Article 3. Exempt Property - California Code of Civil Procedure Section 704.130

704.130.  (a) Before payment, benefits from a disability or health
insurance policy or program are exempt without making a claim. After
payment, the benefits are exempt.
   (b) Subdivision (a) does not apply to benefits that are paid or
payable to cover the cost of health care if the judgment creditor is
a provider of health care whose claim is the basis on which the
benefits are paid or payable.
   (c) During the payment of disability benefits described in
subdivision (a) to a judgment debtor under a support judgment, the
judgment creditor or local child support agency may seek to apply the
benefit payments to satisfy the judgment by an earnings assignment
order for support, as defined in Section 706.011, or any other
applicable enforcement procedure, but the amount to be withheld
pursuant to the earnings assignment order or other procedure shall
not exceed the amount permitted to be withheld on an earnings
assignment order for support under Section 706.052.

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Last modified: February 16, 2015