1-1 By: Lucio S.B. No. 1610
1-2 (In the Senate - Filed March 12, 1999; March 15, 1999, read
1-3 first time and referred to Committee on Intergovernmental
1-4 Relations; April 9, 1999, reported adversely, with favorable
1-5 Committee Substitute by the following vote: Yeas 5, Nays 0;
1-6 April 9, 1999, sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 1610 By: Nixon
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to insurance credit for the use of compressed air foam
1-11 technology in fire-fighting equipment.
1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13 SECTION 1. Article 5.33, Insurance Code, is amended to read
1-14 as follows:
1-15 Art. 5.33. CREDIT FOR REDUCING HAZARD. (a) The
1-16 commissioner may [Board shall have full authority and power to]
1-17 give each city, town, village, [or] locality, or other political
1-18 subdivision credit for each and every hazard they may reduce or
1-19 entirely remove, and also for all added fire fighting equipment,
1-20 increased police protection, or any other equipment or improvement
1-21 that has a tendency to reduce the fire hazard of any such city,
1-22 town, village, [or] locality, or other political subdivision, and
1-23 also to give credit for a good fire record made by any city, town,
1-24 village, [or] locality, or other political subdivision.
1-25 (b) The commissioner may [Said Board shall] also [have the
1-26 power and authority to] compel any company to give any or all
1-27 policy holders credit for any and all hazards said policy holder or
1-28 holders may reduce or remove.
1-29 (c) For the purposes of this Article, the installation of a
1-30 new standard fire hydrant approved by the department [State Board
1-31 of Insurance] within the required distance of a risk, as prescribed
1-32 by the department, or the use of compressed air foam technology in
1-33 fire-fighting equipment [State Board of Insurance] shall constitute
1-34 a reduction in hazard by the policy holder or holders.
1-35 (d) Said credit shall be in proportion to such reduction or
1-36 removal of such hazard and said company or companies shall return
1-37 to such policy holder or holders such proportional part of the
1-38 unearned premium charged for such hazard that may be reduced or
1-39 removed.
1-40 SECTION 2. Article 5.33, Insurance Code, as amended by this
1-41 Act, applies only to an insurance policy delivered, issued for
1-42 delivery, or renewed on or after January 1, 2000. A policy
1-43 delivered, issued for delivery, or renewed before January 1, 2000,
1-44 is governed by the law as it existed immediately before the
1-45 effective date of this Act, and that law is continued in effect for
1-46 that purpose.
1-47 SECTION 3. This Act takes effect September 1, 1999.
1-48 SECTION 4. The importance of this legislation and the
1-49 crowded condition of the calendars in both houses create an
1-50 emergency and an imperative public necessity that the
1-51 constitutional rule requiring bills to be read on three several
1-52 days in each house be suspended, and this rule is hereby suspended.
1-53 * * * * *