OFFICE OF FISCAL ANALYSIS
Legislative Office Building, Room 5200
Hartford, CT 06106 (860) 240-0200
http://www.cga.ct.gov/ofa
sSB-841
AN ACT CONCERNING THE INSURANCE DEPARTMENT'S
RECOMMENDED CHANGES TO THE INSURANCE STATUTES.
Primary Analyst: MP 4/6/21
Contributing Analyst(s): CW
Reviewer: RJW
OFA Fiscal Note
State Impact:
Agency Affected Fund-Effect FY 22 $ FY 23 $
Insurance Dept. GF - Potential
Revenue Gain
Minimal Minimal
Note: GF=General Fund
Municipal Impact: None
Explanation
The bill results in a potential minimal revenue gain to the General
Fund to the extent additional fines or penalties are assessed for
violations of the Connecticut Unfair Insurance Practices Act (CUIPA).
The bill prohibits certain actions by insurers related to genetic testing
results and makes such actions a violation of CUIPA. CUIPA fines can
range from $5,000 per violation up to a maximum of $250,000 in
aggregate penalties per entity in any six-month period.
The remaining provisions of the bill are not anticipated to result in a
fiscal impact as they (1) codify existing Insurance Department
administrative policy for homeowner insurance policy cancellations,
(2) require the Commissioner to include a benchmark loss ratio in
credit insurance rate reviews, and (3) reduce hours of study, but no
fees paid to the state, for insurance producer licensing.
The Out Years
The annualized ongoing fiscal impact identified above would 2021SB-00841-R000356-FN.DOCX Page 2 of 2
continue into the future subject to the penalties assessed.
Sources: Connecticut Insurance Department