1-1     By:  Goodman (Senate Sponsor - Ellis)                 H.B. No. 2873

 1-2           (In the Senate - Received from the House May 8, 1997;

 1-3     May 9, 1997, read first time and referred to Committee on Economic

 1-4     Development; May 17, 1997, reported favorably by the following

 1-5     vote:  Yeas 8, Nays 0; May 17, 1997, sent to printer.)

 1-6                            A BILL TO BE ENTITLED

 1-7                                   AN ACT

 1-8     relating to the policy forms for certain large risk insurance

 1-9     policies.

1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-11           SECTION 1.  Section 8(f), Article 5.13-2, Insurance Code, is

1-12     amended to read as follows:

1-13           (f)  Policy forms for use with large risks are exempt from

1-14     the requirements of Subsections (a), (b), and (e) of this section.

1-15     For purposes of this subsection, "large risk" means:

1-16                 (1)  an insured that has total insured property values

1-17     of $5 [10] million or more;

1-18                 (2)  an insured that has total annual gross revenues of

1-19     $10 [20] million or more; or

1-20                 (3)  an insured that has a total premium of $25,000

1-21     [50,000] or more for property insurance, $25,000 [50,000] or more

1-22     for general liability insurance, or $50,000 [100,000] or more for

1-23     multiperil insurance.

1-24           SECTION 2.  The importance of this legislation and the

1-25     crowded condition of the calendars in both houses create an

1-26     emergency and an imperative public necessity that the

1-27     constitutional rule requiring bills to be read on three several

1-28     days in each house be suspended, and this rule is hereby suspended.

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