By Hartnett H.B. No. 1354
76R369 DB-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to requiring notice of certain appeal rights to a person
1-3 insured or applying for medical liability insurance provided
1-4 through a joint underwriting association.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Section 7, Article 21.49-3, Insurance Code, is
1-7 amended to read as follows:
1-8 Sec. 7. APPEALS. (a) Any person insured or applying for
1-9 insurance pursuant to this Act, or his duly authorized
1-10 representative, or any affected insurer who may be aggrieved by an
1-11 act, ruling, or decision of the association, may, within 30 days
1-12 after such act, ruling, or decision, appeal to the board of
1-13 directors of the association. At the time the person is notified
1-14 of the act, ruling, or decision of the association, the board of
1-15 directors of the association shall provide to the person written
1-16 notice of the person's right to appeal under this subsection.
1-17 (b) The board of directors of the association shall hear
1-18 said appeal within 30 days after receipt of such request or appeal
1-19 and shall give not less than 10 days' written notice of the time
1-20 and place of hearing to the person making such request or the duly
1-21 authorized representative. Within 10 days after such hearing, the
1-22 board of directors of the association shall affirm, reverse, or
1-23 modify its previous action or the act, ruling, or decision appealed
1-24 to the board of directors of the association. At the time the
2-1 person is notified of the final action of the board of directors of
2-2 the association, the board of directors of the association shall
2-3 provide to the person written notice of the person's right to
2-4 appeal under Subsection (c) of this section.
2-5 (c) [(b)] In the event any person insured or applying for
2-6 insurance is aggrieved by the final action of the board of
2-7 directors of the association, the aggrieved party may, within 30
2-8 days after such action, make a written request to the commissioner
2-9 for a hearing thereon. The commissioner shall hear the appeal from
2-10 an act, ruling, or decision of the association, within 30 days
2-11 after receipt of such request or appeal and shall give not less
2-12 than 10 days' written notice of the time and place of hearing to
2-13 the person, or his duly authorized representative, appealing from
2-14 the act, ruling, or decision of the board of directors of the
2-15 association. Within 30 days after such hearing, the commissioner
2-16 shall affirm, reverse, or modify the act, ruling, or decision
2-17 appealed to the commissioner. Pending such hearing and decision
2-18 thereon, the commissioner may suspend or postpone the effective
2-19 date of the rule or of the act, ruling, or decision appealed.
2-20 (d) The association, or the person aggrieved by any order or
2-21 decision of the commissioner, may thereafter appeal in accordance
2-22 with Article 1.04 of this code. At the time the person is notified
2-23 of the decision of the commissioner, the commissioner shall provide
2-24 to the person written notice of the person's right to appeal under
2-25 this subsection.
2-26 SECTION 2. This Act takes effect September 1, 1999.
2-27 SECTION 3. The importance of this legislation and the
3-1 crowded condition of the calendars in both houses create an
3-2 emergency and an imperative public necessity that the
3-3 constitutional rule requiring bills to be read on three several
3-4 days in each house be suspended, and this rule is hereby suspended.