Environment
No direct effect
Neutral — no direct effect identified.
Benefits
- No material direct effect identified.
Risks
- No material direct effect identified.
StateIowaIntroduced
HF 2766: A bill for an act relating to captive insurance companies and life captive reinsurance companies, and including civil penalties.
COMMITTEE ON WAYS AND MEANS
HF 2766 status: Introduced — Fiscal note (updated May 27, 2026).
Source
LegiScan
Confidence
High
Analysis basis
LegiScan full bill text
01
What this bill does
Official summary alongside an AI-generated read on where it stands and why.
Overall Score
73OUT OF 100
Score:73/100 civic fit
Risk:Moderate Risk
Impact:Moderate Impact 60/100
Constitutionality90%
Bipartisan85%
Public opinion50%
Bill summary
What changes
The bill creates a formal framework for 'life captive reinsurance' companies, establishes new standards for insurance securitization, and modernizes existing captive insurance statutes.
Who is affected
Insurance companies seeking to create captive reinsurance vehicles, parent companies, and the Iowa Insurance Division.
Requirements and enforcement
Entities must obtain a certificate of authority, maintain specific capital/surplus minimums, undergo mandatory independent audits, and comply with commissioner-approved plans of operation.
Costs and funding
Initial and renewal fees for certificates of authority; costs associated with mandatory actuarial examinations and reports.
When it takes effect
Effective for the 2026 Code year; tax waiver for redomestication available through 2029.
Potential benefits
Provides a competitive legal environment for risk management, attracts insurance industry capital to Iowa, and clarifies oversight for complex reinsurance structures.
Risks and tradeoffs
High confidentiality of financial reports, reliance on commissioner's individual oversight, and long-term risks associated with life reinsurance securitization assets.
What is still unknown
The long-term impact on state tax revenue from premium tax waivers and the adequacy of stress tests for specific complex securitization instruments.
02
Impact analysis
✦ AI analysisModeled effects across six domains, estimated from bill text and comparable legislation.
Economy
Positive outlook
85%
Benefits
- Establishes a comprehensive framework for life captive reinsurance
- Encourages captive insurance redomestication through tax incentives
- Provides clear pathways for insurance securitization and capital market access
Risks
- Complexity of securitizations may pose long-term systemic financial risk
- Dependent on individual commissioner expertise for effective oversight
- Potential for loss of premium tax revenue due to redomestication incentives
Society
No direct effect
Neutral — no direct effect identified.
Benefits
- No material direct effect identified.
Risks
- No material direct effect identified.
Technology Industry
No direct effect
Neutral — no direct effect identified.
Benefits
- No material direct effect identified.
Risks
- No material direct effect identified.
Civic Accountability
Positive outlook
60%
Benefits
- Grants the insurance commissioner broad oversight of captive operations
- Mandates recurring financial examinations of captive entities
- Requires filing of actuarial opinions to ensure reserve adequacy
Risks
- Shields tax returns and captive filings from public inspection
- Discretionary nature of regulatory approvals limits public oversight
- Confidentiality requirements hinder public transparency of captive data
Public Health & Safety
No direct effect
Neutral — no direct effect identified.
Benefits
- No material direct effect identified.
Risks
- No material direct effect identified.
03
How trustworthy & consequential it is
Sourcing already shown above, this is what the analysis found worth flagging.
Source
LegiScan
Official bill text or data from LegiScan.
Confidence
High
Information is complete and verified.
Analysis basis
LegiScan full bill text
Source used for this bill's analysis.
Source note
Systemic financial risk could arise if complex reinsurance securitizations are improperly capitalized or stress-tested
Analysis scope
Economic impact depends heavily on commissioner’s future rulemaking
04
Where it stands
Official record- IntroducedCurrent
- CommitteeUpcoming
- Chamber votesUpcoming
- Final agreementUpcoming
- GovernorUpcoming
- EnactedUpcoming
05
How it affects your district
✦ Personalized
Set your location
Add your district to see how this bill may affect your community and who to contact.
Your Representatives
Your representatives appear here once you add your location.
06
Take action
Contact your representatives
Let them know how you feel about this bill.
Share your view
Join the discussion and see what others are saying.
Track this bill
Stay updated on progress and changes.