This bill amends and reenacts R.S. 40:1428(C) and repeals R.S. 40:1428(A)(3), focusing on the assessment of fees on direct premiums of insurers and the collection of these fees by the Department of Insurance. The amended section establishes the Insurance Fraud Investigation Dedicated Fund Account, which will receive an amount equal to the fees collected and will be used exclusively for the purposes outlined in the legislation. Notably, the bill stipulates that all unexpended and unencumbered funds in the account at the end of the fiscal year will remain in the account, rather than being refunded to insurers as previously required.

The repeal of R.S. 40:1428(A)(3) eliminates certain fee reductions that were in place, thereby streamlining the fee structure for insurers. The bill emphasizes that the funds in the dedicated account will be categorized as fees and self-generated revenue, ensuring they are available for annual appropriation by the legislature. The provisions of the bill will take effect upon the governor's signature or, if not signed, after the designated period for bills to become law without signature.

Statutes affected:
HB401 Original: 40:1428(C), 40:1428(A)(3)
HB401 Engrossed: 40:1428(C), 40:1428(A)(3)
HB401 Enrolled: 40:1428(C), 40:1428(A)(3)
HB401 Act 83: 40:1428(C), 40:1428(A)(3)