77R8799 PB-D
By Nixon, Noriega, Naishtat, Hochberg H.B. No. 845
Substitute the following for H.B. No. 845:
By Janek C.S.H.B. No. 845
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to suspension of certain limitations periods applicable to
1-3 insurance policies issued to or covering Holocaust victims;
1-4 providing an administrative penalty.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Subchapter E, Chapter 21, Insurance Code, is
1-7 amended by adding Article 21.74 to read as follows:
1-8 Art. 21.74. ENFORCEMENT OF INSURANCE POLICIES AFFECTING
1-9 CERTAIN HOLOCAUST VICTIMS
1-10 Sec. 1. DEFINITIONS. In this article:
1-11 (1) "Holocaust victim" means a person who was killed
1-12 or injured, or who lost real or personal property or financial
1-13 assets, as the result of discriminatory laws, policies, or actions
1-14 directed against any discrete group of which the person was a
1-15 member, during the period of 1920 to 1945, inclusive, in Germany,
1-16 areas occupied by Germany, or countries allied with Germany.
1-17 (2) "Insurer" means an insurance company or other
1-18 entity engaged in the business of insurance or reinsurance in this
1-19 state. The term includes:
1-20 (A) a capital stock company, a mutual company,
1-21 or a Lloyd's plan; and
1-22 (B) any parent, subsidiary, or affiliated
1-23 company, at least 50 percent of the stock of which is in common
1-24 ownership with an insurer engaged in the business of insurance in
2-1 this state.
2-2 (3) "Insurance policy" includes a life insurance
2-3 policy, an annuity, a property insurance policy, a casualty
2-4 insurance policy, and a liability insurance policy. The term
2-5 includes reinsurance on a risk covered under such a policy.
2-6 Sec. 2. SUSPENSION OF LIMITATIONS PERIOD. (a)
2-7 Notwithstanding any other law, a Holocaust victim, or the heir,
2-8 assignee, beneficiary, or successor of a Holocaust victim, who
2-9 resides in this state and has a claim arising out of an insurance
2-10 policy purchased or in effect in Europe before 1946 that was
2-11 delivered, issued for delivery, or renewed by an insurer may bring
2-12 an action against an insurer to recover on that claim in a court of
2-13 competent jurisdiction in this state.
2-14 (b) An action brought under Subsection (a) of this section
2-15 may not be dismissed for failure to comply with any applicable
2-16 limitations period if the action is brought before December 31,
2-17 2012.
2-18 Sec. 3. ENFORCEMENT. (a) Failure by an insurer to comply
2-19 with a claim brought under this article by denying the claim on the
2-20 grounds that the claim is not timely or by asserting a statute of
2-21 limitations defense in an action brought under Section 2(a) of this
2-22 article constitutes a violation of this article.
2-23 (b) If the commissioner reasonably believes that a violation
2-24 of this article by an insurer has occurred, the commissioner may,
2-25 after notice and hearing:
2-26 (1) impose an administrative penalty under Chapter 84
2-27 of this code or direct the insurer to make restitution;
3-1 (2) refer the matter to the attorney general for
3-2 appropriate enforcement;
3-3 (3) initiate an examination under Article 1.15 of this
3-4 code to determine the fitness of the insurer to continue to engage
3-5 in the business of insurance in this state;
3-6 (4) initiate a proceeding to revoke or suspend the
3-7 insurer's certificate of authority; or
3-8 (5) pursue any other action the commissioner
3-9 determines appropriate under this code or other applicable law.
3-10 Sec. 4. EXPIRATION. This article expires January 1, 2013.
3-11 SECTION 2. This Act takes effect immediately if it receives
3-12 a vote of two-thirds of all the members elected to each house, as
3-13 provided by Section 39, Article III, Texas Constitution. If this
3-14 Act does not receive the vote necessary for immediate effect, this
3-15 Act takes effect September 1, 2001.