90th General Assembly · Funnel one-pager · Monday, November 9, 2026

HF 2121: Relating to the taxation of captive companies, and including effective date provisions

Became HF 2636 · Its progress continues under the new number.

What it does

This bill relates to the calculation of the amount of reinsurance tax (tax) due from a captive company. The bill changes the amount of tax due from a captive company on the first $20 million of assumed reinsurance premiums from two-tenths of percent to two hundred thousandths of percent; the amount of tax due on the $20 million of assumed reinsurance premiums written after the first $20 million of assumed reinsurance premiums are written from one-eighth of percent to one hundred twenty-five thousandths of percent; and the amount of tax due on each dollar of assumed reinsurance premiums written after the first $40 million of assumed reinsurance premiums from percent on each dollar to forty-five thousandths of percent.

Cost

Can’t be estimated

0 million annually. 1% reduction. 6% reduction. There are not currently any reinsurance premium taxes collected on captive insurance companies; therefore, the fiscal impact to the State cannot be determined.

House subcommittee · named February 20, 2024

Rep. Shannon Lundgren (R) · shannon.lundgren@legis.iowa.gov
Rep. Kenan Judge (D) · kenan.judge@legis.iowa.gov
Rep. Derek Wulf (R) · derek.wulf@legis.iowa.gov

Lobbying · 1 for, 0 against

For: Iowa Insurance Division

In plain words

January 23, 2024Filed in the House and sent to the Ways and Means committee
February 8, 2024House subcommittee named: Lundgren, Jacoby and Wulf
February 20, 2024House subcommittee named: Lundgren, Judge and Wulf
February 22, 2024Subcommittee recommended passing it
February 28, 2024Approved by the House committee
February 28, 2024Approved by the House committee, and given a new number: HF 2636
February 28, 2024Cost estimate (fiscal note) posted
March 20, 2024Withdrawn