1-1 By: Eiland, et al. (Senate Sponsor - Patterson) H.B. No. 3031
1-2 (In the Senate - Received from the House May 2, 1997;
1-3 May 5, 1997, read first time and referred to Committee on Economic
1-4 Development; May 16, 1997, reported favorably by the following
1-5 vote: Yeas 8, Nays 0; May 16, 1997, sent to printer.)
1-6 A BILL TO BE ENTITLED
1-7 AN ACT
1-8 relating to the authority of the commissioner of insurance to
1-9 approve higher deductibles on coverage provided under certain
1-10 policies issued through the Texas Catastrophe Property Insurance
1-11 Association.
1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13 SECTION 1. Section 8(a), Texas Catastrophe Property
1-14 Insurance Pool Act (Article 21.49, Insurance Code), is amended to
1-15 read as follows:
1-16 (a) The Association shall file with the Commissioner [Board]
1-17 every manual of classifications, rules, rates which shall include
1-18 condition charges, every rating plan, and every modification of any
1-19 of the foregoing which it proposes to use. Every such filing shall
1-20 indicate the character and the extent of the coverage contemplated
1-21 and shall be accompanied by the policies and endorsements forms
1-22 proposed to be used, which said forms and endorsements may be
1-23 designed specifically for use by the Association and without regard
1-24 to other forms filed with, approved by, or promulgated by the Board
1-25 for use in this State. The Association may make recommendations to
1-26 the Commissioner [not file changes] that would result in a
1-27 reduction of coverages or an increase in an applicable deductible
1-28 if any resultant reduction in coverages or increase in deductibles
1-29 is accompanied by proposed rate credits. After notice and hearing,
1-30 the Commissioner may accept, modify, or reject a recommendation
1-31 made by the Association under this subsection. Article 1.33B of
1-32 this code does not apply to an action taken under this subsection.
1-33 SECTION 2. This Act takes effect September 1, 1997.
1-34 SECTION 3. The importance of this legislation and the
1-35 crowded condition of the calendars in both houses create an
1-36 emergency and an imperative public necessity that the
1-37 constitutional rule requiring bills to be read on three several
1-38 days in each house be suspended, and this rule is hereby suspended.
1-39 * * * * *