HB 1597 -- INSURANCE (Auer)

This bill amends the bonding amount required for insurance
brokers selling surplus lines insurance so as to be the greater
of $10,000 or an amount equal to the broker's tax liability for
the previous tax year.  Currently, a bond of $10,000 is required.

FISCAL NOTE:  No impact on state funds.

HB 1597 -- INSURANCE

SPONSOR:  Auer

COMMITTEE ACTION:  Voted "do pass by consent" by the Committee
on Insurance by a vote of 18 to 0.

This bill amends the bonding amount required for insurance
brokers selling surplus lines insurance so as to be the greater
of $10,000 or an amount equal to the broker's tax liability for
the previous tax year.  Currently, a bond of $10,000 is required.

FISCAL NOTE:  No impact on state funds.

PROPONENTS:  Supporters say that there is currently close to $6
million in liability by Missouri insurers providing surplus
lines insurance, but less than $60,000 in bonds filed with the
Department of Insurance.

Testifying for the bill were Representative Auer; Department of
Insurance; and Independent Insurance Agents of Missouri.

OPPONENTS:  There was no opposition voiced to the committee.

Richard Smreker, Legislative Analyst

HB 1597 -- Insurance

Sponsor:  Auer

This bill amends the bonding amount required for insurance
brokers selling surplus lines insurance so as to be the greater
of $10,000 or an amount equal to the broker's tax liability for
the previous tax year.  Currently, a bond of $10,000 is required.