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A BILL TO BE ENTITLED
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AN ACT
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relating to the applicability of the insurance laws of this state to |
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certain conduct. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 101.001(d), Insurance Code, is amended |
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to read as follows: |
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(d) It is also a concern that this state not become a safe |
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harbor for persons or insurers engaged in the unauthorized business |
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of insurance in this state, regardless of whether the insureds or |
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other persons affected by the unauthorized business of insurance |
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are residents of this state. This subsection is not intended to: |
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(1) expand the authority of the department to regulate |
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the activities of insurers licensed or authorized to engage in |
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business in this state or in another state or jurisdiction; or |
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(2) permit the department to use its resources to |
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investigate alleged violations of law by those licensed or |
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authorized insurers on behalf of any foreign jurisdiction. |
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SECTION 2. Section 101.051(c), Insurance Code, is amended |
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to read as follows: |
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(c) An act described by Subsection (b) by an unlicensed or |
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unauthorized person or unlicensed or unauthorized insurer that |
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occurs in this state and that affects a person in another state, the |
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District of Columbia, or a territory of the United States [or
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jurisdiction] constitutes the business of insurance in this state. |
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The terms "unlicensed" and "unauthorized" in this subsection are |
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not intended to authorize the department to regulate activities in |
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any other state or foreign jurisdiction of licensed or authorized |
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insurers. |
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SECTION 3. (a) Section 101.051(c), Insurance Code, as |
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amended by this Act, applies only to conduct engaged in on or after |
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the effective date of this Act. |
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(b) Conduct engaged in before the effective date of this Act |
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is governed by the law applicable to the conduct immediately before |
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the effective date of this Act, and that law is continued in effect |
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for that purpose. |
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SECTION 4. 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, 2013. |