Ins. Code, § 11822 · Article 2. Rates
Ins. Code, § 11822
Text — As published in the Legislative Counsel's database, tables dated October 18, 2026 (pubinfo_2025.zip)
The rates fixed by the board of directors shall be that percentage of the payroll of any employer which, in the long run and on the average, will produce a sufficient sum, when invested in a way as to realize the maximum return consistent with safe and prudent management practices:
(a) To carry all claims to maturity. The rates shall be based upon the “reserve” and not upon the “assessment” plan.
(b) To meet the reasonable expenses of conducting the business of the fund.
(c) To produce a reasonable surplus to cover the catastrophe hazard.
Notes and commentary — not statutory text
History
Amended by Stats. 2002, Ch. 6, Sec. 15. Effective January 1, 2003.
Source of truth
- Edition
- As published in the Legislative Counsel's database, tables dated October 18, 2026 (pubinfo_2025.zip)
- Official file
- https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=INS§ionNum=11822.
- Text hash
- sha256 d30aaaa7341bd3d526ccae9d3a4f92cb54bdc90a2c82ec30898516128a983a96
- Composed by
- compose_ca.py 2026-10-22: the Legislative Counsel's CAML content files read by a tokenizer (caml_readers.reader_a); an independent xml.etree reading (caml_readers.reader_b) agrees on every section
Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.