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Committee hears bill directing Insurance Commissioner study on insurance options for permanently affordable homeownership

2706075 · March 19, 2025
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Summary

Second Substitute House Bill 1516 would direct the Office of the Insurance Commissioner to study insurance options for permanently affordable homeownership units and submit a report with recommendations to the legislature by December 2026.

Second Substitute House Bill 1516, which would require the Office of the Insurance Commissioner (OIC) to study insurance coverage options for permanently affordable homeownership units, received bipartisan testimony Wednesday before the Senate Business, Financial Services, Gaming & Trade Committee.

John Kim, committee staff, summarized the bill and its background, saying the measure responds to insurer market conditions that stakeholders have said limit condominium production and add cost for permanently affordable homeownership models. "The bill before you requires the Office of the Insurance Commissioner to conduct a study regarding how projects that develop new, permanently affordable homeownership units may use different insurance coverage options and approaches to reduce costs relating to condo…

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