OFIS COMMISSIONER JURISDICTION - S.B. 1125: COMMITTEE SUMMARY
Senate Bill 1125 (as introduced 2-19-02)
Sponsor: Senator Bill Bullard, Jr.
Committee: Financial Services
Date Completed: 3-11-02
CONTENT
The bill would amend the Insurance Code to provide that the Commissioner of the Office of Financial and Insurance Services would have sole and exclusive jurisdiction to determine whether an insurer had an appropriate amount of capital and surplus, subject to Chapter 4.
Under Chapter 4 of the Code, the Commissioner must authorize insurers before they may sell insurance policies in the State. Section 408 of the Code establishes the amount of capital, surplus, and assets insurers must possess and maintain before they can be authorized. The bill would authorize the Commissioner to determine if an insurer's capital and surplus were appropriate.
In addition, the bill states that it "...is intended to codify long-standing administrative and commercial powers of the commissioner pursuant to his or her legal authority."
Proposed MCL 400.401 - Legislative Analyst: Claire Layman
FISCAL IMPACT
The bill would have no fiscal impact on State or local government.
- Fiscal Analyst: Elizabeth PrattS0102\s1125sa
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.