By: Sibley S.R. No. 891
SENATE RESOLUTION
1-1 BE IT RESOLVED by the Senate of the State of Texas, 75th
1-2 Legislature, Regular Session, 1997, That Senate Rule 12.03 be
1-3 suspended in part as provided by Senate Rule 12.08 to enable the
1-4 conference committee appointed to resolve the differences on House
1-5 Bill No. 1662 to consider and take action on the following specific
1-6 matters:
1-7 Senate Rules 12.03(2) and (3), are suspended to permit the
1-8 committee to change Subsection (r), Section 3, Article 5.101,
1-9 Insurance Code, to read as follows:
1-10 (r) In order to avoid the circumvention of the flexible
1-11 rating program, and notwithstanding Article 17.22(b), Insurance
1-12 Code, a county mutual insurance company may not write private
1-13 passenger automobile insurance for any risk at a rate that, after
1-14 the application of all discounts and policy fees, is lower than the
1-15 highest rate allowed under the flexibility band for that line. Not
1-16 later than the 60th day after the effective date of a benchmark
1-17 rate, a county mutual insurance company shall make any filing
1-18 necessary to comply with this subsection. The rates of the county
1-19 mutual insurance company that are in effect on the effective date
1-20 of the benchmark rate continue in effect until the filing is made.
1-21 This subsection does not apply to single interest insurance or
1-22 insurance on mobile homes, motor homes, travel trailers, or
1-23 motorcycles.
2-1 Explanation: This change is necessary to provide that the
2-2 requirements of Subsection (r) apply to all county mutual insurance
2-3 companies but not apply to certain types of insurance and to
2-4 specify procedures necessary for compliance with the requirements.
2-5 ______________________________________
2-6 President of the Senate
2-7 I hereby certify that the above
2-8 Resolution was adopted by the Senate
2-9 on May 27, 1997, by the following vote:
2-10 Yeas 31, Nays 0.
2-11 ______________________________________
2-12 Secretary of the Senate
2-13 ______________________________________
2-14 Member, Texas Senate