NM PROPERTY INSURANCE PGM. ASSOC. BOARD

SB 81 creates the New Mexico Property Insurance Program Association Board to administer the state's Fair Plan, which provides property insurance to residents and businesses unable to secure coverage in the regular market. The board, composed of nine members representing insurers, consumers, climate science, and risk management, will set actuarially sound premium rates (capped at $1 million for residential properties and $5 million for commercial properties) and establish operational rules. This directly affects property owners in high-risk areas and insurers required to participate in the Fair Plan. The bill also mandates that rates reflect expected losses, expenses, and reinsurance costs while ensuring equitable access to insurance.