By: Conley H.B. No. 276 73R1945 PB-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the use of certain information in the determination of 1-3 premium rates charged for motor vehicle insurance. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter A, Chapter 5, Insurance Code, is 1-6 amended by adding Article 5.01A to read as follows: 1-7 Art. 5.01A. USE OF CERTAIN INFORMATION PROHIBITED IN 1-8 DETERMINING RATES. (a) This article applies to motor vehicle 1-9 insurance policies written by all insurers, as that term is used in 1-10 Article 5.01(a) of this code, and includes a policy of motor 1-11 vehicle insurance delivered, issued for delivery, or renewed in 1-12 this state by a county mutual insurance company or by a surplus 1-13 lines agent regulated under Article 1.14-2 of this code. 1-14 (b) In determining and prescribing premium rates under 1-15 Subsections (a)-(e), Article 5.01 of this code, the Board may not 1-16 authorize an insurer to charge an insured a premium for motor 1-17 vehicle insurance coverage based solely on the location of the 1-18 insured's primary residence that is higher than that insured would 1-19 otherwise be liable to pay for identical coverage at a different 1-20 location. 1-21 (c) In adopting a rate under Article 5.101 of this code, an 1-22 insurer may not use a rating factor in the computation of the rate 1-23 filed with the Board for motor vehicle insurance coverage that is 1-24 based solely on the location of an insured's primary residence and 2-1 results in a premium rate higher than the insured would otherwise 2-2 be liable to pay for identical coverage at a different location. 2-3 This subsection expires December 31, 1995. 2-4 SECTION 2. This Act takes effect September 1, 1993, and 2-5 applies only to a policy of motor vehicle insurance that is 2-6 delivered, issued for delivery, or renewed on or after January 1, 2-7 1994. A policy delivered, issued for delivery, or renewed before 2-8 January 1, 1994, is governed by the law as it existed immediately 2-9 before the effective date of this Act, and that law is continued in 2-10 effect for that purpose. 2-11 SECTION 3. The importance of this legislation and the 2-12 crowded condition of the calendars in both houses create an 2-13 emergency and an imperative public necessity that the 2-14 constitutional rule requiring bills to be read on three several 2-15 days in each house be suspended, and this rule is hereby suspended.