By Moncrief, et al.                                    S.B. No. 139
         Substitute the following for S.B. No. 139:
         By Lewis of Tarrant                                C.S.S.B. No. 139
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to residential fire suppression devices and to an
 1-3     insurance premium discount for the installation of such a device.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subchapter C, Chapter 5, Insurance Code, is
 1-6     amended by adding Article 5.33C to read as follows:
 1-7           Art. 5.33C.  REDUCTION IN HOMEOWNERS INSURANCE AND FIRE
 1-8     INSURANCE PREMIUMS FOR APPROVED FIRE SUPPRESSION DEVICES
 1-9           Sec. 1.  DEFINITIONS.  In this article:
1-10                 (1)  "Stovetop fire suppression device" means a device
1-11     or assembly of devices that is mounted to the vent hood over a
1-12     residential stovetop cooking surface and that protects against one
1-13     or more hazards through suppressing or extinguishing fires.
1-14                 (2)  "Homeowners insurance" has the meaning assigned by
1-15     Section 1, Article 5.33B of this code, as added by Chapter 337,
1-16     Acts of the 74th Legislature, Regular Session, 1995.
1-17           Sec. 2.  ELIGIBILITY FOR PREMIUM REDUCTION.  A policyholder
1-18     of a single-family or multifamily dwelling, apartment owner, or
1-19     condominium owner is eligible for a premium reduction for
1-20     homeowners insurance coverage, fire or commercial fire insurance
1-21     coverage if the policyholder has correctly installed on the covered
1-22     property a stovetop fire suppression device that has been approved
1-23     by the State Fire Marshal through the commissioner.
1-24           Sec. 3.  PREMIUM DISCOUNT
 2-1                 (1)  An insurer who delivers or issues for delivery a
 2-2     homeowners, fire, or commercial fire insurance policy may grant a
 2-3     discount in the premiums charged for a dwelling, apartment, or
 2-4     condominium that has a correctly installed and functioning stovetop
 2-5     fire suppressive device in each dwelling, apartment, or
 2-6     condominium.
 2-7                 (2)  The commissioner shall establish by rule the
 2-8     amount of discount applicable under this article.  The commissioner
 2-9     may adopt rules necessary for the implementation of this article.
2-10           SECTION 2.  (a)  This Act takes effect September 1, 1999.
2-11           (b)  Article 5.33C, Insurance Code, as added by this Act,
2-12     applies only to an insurance policy that is delivered, issued for
2-13     delivery, or renewed on or after January 1, 2000.  A policy that is
2-14     delivered, issued for delivery, or renewed before January 1, 2000,
2-15     is governed by the law as it existed immediately before the
2-16     effective date of this Act, and that law is continued in effect for
2-17     that purpose.
2-18           SECTION 3.  The importance of this legislation and the
2-19     crowded condition of the calendars in both houses create an
2-20     emergency and an imperative public necessity that the
2-21     constitutional rule requiring bills to be read on three several
2-22     days in each house be suspended, and this rule is hereby suspended.