HB 1283-FN – AS INTRODUCED

2012 SESSION

12-2401

01/10

HOUSE BILL 1283-FN

AN ACT relative to insurance payments for domestics.

SPONSORS: Rep. Greemore, Belk 3; Rep. Simpson, Belk 1; Rep. Worsman, Belk 3; Rep. Brosseau, Graf 6

COMMITTEE: Commerce and Consumer Affairs

ANALYSIS

This bill repeals the requirement that all insurance companies provide workers’ compensation insurance covering domestics.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

12-2401

01/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Twelve

AN ACT relative to insurance payments for domestics.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Repeal. The following are repealed:

I. RSA 281-A:5, II, relative to ways of securing payment of compensation for domestics.

II. RSA 281-A:6, relative to securing payment of compensation for domestics.

2 Effective Date. This act shall take effect January 1, 2013.

LBAO

12-2401

11/15/11

HB 1283-FN - FISCAL NOTE

AN ACT relative to insurance payments for domestics.

FISCAL IMPACT:

The Department of Insurance states this bill will decrease state general fund revenue by $8,813 in FY 2013 and each year thereafter, and may increase state expenditures by an indeterminable amount in FY 2013 and each year thereafter. There is no fiscal impact on county and local revenue and expenditures.

METHODOLOGY:

The Insurance Department states this bill repeals the requirement that all insurance companies provide workers’ compensation insurance covering domestics. The Department states this bill will decrease state revenue by $8,813 each year based on the following assumptions:

A

Total Number of Policies

470,000

B

Percent without Workers’ Compensation Endorsement

50%

C

Premium Tax Percentage

1.25%

D

Average Cost of Coverage

$3.00

Total (A*B*C*D)

$8,813

The Department states there will be domestics who get injured and are not covered by workers’ compensation insurance that may result in additional costs to the State as it relates to lawsuits and medical costs. The Department is not able to project or estimate the increased costs that may result.