By: Lucio S.B. No. 1610
A BILL TO BE ENTITLED
AN ACT
1-1 relating to insurance credit for the use of compressed air foam
1-2 technology in fire-fighting equipment.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Article 5.33, Insurance Code, is amended to read
1-5 as follows:
1-6 Art. 5.33. CREDIT FOR REDUCING HAZARD. (a) The
1-7 commissioner may [Board shall have full authority and power to]
1-8 give each city, town, village, [or] locality, or other political
1-9 subdivision credit for each and every hazard they may reduce or
1-10 entirely remove, and also for all added fire fighting equipment,
1-11 increased police protection, or any other equipment or improvement
1-12 that has a tendency to reduce the fire hazard of any such city,
1-13 town, village, [or] locality, or other political subdivision, and
1-14 also to give credit for a good fire record made by any city, town,
1-15 village, [or] locality, or other political subdivision.
1-16 (b) The commissioner may [Said Board shall] also [have the
1-17 power and authority to] compel any company to give any or all
1-18 policy holders credit for any and all hazards said policy holder or
1-19 holders may reduce or remove.
1-20 (c) For the purposes of this Article, the installation of a
1-21 new standard fire hydrant approved by the department [State Board
1-22 of Insurance] within the required distance of a risk, as prescribed
1-23 by the department, or the use of compressed air foam technology in
1-24 fire-fighting equipment [State Board of Insurance] shall constitute
2-1 a reduction in hazard by the policy holder or holders.
2-2 (d) Said credit shall be in proportion to such reduction or
2-3 removal of such hazard and said company or companies shall return
2-4 to such policy holder or holders such proportional part of the
2-5 unearned premium charged for such hazard that may be reduced or
2-6 removed.
2-7 SECTION 2. Article 5.33, Insurance Code, as amended by this
2-8 Act, applies only to an insurance policy delivered, issued for
2-9 delivery, or renewed on or after January 1, 2000. A policy
2-10 delivered, issued for delivery, or renewed before January 1, 2000,
2-11 is governed by the law as it existed immediately before the
2-12 effective date of this Act, and that law is continued in effect for
2-13 that purpose.
2-14 SECTION 3. This Act takes effect September 1, 1999.
2-15 SECTION 4. The importance of this legislation and the
2-16 crowded condition of the calendars in both houses create an
2-17 emergency and an imperative public necessity that the
2-18 constitutional rule requiring bills to be read on three several
2-19 days in each house be suspended, and this rule is hereby suspended.