This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0724 - Auto Insurance Discount for Elderly
L.R. NO. 1895-01
BILL NO. SB 724
SUBJECT: Vehicles, Elderly, Auto Insurance, Department of Revenue
TYPE: Original
DATE: January 18, 1996
FISCAL SUMMARY
ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 1997 FY 1998 FY 1999
None
Total Estimated
Net Effect on All
State Funds $0 $0 $0
ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 1997 FY 1998 FY 1999
None
Total Estimated
Net Effect on All
Federal Funds $0 $0 $0
ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 1997 FY 1998 FY 1999
Local Government $0 $0 $0
FISCAL ANALYSIS
ASSUMPTION
Officials from the Department of Insurance and the Department of Revenue
stated that passage of this legislation will have no fiscal impact on their
department.
FISCAL IMPACT - State Government FY 1997 FY 1998 FY 1999
(10 Mo.)
$0 $0 $0
FISCAL IMPACT - Local Government FY 1997 FY 1998 FY 1999
(10 Mo.)
$0 $0 $0
DESCRIPTION
This act requires insurance companies to reduce premium charges on motor
vehicle policies when a 55-year old driver has completed an accident
prevention course. The reduction shall be good for three years, during which
the insured may be required to stay accident-free. After three years the
course must be retaken to continue the reduction. The amount of the
discount shall be determined by the insurer unless credible data demonstrates
otherwise.
This legislation is not federally mandated, would not duplicate any other
program and would not require additional capital improvements or rental
space.
SOURCES OF INFORMATION
Department of Insurance
Department of Revenue