BILL ANALYSIS

S.B. 1450

By: Taylor, Larry

Insurance

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties have raised concerns regarding the role of the federal government and certain agreements in regulating the business of insurance. S.B. 1450 seeks to address these concerns by restricting the rulemaking authority of the commissioner of insurance with respect to the implementation of certain interstate, national, or international agreements.

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

S.B. 1450 amends the Insurance Code to prohibit the commissioner of insurance from adopting or enforcing a rule that implements an interstate, national, or international agreement that infringes on the state's authority to regulate the business of insurance in Texas and was not approved by the legislature. The bill establishes that such an agreement has no effect on the state's authority to regulate the business of insurance in Texas unless the agreement is approved by the legislature.

EFFECTIVE DATE

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