DIFS seeks $1.63 million in restricted authority and five staff to expand appeals, enforcement and cybersecurity

Director Anita Fox told the House Appropriations subcommittee on Licensing and Regulatory Affairs on March 20 that the Department of Insurance and Financial Services is seeking $1,634,200 in additional state‑restricted spending authority for fiscal 2026, including five full‑time positions to handle growing volumes of appeals, enforcement cases, cybersecurity events and technology needs.

The request, Fox said, reflects growth in the industries the department regulates — insurance, state‑chartered banks and credit unions, mortgage companies, money transmitters and others — and the department’s fee‑funded operating model. "We are, totally fee funded, restricted funds," Fox said, adding the department does not draw on the general fund and uses industry fees to finance licensing and oversight.

The budget ask breaks down to about $955,000 for employee payroll adjustments and administrative costs that are routine statewide, with the remainder allocated to five new staff: one to support independent external medical appeals under the Patient's Right to Independent Review Act (PRIRA); one to process rising numbers of…