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A BILL TO BE ENTITLED
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AN ACT
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relating to a joint interim study regarding the spreading of risk |
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and costs related to certain natural disasters across the state by |
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property and casualty insurance companies. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. JOINT INTERIM COMMITTEE. (a) A joint interim |
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committee is created to study the spreading of risk and costs |
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related to certain natural disasters across the state by property |
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and casualty insurance companies. |
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(b) The committee shall be composed of: |
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(1) two senators appointed by the lieutenant governor; |
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(2) two representatives appointed by the speaker of |
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the house of representatives; and |
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(3) one member appointed by the governor who shall |
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serve as the committee's presiding officer. |
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(c) The committee shall convene at the call of the presiding |
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officer. |
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(d) The committee has all other powers and duties provided |
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to a special or select committee by the rules of the senate and |
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house of representatives, by Subchapter B, Chapter 301, Government |
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Code, and by policies of the senate and house committees on |
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administration. |
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(e) The members of the committee are entitled to |
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reimbursement from the contingent expense fund of the senate and |
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the contingent expense fund of the house of representatives equally |
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for expenses incurred in carrying out the provisions of this |
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section in accordance with the rules of the senate and house of |
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representatives and the policies of the senate and house committees |
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on administration. |
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(f) Not later than the 60th day after the effective date of |
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this Act, the lieutenant governor, the speaker of the house of |
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representatives, and the governor shall appoint the members of the |
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interim committee created under this section. |
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SECTION 2. STUDY. The committee created under Section 1 of |
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this Act shall, with respect to property and casualty insurance |
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companies engaged in the business of insurance in this state, |
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study: |
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(1) the amount of insured risk across this state; |
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(2) the losses incurred as a result of localized |
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natural disasters in this state; and |
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(3) the impact the losses described by Subdivision (2) |
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have on the availability and cost of property and casualty |
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insurance in areas of this state not directly affected by natural |
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disasters. |
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SECTION 3. FINDINGS AND RECOMMENDATIONS. Not later than |
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January 15, 2021, the committee created under Section 1 of this Act |
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shall report the committee's findings and recommendations to the |
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lieutenant governor, the speaker of the house of representatives, |
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and the governor. The committee shall include in its |
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recommendations specific statutory changes, including changes to |
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Chapter 2251, Insurance Code, that may appear necessary or |
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advisable from the committee's study under Section 2 of this Act. |
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SECTION 4. EXPIRATION. This Act expires September 1, 2021. |
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SECTION 5. EFFECTIVE DATE. This Act takes effect September |
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1, 2019. |