Honorable Tom Oliverson, Chair, House Committee on Insurance
FROM:
Jerry McGinty, Director, Legislative Budget Board
IN RE:
HB4030 by Smithee (Relating to the licensing and regulation of insurance professionals.), As Introduced
No significant fiscal implication to the State is anticipated.
The bill would amend the Insurance Code relating to the licensing and regulation of insurance professionals. Based on information provided by the Texas Department of Insurance (TDI) and the Comptroller of Public Accounts, this analysis assumes that the duties and responsibilities associated with implementing the provisions of the bill could be accomplished by utilizing existing resources.
Based on information provided by TDI, the bill would result in a decrease in filing fees relating to branch offices. Based on fiscal year 2020 activity, TDI expects a decrease of $183,000 in filing fees. Insurance licensing fees are deposited into General Revenue Account 36, a self-leveling account. Any revenue loss resulting from the elimination of licenses or the extension of the duration of temporary licenses would result in an increase in other fees or in insurance maintenance tax rates; therefore, there would be no fiscal impact on the state.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies:
304 Comptroller of Public Accounts, 454 Department of Insurance