By Smithee H.B. No. 2751
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the compensation of an officer, trustee, or director of
1-3 a domestic insurance company.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Article 3.12(a), Insurance Code, is amended to
1-6 read as follows:
1-7 (a) A [
No] "domestic" company may not [ shall] pay any
1-8 salary, compensation or emolument which, together with any salary,
1-9 compensation or emolument from an affiliated "domestic" company,
1-10 amounts in any year to more than $100,000 [ Fifty Thousand Dollars
1-11 ($50,000)] to any officer, trustee or director of the "domestic"
1-12 company [ thereof], or to any person, firm or corporation, unless
1-13 such payment be first authorized by a vote of the board of
1-14 directors of such company, or by a committee of such board charged
1-15 with the duty of authorizing such payments. The limitation as to
1-16 time contained in this article does [ herein shall] not prevent a
1-17 [ be construed as preventing any] "domestic" company from entering
1-18 into contracts with its agents for the payment of renewal
1-20 SECTION 2. This Act takes effect September 1, 1999.
1-21 SECTION 3. The importance of this legislation and the
1-22 crowded condition of the calendars in both houses create an
1-23 emergency and an imperative public necessity that the
1-24 constitutional rule requiring bills to be read on three several
2-1 days in each house be suspended, and this rule is hereby suspended.