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A BILL TO BE ENTITLED
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AN ACT
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relating to the operation of the FAIR Plan Association. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 2211.104(c), Insurance Code, is amended |
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to read as follows: |
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(c) The insurer shall compute the amount of the surcharge |
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under Subsection (b) as a [uniform] percentage of the premium on |
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each policy described by Subsection (b). The percentage must be |
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equal to one-third of the ratio of the amount of the participating |
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insurer's assessment or service fee payment to the amount of the |
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insurer's direct earned premiums, as reported to the department in |
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the insurer's financial statement for the cal |
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endar year preceding |
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the year in which the assessment or service fee payment is made so |
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that, over the three-year period, the aggregate of all surcharges |
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by the insurer under this section is at least equal to the amount of |
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the assessment or service fee payment. |
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SECTION 2. Section 2211.156 is repealed. |
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SECTION 3. This Act takes effect September 1, 2013. |