BILL ANALYSIS

Senate Research Center	H.B. 4153
87R8369 MWC-F	By: Sanford (Paxton)
	Business & Commerce
	5/15/2021
	Engrossed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

State law requires title insurance companies, title insurance agents, and direct operations to submit annual audit reports of trust fund accounts to the Texas Department of Insurance (TDI). Currently, these reports must be submitted to TDI by certified mail with postage prepaid. As TDI receives and processes more than 650 reports annually, this requirement constitutes an unnecessary administrative burden on TDI at the same time that TDI otherwise has been streamlining its procedures to go paperless. H.B. 4153 seeks to provide for the electronic submission of these annual audit reports.

H.B. 4153 amends current law relating to the filing of an annual audit report by a title insurance company, title insurance agent, or direct operation.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amend Section 2651.151(b), Insurance Code, as follows:

(b) Requires a title insurance agent or direct operation to file with, rather than send by certified mail, postage prepaid to, the Texas Department of Insurance one copy of the annual audit report of trust fund accounts with a transmittal letter. Makes a nonsubstantive change.

SECTION 2. Amends Section 2651.152(b), Insurance Code, to make a conforming change.

SECTION 3. Effective date: September 1, 2021.