New Hampshire HB 1056: establishing a commission to study the impacts of reinsurance on the cost and availability of property insurance in New Hampshire.

Bill Text

HB 1056 - AS INTRODUCED

2026 SESSION

 26-2570.0

 05/09

HOUSE BILL 1056

AN ACT establishing a commission to study the impacts of reinsurance on the cost and availability of property insurance in New Hampshire.

SPONSORS: Rep. Spier, Hills. 6; Rep. Burroughs, Carr. 2; Rep. Caplan, Merr. 8; Rep. Cloutier, Sull. 6; Rep. Ebel, Merr. 7; Rep. Haskins, Rock. 11; Rep. H. Howard, Straf. 4; Rep. Vail, Hills. 6

COMMITTEE: Commerce and Consumer Affairs

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ANALYSIS

 This bill establishes a commission to study the impact of extreme weather on the reinsurance market and its effect on cost and availability of property insurance in New Hampshire.

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Explanation: Matter added to current law appears in bold italics.

 Matter removed from current law appears [in brackets and struckthrough.]

 Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

 26-2570.0

 05/09

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Twenty-Six

AN ACT establishing a commission to study the impacts of reinsurance on the cost and availability of property insurance in New Hampshire.

Be it Enacted by the Senate and House of Representatives in General Court convened:

 1 Findings. 

 I. The reasonable cost and availability of insurance for residential and commercial buildings and structures is essential to the health of New Hampshire’s economy, including the ability of residents and businesses to finance the purchase of property and to recover from losses, including losses caused by fire, flooding, hurricanes, and other extreme weather events. 

 II. New Hampshire currently has hundreds of licensed national insurance carriers and smaller regional or specialty insurers that are approved to sell property-related coverage. The resulting competition serves to put downward pressure on premium costs. However, carriers count on lowering their risks and maintaining reasonable premiums by purchasing reinsurance. Reinsurance is a critical risk management tool that keeps the insurance market functioning smoothly — especially when catastrophic events like hurricanes, wildfires, or earthquakes could otherwise overwhelm a single company’s balance sheet. 

 III. In recent years, the cost of reinsurance has contributed significantly to upward pressure on insurance rates. Reinsurance pricing is influenced by loss patterns arising from extreme weather events both nationally and globally, such as hurricanes, wildfires, and flooding. Reinsurers manage risks from numerous insurers across various regions, distributing exposure geographically. For instance, following the California wildfires, reinsurers incurred substantial payouts to cover property insurance claims. Significant capital depletion from major events—such as the $40 billion losses in California—results in the repricing of risk portfolios on a nationwide basis. Property insurers in New Hampshire, particularly those exposed to coastal storms and winter hazards, experienced higher reinsurance renewal rates in mid-2025, reflecting constrained global capacity driven in part by losses sustained in California. Specifically, New Hampshire insurers with portfolios heavily weighted toward winter storm exposure and material 2023-2024 losses saw reinsurance renewal rate increases of approximately 15–20 percent in mid-2025. As reinsurance costs rise, the increases are typically passed on to policyholders through higher property insurance premiums. 

 IV. As indicated, the average cost of real property insurance has increased by approximately 20 percent, with future annual increases anticipated to occur. The increasing cost of insurance is a growing cost borne by homeowners and businesses and exacerbates the state’s housing crisis. 

 2 New Subdivision; Commission to Study the Impacts of Reinsurance on the Cost and Availability of Property Insurance in New Hampshire. Amend RSA 400-A by inserting after section 68 the following new subdivision:

Commission to Study the Impacts of Reinsurance on the Cost and Availability of Property Insurance in New Hampshire

 400-A:69 Commission to Study the Impacts of Reinsurance on the Cost and Availability of Property Insurance in New Hampshire. 

 I. There is hereby established a commission to study the impact of extreme weather on the reinsurance market and its effect on the cost and availability of property insurance in New Hampshire. 

 II. The members of the commission shall be as follows:

 (a) Four members of the house of representatives, appointed by the speaker of the house of representatives, in consultation with the minority leader.

 (b) Two members of the senate, appointed by the president of the senate, in consultation with the minority leader.

 (c) The commissioner of the department of ins