BILL ANALYSIS

Insurance Committee

By: Goolsby
04-26-95
Committee Report (Unamended)

BACKGROUND

     Currently, Section 5a (a), Article 21.14, Insurance Code,
permits an applicant to receive a temporary license as a local
recording agent upon the successful passage of an initial
examination promulgated by the Texas Department of Insurance.  
Section 5a (b) (3), Article 21.14, Insurance Code, exempts persons
holding a Chartered Property and Casualty Underwriter (C. P. C. U.)
or Certified Insurance Counselor (C. I. C.) designation to waive
certain additional educational requirements of Section 5a (a).  An
applicant must, after the temporary license is issued, complete a
classroom or correspondence course within one (1) year of the
issuance of the temporary license to receive a permanent local
recording agents license.  Currently, achievement of the C.P.C.U.
or C.I.C. designation is deemed by law to satisfy the education
requirements of Section 5a (a).  An applicant for the local
recording agents license, who holds one or both of these
designations, may receive his or her permanent license through
successful passage of the initial examination promulgated by the
Texas Department of Insurance.     

PURPOSE

     As proposed, H.B. 2362 would amend Section 5a (b) (3), Article
21.14, Insurance Code, to newly add the designation Accredited
Advisor in Insurance (A. A. I.) issued by the Insurance Institute
of America.

RULEMAKING AUTHORITY

     It is the committee's opinion that this bill does not
expressly grant any additional rulemaking authority to a state
officer, department, agency or institution.

SECTION BY SECTION ANALYSIS

SECTION 1.

Amends Section 5a (b) (3), Article 21.14, Insurance Code, to
appropriately cite the new name of the C. P. C. U. designation, add
reference to the Accredited Advisor in Insurance designation, and
to correct references in the current statute due to the elimination
of the entity formerly known as the State Board of Insurance.

SECTION 2.  Effective date and Emergency Clause.

SUMMARY OF COMMITTEE ACTION

     In accordance with House rules, H.B. 2362 was heard in a
public hearing on April 26, 1995.  The Chair laid out H.B. 2362 and
recognized Representative Goolsby to explain the bill.  The Chair
left H.B. 2362 as pending business before the Committee.

     The Chair laid out H.B. 2362 as pending business and
recognized Representative Counts who moved the Committee report
H.B. 2362 as filed to the full House with the recommendation that
it do pass, be printed, and sent to the Committee on Local and
Consent.  The motion prevailed by the following vote:  AYES (5);
NAYES (0); ABSENT (4); PNV (0).