74R9547 PB-D
By De La Garza H.B. No. 1933
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the provision of information to the holders of certain
1-3 insurance policies.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Article 5.65A(b), Insurance Code, is amended to
1-6 read as follows:
1-7 (b) Each company or association that writes workers'
1-8 compensation insurance in this state, on the written request of the
1-9 policyholder, shall provide the policyholder with a list of claims
1-10 charged against the policy, payments made and reserves established
1-11 on each claim, and a statement explaining the effect of claims on
1-12 premium rates. The company or association shall provide the
1-13 information to the policyholder in writing not later than the 30th
1-14 day after the date on which the company or association receives the
1-15 policyholder's written request for the information. The
1-16 information is considered to be provided on the date that the
1-17 information is received by the United States Postal Service or
1-18 personally delivered.
1-19 SECTION 2. Article 21.59, Insurance Code, is amended to read
1-20 as follows:
1-21 Art. 21.59. PROVIDING CLAIMS INFORMATION TO CERTAIN
1-22 <LIABILITY> INSUREDS. (a) In this article, "liability insurance"
1-23 means the following types of insurance:
1-24 (1) general liability;
2-1 (2) medical professional liability;
2-2 (3) professional liability other than medical
2-3 professional liability;
2-4 (4) commercial automobile liability; and
2-5 (5) the liability portion of commercial multiperil
2-6 coverage.
2-7 (b) On written request of a named insured under a liability
2-8 insurance policy, the insurer that wrote the policy shall provide
2-9 to the insured information relating to the disposition of a claim
2-10 filed under the policy. The request must be transmitted to the
2-11 insurer within six months from the date of disposition of the
2-12 claim.
2-13 (c) The information supplied to an <the> insured making a
2-14 <the> request under Subsection (b) of this article must include:
2-15 (1) the name of each claimant;
2-16 (2) details relating to the amount paid on the claim,
2-17 settlement of the claim, or judgment on the claim;
2-18 (3) details as to how the claim, settlement, or
2-19 judgment is to be paid; and
2-20 (4) any other information required by rule of the
2-21 commissioner <State Board of Insurance>.
2-22 (d) Each insurer that writes property and casualty insurance
2-23 in this state, on written request of the policyholder, shall
2-24 provide the policyholder with a list of claims charged against the
2-25 policy and payments made on each claim. This subsection does not
2-26 apply to a workers' compensation insurance policy subject to
2-27 Article 5.65A of this code.
3-1 (e) <(d)> The insurer shall provide the information
3-2 requested under this article in writing not later than the 30th day
3-3 after the date on which the written request is received by the
3-4 insurer. The information is considered to be provided on the date
3-5 that the information is received by the United States Postal
3-6 Service or personally delivered.
3-7 (f) <(e)> The commissioner <State Board of Insurance>, by
3-8 rule, may require information in addition to that required by
3-9 Subsection <Section> (c) of this article that the commissioner
3-10 <board> considers necessary to adequately inform an insured with
3-11 regard to any claim under a liability insurance policy.
3-12 (g) The commissioner <board> may adopt rules providing the
3-13 form for requests to an insurer and for information supplied by an
3-14 insurer under this article.
3-15 SECTION 3. This Act takes effect September 1, 1995, and
3-16 applies only to an insurance policy that is delivered, issued for
3-17 delivery, or renewed on or after January 1, 1996. A policy that is
3-18 delivered, issued for delivery, or renewed before January 1, 1996,
3-19 is governed by the law as it existed immediately before the
3-20 effective date of this Act, and that law is continued in effect for
3-21 that purpose.
3-22 SECTION 4. The importance of this legislation and the
3-23 crowded condition of the calendars in both houses create an
3-24 emergency and an imperative public necessity that the
3-25 constitutional rule requiring bills to be read on three several
3-26 days in each house be suspended, and this rule is hereby suspended.