BILL ANALYSIS

H.B. 1197

By: Paul

Insurance

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties have expressed concern regarding the ability of an applicant for a temporary insurance agent's license to complete the 40 hours of training required for appointment as an agent within a 14 day period. H.B. 1197 seeks to address this concern by extending the deadline for completion of that training.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 1197 amends the Insurance Code to extend the deadline by which an agent, insurer, or health maintenance organization that is considering appointment of a temporary agent's license applicant as its agent is required to provide at least 40 hours of training to the applicant from not later than the 14th day after the date the application, nonrefundable fee, and certificate required for a temporary agent's license are delivered or mailed to the Texas Department of Insurance to not later than the 30th day after such date.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2017.