By Giddings                                           H.B. No. 2415
         77R7112 AJA-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to investigation of and remedies for certain past
 1-3     discriminatory practices by life insurers.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  (a)  The commissioner of insurance shall
 1-6     investigate the extent to which premiums charged for and benefits
 1-7     provided under life insurance policies issued in this state and in
 1-8     force on the effective date of this Act are inequitable as a result
 1-9     of race-based practices by life insurers in effect at the time the
1-10     policies were first issued.
1-11           (b)  If the commissioner determines that premiums charged for
1-12     or benefits provided under a life insurance policy are inequitable
1-13     as a result of race-based practices by an insurer in effect at the
1-14     time the policies were first issued, the commissioner, after notice
1-15     and a hearing, may order an insurer who issued or has acquired the
1-16     policy to take any action the commissioner determines is
1-17     appropriate to remedy the inequity, regardless of whether the
1-18     insurer has ceased to engage in those practices.
1-19           (c)  The owner of a life insurance policy issued before the
1-20     effective date of this Act may request relief from the commissioner
1-21     under Subsection (b) of this section.
1-22           SECTION 2.  This Act takes effect immediately if it receives
1-23     a vote of two-thirds of all the members elected to each house, as
1-24     provided by Section 39, Article III, Texas Constitution.  If this
 2-1     Act does not receive the vote necessary for immediate effect, this
 2-2     Act takes effect September 1, 2001.