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Insurance regulator defends Salesforce-based tracking system as costs rise; hearings probe Maryland Auto affordability options
Summary
The Maryland Insurance Administration told the subcommittee an insurance-tracking system replacement using Salesforce will cost an estimated $29.8M through FY27 (outer bounds to ~$33.8M through FY28), up from earlier $18.1M estimates; the agency pledged not to seek FY26 or FY27 budget amendments and said it will provide updated reporting, while members pushed for detail on audit repeat findings and solutions for Maryland Auto.
Department of Legislative Services summarized the Maryland Insurance Administration budget and a major IT initiative to replace the insurance tracking system, prompting extensive questioning about cost growth and program performance.
DLS analyst Kelly Norton reported the MIA FY27 operating allowance is $59.3 million (a 3.2% increase). Norton highlighted the insurance tracking system project (MITDP), noting earlier estimates of $18.1 million have grown and that DLS now expects project costs to be in a $30–$40 million outer bound without more precise closeout estimates. DLS recommended committee narrative asking MIA for updated reporting on actual and…
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