HB 724

Bill Subjects

Administrative Regulations And Proceedings Advisory Boards, Commissions, And Committees Banks And Financial Institutions Commerce Compacts, Interstate Economic Development Insurance Interstate Cooperation Local Mandate Reports Mandated Short Titles And Popular Names State Agencies Taxation Technology

Abstract

Establish subtitle 53 of KRS chapter 304 to establish definitions, purpose, and interpretation of Insurance and Related Innovation Sandbox Law; establish director of innovation within the Department of Insurance; establish duties of the director of innovation; establish procedures, parameters, and application process for obtaining a waiver or no-action letter with respect to specified requirements imposed by statute or regulation for insurance-related innovations; establish procedures and parameters for obtaining an innovative insurer license; establish procedures and parameters for reviewing and accepting or rejecting applications, the testing phase of an innovation, and the issuance of extended no-action letters; provide for the confidentiality of certain documents, materials, or other information created, produced, obtained, or disclosed in relation to the subtitle; establish the Kentucky Innovation Council; require the commissioner of insurance and other applicable agencies to adopt uniform procedures, by administrative regulation or cooperation agreement, for the administration of the subtitle; require the commissioner of insurance and other applicable agencies to enter into any interstate innovation compact or memorandum of understanding and cooperation agreement necessary to carry out the purposes of the subtitle; establish procedures and parameters for any interstate innovation compact or memorandum of understanding and cooperation agreement; authorize information sharing with the insurance supervisory official of any state, province, or country; require the commissioner of insurance and any applicable agency to report to the Interim Joint Committee on Banking and Insurance; amend KRS 304.10-030 and 304.10-040 to permit surplus lines insurance to be procured from a domestic surplus lines insurer; amend KRS 304.2-120 to permit licensees to make electronic notices; require notices and orders of the commissioner of insurance be served electronically; amend KRS 304.1-120 and 304.11-030 to conform; amend KRS 91A.080 to exempt sandbox participants and innovative insurers from local government premium tax; amend KRS 154.32-010 to add or modify definitions related to insurance innovators; amend KRS 154.32-020 to allow an insurance innovator to qualify for an economic development project and to include within the allowable incentives the insurance premiums taxes paid to the Commonwealth; make conforming changes and require reporting to the Interim Joint Committee on Appropriations and Revenue; amend KRS 154.32-070 to conform; create new sections of KRS Chapter 136 to allow the insurance innovator tax credit and to order the various tax credits allowable; amend KRS 131.190 to allow reporting on the tax credit data; repeal KRS 304.3-700 to 304.3-735, relating to insurance regulatory sandbox laws; provide that Sections 1 to 15 of Act may be cited as the Insurance and Related Innovation Sandbox Law.