collect the full replacement cost of the loss, subject to the policy limit.(C) This section does not prohibit an insurer from allowing the insured additional time to collect the full replacement cost.(2) An insurer shall provide to a policyholder one or more additional extensions of six months for good cause pursuant to subparagraph (A) or (B) of paragraph (1) if the insured, acting in good faith and with reasonable diligence, encounters a delay or delays in approval for, or reconstruction of, the home or residence that are beyond

    amended

Action History

  1. Enrolled and presented to the Governor at 2 p.m.

  2. Assembly amendments concurred in. (Ayes 37. Noes 0.) Ordered to engrossing and enrolling.

  3. In Senate. Concurrence in Assembly amendments pending.

  4. Read third time. Passed. Ordered to the Senate.

  5. Assembly Rule 69(b)(1) suspended. (Ayes 55. Noes 17. Page 6296.)

  6. Ordered to third reading.

  7. Read third time and amended.

  8. Assembly Rule 63 suspended.

  9. From committee: Do pass. (Ayes 12. Noes 0.) (August 13).

  10. Read second time. Ordered to third reading.

  11. August 5 set for first hearing. Placed on suspense file.

  12. From committee: Do pass and re-refer to Com. on APPR. (Ayes 14. Noes 0.) (June 17). Re-referred to Com. on APPR.

  13. From committee with author's amendments. Read second time and amended. Re-referred to Com. on INS.

  14. Referred to Com. on INS.

  15. In Assembly. Read first time. Held at Desk.

  16. Read third time. Passed. (Ayes 29. Noes 6. Page 4443.) Ordered to the Assembly.

  17. Read second time. Ordered to third reading.

  18. From committee: Do pass. (Ayes 5. Noes 2. Page 4255.) (May 14).

  19. Set for hearing May 14.

  20. May 11 hearing: Placed on APPR. suspense file.

  21. Set for hearing May 11.

  22. Withdrawn from committee.

  23. Re-referred to Com. on APPR.

  24. Withdrawn from committee.

  25. Read second time and amended. Re-referred to Com. on APPR.

  26. Re-referred to Com. on PUB. S.

  27. From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 4. Noes 2. Page 4011.) (April 22).

  28. Set for hearing April 22.

  29. From committee with author's amendments. Read second time and amended. Re-referred to Com. on INS.

  30. April 8 hearing postponed by committee.

  31. Set for hearing April 8.

  32. Referred to Coms. on INS. and PUB. S.

  33. From printer. May be acted upon on or after February 6.

  34. Introduced. Read first time. To Com. on RLS. for assignment. To print.

Sponsors

Sponsorship breakdown

Export CSV (upgrade) →

1 sponsors · 3 co-sponsors · 118 not signed on · 8 voted No

Sponsors (1)

Co-sponsors (3)

Not signed on (118)

118 members have not signed on to this bill.

Show all 118 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Votes

Do pass.

Passed 12 Yea · 0 Nay · 3 Other
Party YeaNayPresentNot Voting
Democratic 11000
Republican 1003
Total 12003
% of votes cast 80%0%0%20%
How each member voted (15)
Member Party Vote
Arambula, Joaquin Democratic Yea
Calderon, Lisa Democratic Yea
Caloza, Jessica Democratic Yea
Fong, Mike Democratic Yea
González, Mark Democratic Yea
Krell, Maggy Democratic Yea
Pacheco, Blanca Democratic Yea
Pellerin, Gail Democratic Yea
Sharp-Collins, LaShae Democratic Yea
Solache, Jr., José Luis Democratic Yea
Wicks, Buffy Democratic Yea
Dixon, Diane Republican Not Voting
Hoover, Josh Republican Yea
Ta, Tri Republican Not Voting
Tangipa, David J. Republican Not Voting

Official roll call →

Do pass and be re-referred to the Committee on [Appropriations]

Passed 14 Yea · 0 Nay · 3 Other
Party YeaNayPresentNot Voting
Democratic 12000
Republican 1003
Unaffiliated 1000
Total 14003
% of votes cast 82%0%0%18%
How each member voted (17)
Member Party Vote
Ávila Farías — Yea
Addis, Dawn Democratic Yea
Berman, Marc Democratic Yea
Calderon, Lisa Democratic Yea
Gipson, Mike A. Democratic Yea
Harabedian, John Democratic Yea
Krell, Maggy Democratic Yea
Nguyen, Stephanie Democratic Yea
Ortega, Liz Democratic Yea
Papan, Diane Democratic Yea
Petrie-Norris, Cottie Democratic Yea
Rodriguez, Michelle Democratic Yea
Valencia, Avelino Democratic Yea
Chen, Phillip Republican Not Voting
Ellis, Stan Republican Not Voting
Hadwick, Heather Republican Not Voting
Wallis, Greg Republican Yea

Official roll call →

3rd Reading SB878 Pérez et al.

