COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 0330-05
Bill No.: Truly Agreed To and Finally Passed CCS #2 for HCS for SCS for SB 151
Subject: Motor Vehicles; Insurance - Property; Insurance Department
Type: Original
Date: May 30, 2001
FISCAL SUMMARY
| FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
| Insurance Dedicated | $0 to $13,550 | $0 | $0 |
| Total Estimated
Net Effect on All State Funds |
$0 TO $13,550 | $0 | $0 |
| FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
| None | |||
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
| Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 3 pages.
ASSUMPTION
Officials from the Department of Insurance (INS) state the market conduct staff would include a proposal in review of company files during examinations. INS also states the implementation of this proposal would be absorbed by existing staff. INS estimates maximum one-time revenues for the Insurance Dedicated Fund from form filings of $0 to $13,550 (271 private passenger insurers x $50 filing fee).
| FISCAL IMPACT - State Government | FY 2002
(10 Mo.) |
FY 2003 | FY 2004 |
| INSURANCE DEDICATED FUND | |||
| Revenue - Department of Insurance | |||
| Filing fees | $0 to $13,550 | $0 | $0 |
| ESTIMATED NET EFFECT ON INSURANCE DEDICATED FUND |
$0 to $13,550 |
$0 |
$0 |
| FISCAL IMPACT - Local Government | FY 2002
(10 Mo.) |
FY 2003 | FY 2004 |
| $0 | $0 | $0 |
FISCAL IMPACT - Small Business
Small businesses would be expected to be fiscally impacted to the extent of additional administrative requirements as a result of this proposal.
DESCRIPTION
This proposal would prohibit auto insurers from placing a person into a high risk category simply because the person has not purchased insurance for an extended time, due to military service.
Insurers may still place such persons into a high risk category if warranted by their driving record.
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
Jeanne Jarrett, CPA
Director
May 30, 2001