The General Assembly Raised Bill No. 1322 aims to provide protections and studies related to nonprofit human services providers and insurance practices. It introduces a new provision that exempts nonprofit human services providers from liability for injuries caused by the negligent acts of state officials or employees while performing their contractual obligations under a purchase of service contract. Additionally, the bill mandates the Insurance Commissioner to study the feasibility of allowing nonprofit entities to pool their liability insurance policies and to consider establishing a captive insurance company for this purpose. A report on these findings is required by February 1, 2026.

Furthermore, the bill amends existing law regarding insurance requirements for certain vehicles, specifically exempting nonprofit organizations from needing insurance or bonds if they demonstrate sufficient financial responsibility. It also requires the Insurance Commissioner to investigate homeowners insurance practices that impose conditions on policyholders for maintaining coverage, including the necessity and financial impact of required repairs or modifications. This study will also be reported by February 1, 2026. The bill's provisions are set to take effect on October 1, 2025, for certain sections, while others will be effective upon passage.