Passed 29 Yea · 6 Nay · 5 Other
Party YeaNayPresentNot Voting
Democratic 29001
Republican 0604
Total 29605
% of votes cast 73%15%0%13%
How each member voted (40)
Member Party Vote
Allen, Benjamin Democratic Yea
Archuleta, Bob Democratic Yea
Arreguín, Jesse Democratic Yea
Ashby, Angelique V. Democratic Yea
Becker, Josh Democratic Yea
Blakespear, Catherine S. Democratic Yea
Cabaldon, Christopher Democratic Yea
Caballero, Anna M. Democratic Yea
Cervantes, Sabrina Democratic Yea
Cortese, Dave Democratic Yea
Durazo, Maria Elena Democratic Yea
Gonzalez, Lena A. Democratic Not Voting
Grayson, Timothy S. Democratic Yea
Hurtado, Melissa Democratic Yea
Laird, John Democratic Yea
Limón, Monique Democratic Yea
McGuire, Mike Democratic Yea
McNerney, Jerry Democratic Yea
Menjivar, Caroline Democratic Yea
Padilla, Stephen C. Democratic Yea
Pérez, Sasha Renée Democratic Yea
Reyes, Eloise Gómez Democratic Yea
Richardson, Laura Democratic Yea
Rubio, Susan Democratic Yea
Smallwood-Cuevas, Lola Democratic Yea
Stern, Henry I. Democratic Yea
Umberg, Thomas J. Democratic Yea
Wahab, Aisha Democratic Yea
Weber Pierson, M.D., Akilah Democratic Yea
Wiener, Scott D. Democratic Yea
Alvarado-Gil, Marie Republican Nay
Choi, Steven S. Republican Nay
Dahle, Megan Republican Not Voting
Grove, Shannon Republican Nay
Jones, Brian W. Republican Nay
Niello, Roger W. Republican Not Voting
Ochoa Bogh, Rosilicie Republican Not Voting
Seyarto, Kelly Republican Nay
Strickland, Tony Republican Nay
Valladares, Suzette Martinez Republican Not Voting

Official roll call →

Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations]

Passed 4 Yea · 2 Nay · 1 Other
Party YeaNayPresentNot Voting
Democratic 4001
Republican 0200
Total 4201
% of votes cast 57%29%0%14%
How each member voted (7)
Member Party Vote
Becker, Josh Democratic Not Voting
Menjivar, Caroline Democratic Yea
Padilla, Stephen C. Democratic Yea
Richardson, Laura Democratic Yea
Rubio, Susan Democratic Yea
Jones, Brian W. Republican Nay
Niello, Roger W. Republican Nay

Official roll call →

Subjects

finance health-insurance
Cross-referencing the record. Reading this bill against every other bill in the corpus by meaning, not keywords. Only the first open is slow. It’s instant for you after this. Matching · Ranking · Engrossing

Frequently asked questions

What does SB 878 do?
Insurance business practices.
Who sponsors SB 878?
SB 878 is sponsored by Harabedian, Ochoa Bogh, Pérez, Sasha Renée (Democratic), and Allen, Benjamin (Democratic).
What is the current status of SB 878?
This bill has been sent to the executive. Introduced January 06, 2026. It awaits signature.
Where can I track SB 878?
Track SB 878 free on One Click Politics — get push/email alerts when it moves.

Make your voice heard on SB 878

Find the representatives who decide this bill and tell them where you stand — for yourself, or mobilize your whole list in one click with One Click Politics advocacy software.

Find my representatives → Run a campaign

Stay ahead of SB 878

Last checked for changes 25 days ago · updated continuously

One Click Politics tracks every bill in Congress and all 50 states.

Track this bill →