New license lets utilities sell home warranty contracts and bill for them
A new Department of Insurance license for home warranty sales agents lets utilities acting for those agents sell the contracts and add fees to utility bills, listed separately as a third party's product. Buyers can return an unclaimed contract within 30 days.
Who it affects
Utilities, home warranty companies and their customers
When
This law takes effect on January 1, 2027; the changes described here start on July 1, 2027.
- : Signed into law
- : Law takes effect
- : The changes described here start to apply
- : Contracts must also list a digital contact for claims
Official text
California AB 1931: Insurance: home protection companies.
On California Legislative Information. The official text is what counts; read it before you act.
Not legal advice. Plain-English summaries to help you find what changes and when. Not legal advice: read the official text, and ask a lawyer about your situation.