HBA-ATS H.B. 2251 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2251 By: Eiland Insurance 3/24/1999 Introduced BACKGROUND AND PURPOSE Currently, the Insurance Code prohibits the filing of the manual rate for commercial risks and classes of risks written by the Texas Windstorm Insurance Association from reflecting an annual premium rate change that deviates more than 15 percent, either higher or lower, from the rate for commercial windstorm and hail insurance in each rate classification in effect on September 1, 1995. This prohibition is set to expire January 1, 2001. H.B. 2251 prohibits the filing of the manual rate from reflecting an annual premium rate change that deviates more than 10 percent from the rate for all windstorm and hail insurance, rather than just commercial windstorm and hail insurance, in each rate classification in effect on September 1, 1998. This bill deletes the expiration date from the prohibition that restricts the annual rate from varying more than 10 percent. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 8(h)(10), Article 21.49, Insurance Code, to prohibit the filing of the manual rate for commercial risks and classes of risks written by the Texas Windstorm Insurance Association from reflecting an annual premium rate change that deviates more than 10, rather than 15, percent, either higher or lower, from the rate for windstorm and hail insurance, rather than commercial windstorm and hail insurance, in each rate classification in effect on September 1, 1998, rather than September 1, 1995. Deletes the year 2001 from the date this subdivision expires. SECTION 2. Effective date: September 1, 1999. SECTION 3. Emergency clause.