1-1 By: Chisum, et al. (Senate Sponsor - Bivins) H.B. No. 431
1-2 (In the Senate - Received from the House April 13, 1993;
1-3 April 14, 1993, read first time and referred to Committee on
1-4 Economic Development; May 19, 1993, reported adversely, with
1-5 favorable Committee Substitute by the following vote: Yeas 10,
1-6 Nays 0; May 19, 1993, sent to printer.)
1-7 COMMITTEE VOTE
1-8 Yea Nay PNV Absent
1-9 Parker x
1-10 Lucio x
1-11 Ellis x
1-12 Haley x
1-13 Harris of Dallas x
1-14 Harris of Tarrant x
1-15 Leedom x
1-16 Madla x
1-17 Rosson x
1-18 Shapiro x
1-19 Wentworth x
1-20 COMMITTEE SUBSTITUTE FOR H.B. No. 431 By: Shapiro
1-21 A BILL TO BE ENTITLED
1-22 AN ACT
1-23 relating to the regulation of viatical settlements by the State
1-24 Board of Insurance.
1-25 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-26 SECTION 1. Subchapter E, Chapter 3, Insurance Code, is
1-27 amended by adding Article 3.50-6A to read as follows:
1-28 Art. 3.50-6A. VIATICAL SETTLEMENTS
1-29 Sec. 1. DEFINITION. In this article, "viatical settlement"
1-30 means a contract, entered into by an insured with a terminal
1-31 illness who owns a life insurance policy insuring the life of the
1-32 insured, under which the insured assigns or transfers the insurance
1-33 policy to another person or entity for valuable consideration.
1-34 Sec. 2. REGULATION BY BOARD. The board has exclusive
1-35 jurisdiction in this state to regulate viatical settlements,
1-36 regardless of form, other than transactions governed by The
1-37 Securities Act (Article 581-1 et seq., Vernon's Texas Civil
1-38 Statutes).
1-39 SECTION 2. The importance of this legislation and the
1-40 crowded condition of the calendars in both houses create an
1-41 emergency and an imperative public necessity that the
1-42 constitutional rule requiring bills to be read on three several
1-43 days in each house be suspended, and this rule is hereby suspended,
1-44 and that this Act take effect and be in force from and after its
1-45 passage, and it is so enacted.
1-46 * * * * *
1-47 Austin,
1-48 Texas
1-49 May 19, 1993
1-50 Hon. Bob Bullock
1-51 President of the Senate
1-52 Sir:
1-53 We, your Committee on Economic Development to which was referred
1-54 H.B. No. 431, have had the same under consideration, and I am
1-55 instructed to report it back to the Senate with the recommendation
1-56 that it do not pass, but that the Committee Substitute adopted in
1-57 lieu thereof do pass and be printed.
1-58 Parker,
1-59 Chairman
1-60 * * * * *
1-61 WITNESSES
1-62 FOR AGAINST ON
1-63 ___________________________________________________________________
1-64 Name: Rhonda Myron x
1-65 Representing: TDI
1-66 City: Austin
1-67 -------------------------------------------------------------------
1-68 Name: Denise Voigt Crawford x
2-1 Representing: State Securities Board
2-2 City: Austin
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