COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. NO.: 4309-02
BILL NO.: SB 1005
SUBJECT: Automobile Insurance
TYPE: Original
DATE: March 20, 2000
FISCAL SUMMARY
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| Insurance Dedicated Fund | $13,700 to $28,650 | $0 | $0 |
| Total Estimated
Net Effect on All State Funds |
$13,700 to $28,650 | $0 | $0 |
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| None | $0 | $0 | $0 |
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2001 | FY 2002 | FY 2003 |
| Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 3 pages.
ASSUMPTION
Officials of the Department of Revenue, Department of Transportation, and the Office of Administration assume there would be no fiscal impact on their agencies as a result of the proposal.
Officials of the Department of Insurance assume the proposal would increase the bodily injury per person amount from $25,000 to $50,000, and that insurers would be required to refile their policy forms to comply with this mandate. Officials assume there are approximately 274 private passenger insurers and 299 commercial auto insurers in Missouri (a total of 573). Some of these insurers may write both types of auto insurance and may therefore be counted twice. Department officials assume they would collect additional filing fees of $50 per insurance policy/contract revision. They estimate additional revenues ranging from $13,700 (274 times $50) to $28,650
(573 times $50) in the Insurance Dedicated Fund. Officials assume current appropriations and staff would be able to absorb the work for implementation of the proposal. However, if additional proposal are approved during the legislative session, the department may need to request an increase in appropriations due to the combined effect of multiple proposals.
|
FISCAL IMPACT - State Government |
FY 2001
(10 Mo.) |
FY 2002 | FY 2003 |
| INSURANCE DEDICATED FUND | |||
| Income-Department of Insurance | |||
| Filing fees | $13,700 to $28,650 | $0 | $0 |
|
FISCAL IMPACT - Local Government |
FY 2001
(10 Mo.) |
FY 2002 | FY 2003 |
| $0 | $0 | $0 |
FISCAL IMPACT - Small Business
Insurers classified as small businesses would incur $50 fees for filing policy forms with the Department of Insurance.
DESCRIPTION
The proposal would increase the minimum motor vehicle liability insurance amount from $25,000 to $50,000 for one person.
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
Department of Transportation
Office of Administration
Jeanne Jarrett, CPA
Director
March 20, 2000