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Amend SB 541 as follows:
(1) on page 13, following line 26, add a new SECTION 7 to read
as follows and renumber subsequent sections:
"SECTION 7. Article 26.72, Insurance Code, is amended by
amending Subsection (c) and adding Subsection (e) to read as
follows:
(c) Subsection (b) of this article does not apply to an
arrangement that provides compensation to an agent on the basis of
percentage of premium, provided that:
(1) the percentage may not vary because of health status
or claim experience; and
(2) the small employer carrier does not:
(A) exclude any additional premium charged to the
small employer because of health status or claims experience from
the premium amount to which the percentage is applied; or
(B) apply a smaller percentage to any additional
premium charged to the small employer because of health status or
claims experience than is applied to other premiums charged to the
small employer.
(e) A small employer carrier may not use an agent
compensation schedule that provides compensation in a specific
dollar amount for each individual covered during a specified period
or for each group of individuals covered during a specified
period.;"
(2) on page 5, between "6." and "This", insert "(1)"; and,
(3) on page 5, following line 27, add the following:
"(2) Article 26.72, Insurance Code, as amended by this
Act, applies only to a small employer health benefit plan that is
delivered, renewed, or issued for delivery on or after January 1,
2004. A health benefit plan delivered or issued for delivery before
January 1, 2004, is governed by the law as it existed immediately
before the effective date of this Act, and that law is continued in
effect for that purpose."