The proposed bill would amend current statutes related to the assessment amounts for domestic insurers based on their total admitted assets. Specifically, it would increase the maximum allowable assessment amounts for various asset ranges, replacing the current maximums with new figures: for insurers with assets over $1 billion, the maximum would rise from $22,500 to $39,375; for those between $1 billion and $200 million, from $7,500 to $13,125; for those between $199,999,999 and $100 million, from $4,500 to $7,875; for those between $99,999,999 and $50 million, from $2,250 to $3,940; for those between $49,999,999 and $25 million, from $750 to $1,315; and for those with less than $25 million, from $375 to $655.

Additionally, the bill introduces a mechanism for adjusting these maximum assessment amounts annually starting July 1, 2027, based on the lesser of a 2.5% increase or the average annual change in the Metropolitan Phoenix Consumer Price Index. It also stipulates that the adjusted amounts cannot fall below the previous year's figures and must be rounded to the nearest whole dollar. The act would apply retroactively from December 31, 2025, and includes a provision requiring a two-thirds legislative vote for enactment.

Statutes affected:
Introduced Version: 20-156
House Engrossed Version: 20-156