By: Taylor S.B. No. 1196
 
 
 
   
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the applicability of the insurance laws of this state to
  certain conduct.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 101.001(d), Insurance Code, is amended
  to read as follows:
         (d)  It is also a concern that this state not become a safe
  harbor for persons or insurers engaged in the unauthorized business
  of insurance in this state, regardless of whether the insureds or
  other persons affected by the unauthorized business of insurance
  are residents of this state. This subsection is not intended to:
               (1)  expand the authority of the department to regulate
  the activities of insurers licensed or authorized to engage in
  business in this state or in another state or jurisdiction; or
               (2)  permit the department to use its resources to
  investigate alleged violations of law by those licensed or
  authorized insurers on behalf of any foreign jurisdiction.
         SECTION 2.  Section 101.051(c), Insurance Code, is amended
  to read as follows:
         (c)  An act described by Subsection (b) by an unlicensed or
  unauthorized person or unlicensed or unauthorized insurer that
  occurs in this state and that affects a person in another state, the
  District of Columbia, or a territory of the United States [or
  jurisdiction] constitutes the business of insurance in this state.
  The terms "unlicensed" and "unauthorized" in this subsection are
  not intended to authorize the department to regulate activities in
  any other state or foreign jurisdiction of licensed or authorized
  insurers.
         SECTION 3.  (a) Section 101.051(c), Insurance Code, as
  amended by this Act, applies only to conduct engaged in on or after
  the effective date of this Act.
         (b)  Conduct engaged in before the effective date of this Act
  is governed by the law applicable to the conduct immediately before
  the effective date of this Act, and that law is continued in effect
  for that purpose.
         SECTION 4.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution. If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2013.