AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
H.B. 1804 amends current law relating to certificates of insurance required for certain plumbing contractors.
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 1301.552, Occupations Code, as follows:
Sec. 1301.552. CERTIFICATE OF INSURANCE FOR PLUMBING PERMIT IN POLITICAL SUBDIVISION. Requires a political subdivision that requires a plumbing contractor to obtain a permit before performing plumbing in the political subdivision to verify through the Texas State Board of Plumbing Examiners' (board) Internet website, or by contacting the board by telephone, that the plumbing contractor has on file with the board a certificate of insurance. Require the certificate of insurance to:
(1) be written by an insurer authorized to engage in the business of insurance in this state, rather than a company licensed to do business in this state, or an eligible surplus lines insurer, as defined by Section 981.002 (Definitions), Insurance Code;
(2) provide for commercial general liability insurance for the master plumber for a claim for property damage or bodily injury, regardless of whether the claim arises from negligence or on a contract; and
(3) provide coverage of not less than $300,000 for all claims arising in a one-year period.
SECTION 2. Makes application of Section 1301.552, Occupations Code, prospective.
SECTION 3. Effective date: September 1, 2011.