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A BILL TO BE ENTITLED
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AN ACT
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relating to insurance premium and maintenance taxes, and payment of |
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excess losses of the Windstorm Insurance Association. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subsection (b), Section 221.001, Insurance Code, |
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is amended to read as follows: |
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(b) This chapter does not apply to: |
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(1) a fraternal benefit society, including a fraternal |
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benefit society operating under Chapter 885; |
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(2) a group hospital service corporation operating |
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under Chapter 842; |
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(3) a stipulated premium company operating under |
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Chapter 884; |
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(4) a mutual assessment association, company, or |
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corporation regulated under Chapter 887; [or] |
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(5) a purely cooperative or mutual fire insurance |
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company carried on by its members solely for the protection of their |
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own property and not for profit, except as provided by Section |
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221.002(b)(13); or |
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(6) a farm mutual insurance company operating under |
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Chapter 911, unless the company: |
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(A) insures property in more than five counties |
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in this state; |
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(B) has gross annual premium receipts greater |
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than $1 million; or |
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(C) is a member of an insurance group that |
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includes insurance companies that write insurance that is not among |
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the lines of insurance that a farm mutual insurance company is |
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authorized to write under Section 911.151. |
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SECTION 2. Section 252.005, Insurance Code, is amended to |
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read as follows: |
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Sec. 252.005. EXCEPTION. This chapter does not apply to: |
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(1) a farm mutual insurance company operating under |
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Chapter 911, unless the company: |
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(A) insures property in more than five counties |
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in this state; |
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(B) has gross annual premium receipts greater |
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than $1 million; or |
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(C) is a member of an insurance group that |
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includes insurance companies that write insurance that is not among |
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the lines of insurance that a farm mutual insurance company is |
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authorized to write under Section 911.151; or |
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(2) a mutual insurance company engaged in business |
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under Chapter 12, Title 78, Revised Statutes, before that chapter's |
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repeal by Section 18, Chapter 40, Acts of the 41st Legislature, 1st |
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Called Session, 1929, as amended by Section 1, Chapter 60, General |
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Laws, Acts of the 41st Legislature, 2nd Called Session, 1929, that |
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retains the rights and privileges under the repealed law to the |
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extent provided by those sections. |
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SECTION 3. Subsection (b), Section 2210.006, Insurance |
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Code, is amended to read as follows: |
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(b) This chapter does not apply to: |
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(1) a farm mutual insurance company operating under |
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Chapter 911, unless the company: |
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(A) insures property in more than five counties |
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in this state; |
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(B) has gross annual premium receipts greater |
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than $1 million; or |
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(C) is a member of an insurance group that |
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includes insurance companies that write insurance that is not among |
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the lines of insurance that a farm mutual insurance company is |
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authorized to write under Section 911.151; |
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(2) a nonaffiliated county mutual fire insurance |
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company described by Section 912.310 that is writing exclusively |
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industrial fire insurance policies as described by Section |
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912.310(a)(2); or |
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(3) a mutual insurance company or a statewide mutual |
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assessment company engaged in business under Chapter 12 or 13, |
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Title 78, Revised Statutes, respectively, before those chapters' |
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repeal by Section 18, Chapter 40, Acts of the 41st Legislature, 1st |
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Called Session, 1929, as amended by Section 1, Chapter 60, General |
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Laws, Acts of the 41st Legislature, 2nd Called Session, 1929, that |
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retains the rights and privileges under the repealed law to the |
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extent provided by those sections. |
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SECTION 4. (a) The changes in law made by Sections 1 and 2 |
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of this Act do not affect tax liability accruing before the |
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effective date of this Act. That liability continues in effect as |
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if this Act had not been enacted, and the former law is continued in |
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effect for the collection of taxes due and for civil and criminal |
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enforcement of the liability for those taxes. |
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(b) The change in law made by Section 3 of this Act does not |
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affect liability for an assessment accruing under Chapter 2210, |
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Insurance Code, before the effective date of this Act. That |
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liability continues in effect as if this Act had not been enacted, |
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and the former law is continued in effect for the collection of |
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assessments due and for civil and criminal enforcement of the |
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liability for those assessments. |
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SECTION 5. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2011. |