Enrolled Bill Summary

House Bill 2492	House Author:  Frullo et al.
Effective:  1-1-18	Senate Sponsor:  Zaffirini

            House Bill 2492 amends the Insurance Code to authorize a property and casualty insurance company organized under statutory provisions providing general incorporation and regulatory requirements for insurance companies other than life, health, or accident insurance companies that has capital and surplus in a certain amount to apply to the Texas Department of Insurance for designation as a domestic surplus lines insurer. The bill subjects a domestic surplus lines insurer to statutory provisions relating to the regulation of surplus lines insurance and to certain other insurance laws and specifies the statutory provisions to which a domestic surplus lines insurer is not subject. The bill limits the authority of a domestic surplus lines insurer to insure a risk in Texas and prohibits a domestic surplus lines insurer from issuing certain policies. The bill subjects the premium for a surplus lines policy written by a domestic surplus lines insurer to the surplus lines insurance premium tax, if applicable, and subjects a domestic surplus lines insurer to an applicable maintenance tax. The bill sets out requirements for domestic surplus lines documents and authorizes a qualified foreign insurer to redomesticate to Texas as a domestic surplus lines insurer.