FISCAL NOTE

Date Requested: March 09, 2017
Time Requested: 11:10 AM
Agency: Insurance Commission
CBD Number: Version: Bill Number: Resolution Number:
3015 Introduced SB529
CBD Subject: Insurance, State Personnel


FUND(S):

7152

Sources of Revenue:

Special Fund

Legislation creates:

Neither Program nor Fund



Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


Senate Bill 529 may have fiscal impact to the Offices of the Insurance Commissioner by increasing the costs to the agency's operations. SB529 creates a pilot program that would allow larger state entities to offer self-insurance or purchase insurance coverage for their employees separate from the PEIA plan. The pilot program would become effective July 1, 2017, and is jointly administered by PEIA and the Insurance Commissioner. The amount of increased administrative costs is relative to how the roles and responsibilities divided between the Insurance Commissioner and PEIA are defined. Determinations of the specific duties for each agency are not known at this time.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2017
Increase/Decrease
(use"-")
2018
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 0 0
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 0 0


Explanation of above estimates (including long-range effect):






Memorandum


Senate Bill 529, if enacted, would require the establishment of a pilot program to allow larger state agencies (150 or more employees)to self-insure or purchase insurance coverage for their employees separately from PEIA. The pilot program would be jointly administered by PEIA and the Insurance Commissioner. Many of the duties of the Insurance Commissioner described in ยง5-16-27 fall within the current scope of regulatory responsibilities and therefore would not increase current costs of operations for the Offices of the Insurance Commissioner. However, other duties are new and are not yet clearly defined by Rule so we are unable to determine the necessary resources and related costs at this time.



    Person submitting Fiscal Note: Melinda Ashworth Kiss
    Email Address: Melinda.A.Kiss@wv.gov