|Date Requested:February 15, 2013
Time Requested:12:27 PM
| FUND(S) |
Sources of Revenue
Legislation creates:Neither Program nor Fund
Effect this measure will have on costs and revenues of state government.
|Since inception of the mine subsidence program, the average cost per claim is approximately $6000. Only approximately two claims per year actually exceed the $75,000 maximum valuation. Should the coverage be increased to $125,000 per claim, using the same rationale, the two previous claims that exceeded the $75,000 limit might be paid out at $125,000 instead of $75,000 creating a potential shortfall of $100,000. Premiums would need to be adjusted upward to recover the $100,000 loss.|
|Effect of Proposal||Fiscal Year|
|1. Estmated Total Cost||800,000||900,000||0|
|Repairs and Alterations||0||0||0|
|2. Estimated Total Revenues||2,000,000||2,000,000||0|
3. Explanation of above estimates (including long-range effect):
See summary above.