---
title: HR 40. House Study Committee on Reinsurance for Essential Industries; create
collection: bills
id: 2025-2026/hr40
cite_as: HR 40, 2025-2026 Regular Session (Ga.)
canonical_url: https://georgiacommons.org/bills/2025-2026/hr40
md_url: https://georgiacommons.org/bills/2025-2026/hr40.md
text_url: https://georgiacommons.org/bills/2025-2026/hr40/text
source_url: https://www.legis.ga.gov/legislation/69445
date: 2025-04-04
status: passed
corpus_version: bills-2026-08-28
license: Public record of the Georgia General Assembly, via LegiScan; see about.md
publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice.
up: https://georgiacommons.org/bills/2025-2026.md
previous: https://georgiacommons.org/bills/2025-2026/hr39.md
next: https://georgiacommons.org/bills/2025-2026/hr41.md
index: https://georgiacommons.org/bills/index.md
omitted: votes and history
omitted_chars: 452
omitted_url: https://georgiacommons.org/bills/2025-2026/hr40.md?full=1
bill_number: HR 40
session: 2025-2026 Regular Session
session_slug: 2025-2026
chamber: House
bill_type: resolution
status_date: 2025-04-04
last_action: House Passed/Adopted By Substitute
sponsors:
  - Demetrius Douglas
  - Noel Williams
  - Scott Holcomb
  - Darlene Taylor
  - Carolyn Hugley
  - Stacey Evans
text_version: Comm Sub
has_text: true
legiscan_url: https://legiscan.com/GA/bill/HR40/2025
upstream_id: 1929248
summaries_model: claude-sonnet-5
topic_tags:
  - insurance reform
  - reinsurance
  - small business costs
  - agriculture recovery
  - legislative study committees
---

# HR 40. House Study Committee on Reinsurance for Essential Industries; create

## Text

LC 59 0182S
The House Committee on Rules offers the following substitute to HR 40:
A RESOLUTION
Creating the House Study Committee on Reinsurance for Essential Industries; and for other1
purposes.2
WHEREAS, continual increases in both the frequency and severity of claims will increase3
the cost of the property and casualty reinsurance market, which results in higher premiums4
and lower coverage; and5
WHEREAS, commercial property and casualty insurance brokers hav e reported quarterly6
price increases of an average of six percent, which can pressure insured entities to purchase7
inadequate products that do not reflect their actual exposure; and8
WHEREAS, the National Association of Insurance Commissioners states that rising claims9
costs driven primarily by increased frequency of severe storms and rising replacement costs10
continued to challenge United States property and casualty insurers; and11
WHEREAS, these increasing prices disproportionally affect small businesses who may be12
forced to purchase lower limits that do not cover their replacement costs; and13
- 1 -
LC 59 0182S
WHEREAS, Georgia Commissioner of Agriculture Tyler Harper and G overnor Brian P.14
Kemp, the University of Georgia College of Agricultural and Environmental Sciences, and15
the Georgia Forestry Commission announced the preliminary estimate of Hurricane Helene's16
economic impact on Georgia agriculture is $6.46 billion; and17
WHEREAS, Georgia Commissioner of Agriculture Tyler Harper state d, "The future is18
uncertain for thousands of Georgia farmers and farm families wh o were devastated by19
Hurricane Helene"; and20
WHEREAS, increased capacity in Georgia's commercial property and casualty reinsurance21
market will significantly reduce the overhead costs for all bus inesses, especially small22
businesses.23
NOW, THEREFORE, BE IT RESOLVED BY THE HOUSE OF REPRESENTATIVES:24
(1) Creation of House study committee. There is created the House Study Committee25
on Reinsurance for Essential Industries.26
(2) Members and officers.27
(A) The committee shall be composed of seven members.28
(B) The Speaker of the House of Representatives shall appoint five members of the29
House of Representatives who are members of the House Committee on Insurance.30
(C) The Speaker shall also appoint an additional two nonlegisl ative members of the31
committee as follows:32
(i) The Commissioner of Insurance, or his or her designee; and33
(ii) The Commissioner of Agriculture, or his or her designee.34
(D) The Speaker shall also designate a legislative member of t he committee as35
chairperson of the committee.36
- 2 -
LC 59 0182S
(3) Powers and duties.37
(A) The committee shall undertake a study of the conditions, n eeds, issues, and38
problems mentioned above and the terms and conditions necessary for public-private39
partnerships in Georgia's commercial property and casualty reinsurance market, under40
which the Georgia Department of Insurance will calculate reinsu rance payments to41
issuers participating in Georgia's Reinsurance for Essential Industries Program.42
(B) The committee shall identify:43
(i) Ways in which the state can facilitate special risk pools with public-private funds;44
(ii) The approximate amount of funding necessary for premium reductions for special45
risk pools;46
(iii) Criteria to identify essential industries of strategic interest in the state facilitated47
special risk pools; and48
(iv) Industries whose premium reductions would be the most beneficial for Georgia's49
economy.50
(C) The committee shall recommend any action or legislation which it deems necessary51
or appropriate.52
(4) Meetings. The chairperson shall call all meetings of the committee. The committee53
may conduct such meetings at such places and at such times as it may deem necessary or54
convenient to enable it to exercise fully and effectively its powers, perform its duties, and55
accomplish the objectives and purposes of this resolution.56
(5) Allowances, expenses, and funding.57
(A) The legislative members of the committee shall receive the allowances provided58
for in Code Section 28-1-8 of the Official Code of Georgia Annotated.59
(B) Members of the committee who are state officials, other than legislative members,60
or who are state employees shall receive no compensation for th eir services on the61
committee, but they may be reimbursed for expenses incurred by them in the62
- 3 -
LC 59 0182S
performance of their duties as members of the committee in the same manner as they63
are reimbursed for expenses in their capacities as state officials or employees.64
(C) The allowances authorized by this resolution shall not be received by any member65
of the committee for more than three days unless additional days are authorized. Funds66
necessary to carry out the provisions of this resolution shall come from funds67
appropriated to the House of Representatives; except that funds for the reimbursement68
of the expenses of state officials, other than legislative memb ers, and for the69
reimbursement of the expenses of state employees shall come from funds appropriated70
to or otherwise available to their respective agencies.71
(6) Report.72
(A) In the event the committee adopts any specific findings or recommendations that73
include suggestions for proposed legislation, the chairperson shall file a report of the74
same prior to the date of abolishment specified in this resolut ion, subject to75
subparagraph (C) of this paragraph.76
(B) In the event the committee adopts a report that does not i nclude suggestions for77
proposed legislation, the chairperson shall file the report, subject to subparagraph (C)78
of this paragraph.79
(C) No report shall be filed unless the same has been approved prior to the date of80
abolishment specified in this resolution by majority vote of a quorum of the committee.81
A report so approved shall be signed by the chairperson of the committee and filed with82
the Clerk of the House of Representatives.83
(D) In the absence of an approved report, the chairperson may file with the Clerk of the84
House of Representatives a copy of the minutes of the meetings of the committee in lieu85
thereof.86
(7) Abolishment. The committee shall stand abolished on December 1, 2025.87
- 4 -

