COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 0299-01
Bill No.: SB 64
Subject: Motor Vehicles; Insurance-Automobile; Consumer Protection; Credit and Bankruptcy
Type: Original
Date: December 27, 2000
FISCAL SUMMARY
| FUND AFFECTED | FY 2002 | FY 2003 | FY 2004 |
| Insurance Dedicated | $13,550 | $0 | $0 |
| Total Estimated
Net Effect on All State Funds |
$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 department would issue a bulletin describing the intent of the statute to insurance companies. INS states 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 one-time revenues for the Insurance Dedicated Fund from form filings of $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 | |||
| Form filing fees | $13,550 | $0 | $0 |
| ESTIMATED NET EFFECT ON INSURANCE DEDICATED FUND |
$13,550 |
$0 |
$0 |
| FISCAL IMPACT - Local Government | FY 2002
(10 Mo.) |
FY 2003 | FY 2004 |
| $0 | $0 | $0 |
FISCAL IMPACT - Small Business
This proposal would fiscally impact small insurance companies which write property insurance policies, as these companies may be required to file a disclosure notice for review and compliance with this proposal.
DESCRIPTION
This proposal would prohibit insurance companies from using a person's credit history when issuing or renewing auto insurance policies.
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
December 27, 2000