FISCAL NOTE
Date Requested: January 30, 2026
Time Requested: 05:30 PM |
| Agency: |
Insurance Commission |
|---|
| CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
| 1858 |
Introduced |
SB661 |
|
|---|
| CBD Subject: |
Insurance |
|---|
|
FUND(S):
7152
Sources of Revenue:
Special Fund
Legislation creates:
Increases Existing Expenses
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
Senate Bill 661, if enacted, clarifies commercial real property insurance policies may be underwritten for any amount agreed-upon by the parties, even if that amount is less than the replacement cost value.
The provisions outlined in SB661 will likely increase the workload of the Property and Casualty Consumer Complaint Unit. This increase would require the hiring of additional staff to manage the estimated complaints, calls and inquiries.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2026
Increase/Decrease
(use"-") |
2027
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
80,000 |
80,000 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
The estimate above accounts for the hiring of one Property and Casualty Complaint Specialist position at $55,000 salary and $25,000 employer paid benefits per year.
Memorandum
Senate Bill 661, if enacted, clarifies commercial real property insurance policies may be underwritten for any amount agreed-upon by the parties, even if that amount is less than the replacement cost value.
Based on a review of other states with a similar law, the WV Offices of the Insurance Commissioner (WVOIC) estimates a ~20% increase in Property and Casualty consumer complaints and insurer inquiries relating to the interpretation and claims handling provisions in SB661. An increase of this extent would require hiring additional staff.
The WVOIC estimates one P&C Complaint Specialist would be needed to manage the increased workload of approximately 300 complaints per year. The total cost to the WVOIC, including the position's salary ($55,000) and employer paid benefits (~$25,000), is estimated at $80,000 annually.
Person submitting Fiscal Note: Juanita Wimmer
Email Address: Juanita.D.Wimmer@wv.gov