## Summaries written by Georgia Commons

The following was written by claude-sonnet-5 from the text above and is not part of the resolution. Quote the text, not the summary.

A Georgia House resolution would create a study committee to examine ways to boost the state's commercial property and casualty reinsurance market, aiming to lower insurance costs for small businesses and farmers.

### Plain-language summary

Rising insurance claims and reinsurance costs have been pushing up commercial property and casualty insurance premiums, which especially strains small businesses and farmers, including those hit by Hurricane Helene's estimated $6.46 billion agricultural impact in Georgia. This resolution does not change insurance law directly. Instead, it creates the House Study Committee on Reinsurance for Essential Industries to study whether Georgia can set up public-private partnerships or special risk pools to reduce insurance premiums for key industries.
The seven-member committee includes five House Insurance Committee members, the Commissioner of Insurance, and the Commissioner of Agriculture (or their designees), with a chairperson picked by the Speaker. The committee would study funding needs, identify which industries should qualify for reduced premiums, and can recommend legislation. It must file any findings before it is abolished on December 1, 2025.

### What it does

- Creates the House Study Committee on Reinsurance for Essential Industries to examine Georgia's commercial property and casualty reinsurance market.
- Sets committee membership at seven: five House Insurance Committee members, the Commissioner of Insurance (or designee), and the Commissioner of Agriculture (or designee).
- Directs the committee to study public-private partnerships, special risk pools, funding needed for premium reductions, and which industries should qualify.
- Allows the committee to recommend legislation or other action based on its findings.
- Sets legislative member pay under O.C.G.A. § 28-1-8 and limits allowances to three days unless more are authorized.
- Abolishes the committee on December 1, 2025, requiring any report to be filed before that date.

### Who it affects

Members of the House Committee on Insurance who may be appointed to the study committee, the Commissioner of Insurance and Commissioner of Agriculture, and indirectly small businesses and farmers facing rising property and casualty insurance premiums, including those affected by Hurricane Helene.

### Why it matters

The resolution does not lower insurance costs itself, but it sets up a formal process for state officials to explore ways to reduce reinsurance and premium costs, which could eventually shape legislation affecting how much Georgia businesses and farmers pay for property and casualty coverage.

### Key provisions

- Paragraph (1) creates the House Study Committee on Reinsurance for Essential Industries.
- Paragraph (2) sets membership at seven, including five legislators from the House Insurance Committee and two nonlegislative members, with a Speaker-appointed chairperson.
- Paragraph (3) directs the committee to study special risk pools, funding levels for premium reductions, and criteria for identifying essential industries.
- Paragraph (5) sets pay for legislative members under O.C.G.A. § 28-1-8 and caps allowances at three days unless extended.
- Paragraph (6) requires any approved report or recommended legislation to be filed with the Clerk of the House before the committee is abolished.
- Paragraph (7) abolishes the committee on December 1, 2025.

## Status

- Status: Passed (2025-04-04)
- Last action: House Passed/Adopted By Substitute (2025-04-04)
- Sponsors: Demetrius Douglas, Noel Williams, Scott Holcomb, Darlene Taylor, Carolyn Hugley, Stacey Evans
- Official page: https://www.legis.ga.gov/legislation/69445

> The history, votes, and amendments (452 characters) are at https://georgiacommons.org/bills/2025-2026/hr40.md?full=1