BILL ANALYSIS

Senate Research Center	H.B. 2188
88R8490 CJD-F	By: Paul (Campbell)
	Business & Commerce
	5/12/2023
	Engrossed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

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Because the cyber insurance market is young, statistical reporting agents specializing in cyber data collection are unable to operate in Texas due to certain statutory experience requirements. State law currently requires a minimum of five years of experience in data collection, data maintenance, data quality control, accounting, and related areas to qualify as a statistical agent. For emerging markets like cyber insurance, the five-year requirement is anti-competitive and limits the number of statistical reporting agents who can be considered for appointment by the commissioner of insurance. H.B. 2188 seeks to allow for additional statistical reporting agents to be considered for appointment by decreasing the minimum number of years of experience to two.  

H.B. 2188 amends current law relating to the qualifications of statistical agents for the commissioner of insurance.

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 38.203, Insurance Code, as follows:

Sec. 38.203. QUALIFICATIONS OF STATISTICAL AGENT. Requires an organization, to qualify as a statistical agent, to demonstrate at least two years of experience, rather than at least five years of experience, in data collection, data maintenance, data quality control, accounting, and related areas.

SECTION 2. Effective date: September 1, 2023.

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