SRC-TJG H.B. 1838 78(R)   BILL ANALYSIS


Senate Research Center   H.B. 1838
78R10850 KCR-FBy: Thompson (Averitt)
Criminal Justice
5/22/2003
Engrossed


DIGEST AND PURPOSE 

Section 35.02 of the Penal Code defines the penalties imposed for
conviction of insurance fraud. However, it does not specify that a person
convicted of insurance fraud must repay the insurer for any money or
property fraudulently obtained.  The courts may order restitution, but are
not required to do so by law.  Failure to receive restitution can result
in significant losses for insurers. H.B. 1838 requires a court to order a
defendant convicted of insurance fraud to pay restitution to an affected
insurer. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 35.02, Penal Code, by adding Subsection (e) to
require the court to order a defendant convicted of an offense under this
section to pay restitution, including court costs and attorney's fees, to
an affected insurer.  

SECTION 2.  (a) Effective date: September 1, 2003.

(b) Makes application of this Act prospective.