HB1868
To Require An Insurer To Pay A Fair And Reasonable Service Fee Directly To A Fire Department For Firefighting Services Based On Time On Scene.
Last Action (May 5, 2025): Died in House Committee at Sine Die adjournment.
Sponsors
AI-Generated Summary
House Bill 1868 mandates that insurance companies pay a fair and reasonable service fee directly to fire departments for their responses to structure fires, accidents, or motor vehicle fires. The bill defines 'time on scene' as the documented duration from arrival at the emergency until the scene is cleared. This requirement applies whenever a fire department responds to an incident within its jurisdiction involving insured property. The primary goal is to ensure fire departments are compensated for the services provided during emergency calls. This creates a new statutory obligation for insurers to provide direct payment to emergency responders for their operational costs on scene.
Potential Impact Analysis
Who Might Benefit?
The primary beneficiaries are fire departments and the local governments that fund them, as the bill provides a dedicated revenue stream for firefighting services rendered. Additionally, taxpayers in the fire department's jurisdiction may benefit if the fees help offset the operational costs of maintaining emergency response capabilities, potentially easing the fiscal burden on municipal or rural district budgets.
Who Might Suffer?
Insurance companies would be negatively impacted as they would be required to pay additional service fees for claims involving fire department responses, which could lead to increased operational costs and potentially higher insurance premiums for policyholders. Furthermore, property owners and vehicle owners might see indirect negative impacts if insurers pass these mandated costs onto them through rate adjustments or changes to policy coverage terms.
Get Notified
Receive an email when this bill's status changes.