SRC-DBM H.B. 2035 76(R)   BILL ANALYSIS


Senate Research Center   H.B. 2035
76R5963  DRH-FBy: Hawley (Armbrister)
Economic Development
5/13/1999
Engrossed


DIGEST 

Currently, commercial motor carriers operating in this state are required
to maintain worker's compensation coverage or accidental insurance
coverage.  The accidental insurance coverage must be purchases from a
reliable insurance company authorized to write accidental insurance
policies in this state.  Surplus lines insurers are unauthorized insurers
that are not licensed in this state; however, they meet eligibility
requirements and otherwise comply with the Insurance Code.  The Texas
trucking industry can use surplus lines for liability insurance coverage
but cannot use surplus lines insurers for accidental insurance.  H.B. 2035
would set forth provisions for insurance coverage for employees of certain
motor carriers. 

PURPOSE

As proposed, H.B. 2035 sets forth provisions for insurance coverage for
employees of certain motor carriers. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 643.106(a), Transportation Code, to require,
notwithstanding any provision of any law or regulation, a certain motor
carrier to protect its employees by obtaining certain insurance coverage,
including accidental insurance coverage approved by the Texas Department of
Transportation (department) from certain insurers, including a surplus
lines insurer under Article 1.14-2, Insurance Code. 

SECTION 2.  (a)  Provides that in accordance with Section 311.031(c),
Government Code, which gives effect to a substantive amendment enacted by
the same legislature that codifies the amended statute, the text of Section
643.106(a), Transportation Code, as set out in this Act, gives effect to
changes made by Section 4, Chapter 1061, Acts of the 75th Legislature,
Regular Session, 1997. 

(b)  Provides that to the extent of any conflict, this Act prevails over
another Act of the 76th Legislature, Regular Session, 1999, relating to
nonsubstantive additions and corrections in enacted codes. 

SECTION 3.Emergency clause.
  Effective date: upon passage.