A BIG VICTORY FOR THE PIAW LEGISLATIVE TEAM
Reforming the Local Government Property Insurance Fund
Governor Walker recently signed AB 584, sponsored by Senator Frank Lasee and Representative John Nygren, to reform the LGPIF. In a signing ceremony at the Capitol, PIA President Rick Clements and Executive Vice President Ron Von Haden (1st and 2nd on left) stood with the Governor, legislators other industry representatives as he signed the new law to be effective June 30, 2016.
PIA legislative team members had been working completely shut down the LGPIF as part of the last biennial budget but that effort hit some political roadblocks so introduction of new legislation had to be passed to force the LGPIF to act in an actuarially sound manner and not as a publicly supported competitor to the private insurance industry.
The private insurance market, led by independent insurance agents across the state, has proven that it can provide professionally designed coverage to local government units at competitive rates and sound insurance principles. The LGPIF has been in financial trouble for several years but now will have to adhere to stricter rules and regulations.
The PIA team is proud of our involvement in this process to reform the LGPIF and clear a competitive path for independent agents. We congratulate Senator Lasee, Representative Nygren and Governor Walker for their commitment to a private industry solution to an unnecessary government boondoggle.