By: Torres (Senate Sponsor - Van de Putte) H.B. No. 2172

(In the Senate - Received from the House May 6, 2011; May 9, 2011, read first time and referred to Committee on State Affairs; May 17, 2011, reported adversely, with favorable Committee Substitute by the following vote: Yeas 9, Nays 0; May 17, 2011, sent to printer.)

COMMITTEE SUBSTITUTE FOR H.B. No. 2172 By: Van de Putte

A BILL TO BE ENTITLED

AN ACT

relating to the eligibility of certain children under group life insurance policies.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 1131.802, Insurance Code, is amended to read as follows:

Sec. 1131.802. EXTENSION OF GROUP LIFE INSURANCE TO SPOUSES AND CHILDREN; ELIGIBLE CHILDREN. Insurance under a group life insurance policy may be extended to cover:

(1) the spouse of each individual eligible to be insured under the policy;

(2) a natural or adopted child of each individual eligible to be insured under the policy if the child is:

(A) [unmarried and] younger than 25 years of age or an older age stated in the policy; or

(B) physically or mentally disabled and under the parents' supervision; or

(3) a natural or adopted grandchild of each individual eligible to be insured under the policy if the child is[:

[(A) unmarried;

[(B)] younger than 25 years of age or an older age stated in the policy [; and

[(C) a dependent of the insured for federal income tax purposes at the time the application for coverage of the child is made].

SECTION 2. The change in law made by this Act applies only to an insurance policy that is delivered, issued for delivery, renewed, or amended on or after January 1, 2012. A policy that is delivered, issued for delivery, renewed, or amended before January 1, 2012, 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.

SECTION 3. This Act takes effect September 1, 2011.

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