Colorado Legislative Council Staff
NO FISCAL IMPACT
March 30, 1999
Senate Business Affairs
Will Meyer (303-866-4976)
TITLE: CONCERNING THE AUTHORITY OF NONBANK SUBSIDIARIES OF BANK HOLDING COMPANIES TO UNDERWRITE INSURANCE IN COLORADO.
Summary of Assessment
This bill deletes bank holding companies from the definition of "financial institutions" who may sell insurance, thereby enabling a nonbank subsidiary of a bank holding company to underwrite insurance in Colorado. Bank holding companies are defined under federal law, and nonbank subsidiaries of bank holding companies are currently not allowed to underwrite insurance under the Colorado insurance anti-affiliation law.
The provisions of this bill will allow insurance companies (nonbank subsidiary) owned by a bank holding company to underwrite insurance in Colorado. The bill will not affect the Division of Insurance or the Division of Banking, Department of Regulatory Agencies or any other state agency or unit of local government. Therefore, this bill is assessed as having no fiscal impact.