LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION

March 23, 2003

TO:	Honorable John T. Smithee, Chair, House Committee on Insurance
FROM:	John Keel, Director, Legislative Budget Board
IN RE:	HB784 by Davis, John (Relating to coverage of assisted living facilities under professional liability insurance and the Texas Medical Liability Insurance Underwriting Association.), As Introduced

No significant fiscal implication to the State is anticipated.

The Texas Department of Insurance (TDI) would have to adopt minimum rating standards for assisted living facilities and could be called upon to assist the Joint Underwriting Association (JUA) in determining rates or rating relativities for assisted living facilities.  The JUA might need to make filings with TDI – forms, rules, rates – and might need to amend the Plan of Operation (by TAC Rule). 

TDI indicates it could absorb any additional workload associated with the implementation of the bill within existing resources.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:	324 Department of Human Services, 454 Department of Insurance
LBB Staff:	JK, JRO, RT, RB