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A BILL TO BE ENTITLED
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AN ACT
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relating to the acquisition of control of insurance companies. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 853.154, Insurance Code, is amended to |
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read as follows: |
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Sec. 823.154. REQUIREMENTS FOR ACQUISITION OR EXERCISE OF |
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CONTROL OR DIVESTITURE OF DOMESTIC INSURER. (a) Before a person |
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who directly or indirectly controls, or after the acquisition would |
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directly or indirectly control, a domestic insurer may in any |
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manner acquire a voting security of a domestic insurer or before a |
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person may otherwise acquire control of a domestic insurer or |
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exercise any control over a domestic insurer, or before a person may |
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initiate a divestiture of control of a domestic insurer: |
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(1) the acquiring person shall file with the |
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commissioner a statement that satisfies the requirements of |
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Subchapter E; |
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(2) the acquisition or divestiture of control must be |
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approved by the commissioner in accordance with this subchapter; |
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and |
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(3) if the person is initiating a divestiture of |
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control, the divesting person shall file with the commissioner a |
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notice of divestiture on a form adopted by the National Association |
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of Insurance Commissioners or adopted by the commissioner by rule. |
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(b) The acquiring person or divesting person |
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shall send a |
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copy of the statement filed under this section to the domestic |
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insurer. |
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(c) A statement or notice filed under this section must be |
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filed not later than the 60th day before the proposed effective date |
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of the acquisition or change of control or divestiture and is
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subject to public inspection at the office of the commissioner. the |
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information provided in the statement or notice, including any |
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documents attached or incorporated by reference, shall be public |
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information subject to Chapter 552, Government Code, including any |
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applicable exception for required disclosures under that chapter. |
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(d) Notwithstanding Subsection (a), a divesting person is |
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not required to provide the commissioner with notice of divestiture |
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required by Subsection (a)(3) if an acquiring person submits the |
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statement required by Subsection (a)(1) and that acquisition is |
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approved by the commissioner. |
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SECTION 2. This Act takes effect September 1, 2015. |