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."