BILL ANALYSIS

Senate Research Center	H.B. 3496
85R23733 SMT-D	By: Shine (Kolkhorst)
	Business & Commerce
	5/9/2017
	Engrossed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

H.B. 3496 allows a farm mutual insurance company to provide in its constitution or bylaws that a policyholder may vote electronically or by mail without making a personal appearance at a policyholders' meeting. This will facilitate transparency and participation. A policyholder will still be prevented from voting by proxy. Farm insurance policy holders often live in rural areas and it can be difficult for them to travel to meetings. Additionally, they often have livestock or crops that cannot be left unattended.

H.B. 3496 amends current law relating to voting procedures for policyholders of farm mutual insurance companies.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 911.065, Insurance Code, by adding Subsection (c), to authorize a farm mutual insurance company to provide in its constitution or bylaws that a policyholder is authorized to vote electronically or by mail without making a personal appearance at a policyholders' meeting.

SECTION 2. Effective date: September 1, 2017.