Juneau watch

House Bill 116, which aims to expand vessel insurance options for commercial fishermen, has passed into law without the governor's signature.

HB 116 stems from a legislative task force examining financial challenges across the fishing industry.

The new law "exempts Alaska-based commercial fishing insurance cooperatives from regulation by the state of Alaska," a legislative press release said.

"Rising costs and limited availability of insurance currently serve as barriers to operation for Alaska's aging commercial fishing fleet," the press release said. "Underwriters have been raising premiums on individual vessels and have become increasingly selective of which vessels they insure."

"We heard from fishing vessel owners about the difficulties and excessive costs they have faced in getting adequate and reasonable insurance coverage," said Senate President Gary Stevens, R-Kodiak, the task force chairman.

"Allowing local folks to band together to form commercial fishing insurance cooperatives will provide a more attractive, lower-risk alternative for underwriters, as well as lower costs for our fishermen," said Rep. Louise Stutes, R-Kodiak.

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The state House has passed a bill to help fishermen form insurance cooperatives.

House Bill 116 addresses "a growing crisis in the commercial fishing sector: the soaring cost and declining availability of vessel insurance," says this press release from the Alaska House Majority Coalition. "Traditional insurers have increasingly raised premiums and refused coverage for older vessels, making it difficult for many small operators to stay in business."

Some insurance pools already operate in Alaska, but they're based in Washington state, the sponsor statement for HB 116 says.

The bill now goes to the Senate for consideration.