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A BILL TO BE ENTITLED
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AN ACT
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relating to requirements for employers who do not obtain workers' |
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compensation insurance coverage under the Texas Workers' |
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Compensation Act; providing an administrative violation. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter A, Chapter 406, Labor Code, is |
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amended by adding Section 406.0025 to read as follows: |
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Sec. 406.0025. LIFE INSURANCE COVERAGE REQUIRED FOR |
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NONSUBSCRIBING EMPLOYERS. (a) An employer who does not obtain |
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workers' compensation insurance coverage must obtain life |
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insurance coverage for each employee with a death benefit of not |
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less than $200,000. |
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(b) An employer may not be a beneficiary of a policy |
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described by Subsection (a). |
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(c) Acceptance of a death benefit paid by a life insurance |
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policy under this section does not affect the right of the |
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beneficiary or other person to bring a civil action against the |
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employer. |
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(d) An employer commits an administrative violation if the |
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employer fails to comply with this section. |
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SECTION 2. Section 406.004(b), Labor Code, is amended to |
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read as follows: |
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(b) The commissioner shall prescribe forms to be used for |
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the employer notification and shall require the employer to |
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provide: |
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(1) reasonable information to the division about the |
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employer's business; and |
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(2) proof of the employer's compliance with Section |
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406.0025. |
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SECTION 3. This Act takes effect January 1, 2016. |