| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the qualifications of members of the board of directors |
|
|
of the Texas Mutual Insurance Company. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 2054.052(b), Insurance Code, is amended |
|
|
to read as follows: |
|
|
(b) An individual may not serve as a board member if the |
|
|
individual or [,] another individual related to the individual |
|
|
within the first [second] degree by consanguinity or affinity[, or |
|
|
another individual residing in the same household with the |
|
|
individual]: |
|
|
(1) is a [registered or] licensed insurance agent |
|
|
[under this code or is required to be registered or licensed under |
|
|
this code]; |
|
|
(2) serves as an employee, officer, director, or [is |
|
|
employed by or acts as a] consultant or in any other capacity for an |
|
|
insurer writing workers' compensation insurance in this state or an |
|
|
affiliate of an insurer writing workers' compensation insurance in |
|
|
this state [to a person registered or licensed under this code or |
|
|
required to be registered or licensed under this code]; |
|
|
(3) owns, controls, has a financial interest in, or |
|
|
participates in the management of an insurer writing workers' |
|
|
compensation insurance in this state or an affiliate of an insurer |
|
|
writing workers' compensation insurance in this state |
|
|
[organization registered or licensed under this code or required to |
|
|
be registered or licensed under this code]; |
|
|
(4) receives a substantial tangible benefit from the |
|
|
company or the department; or |
|
|
(5) is an officer, employee, or consultant of an |
|
|
association in the field of insurance. |
|
|
SECTION 2. Section 2054.052(b), Insurance Code, as amended |
|
|
by this Act, does not affect the entitlement of a member serving on |
|
|
the board of directors of the Texas Mutual Insurance Company |
|
|
immediately before the effective date of this Act to continue to |
|
|
serve for the remainder of the member's term. |
|
|
SECTION 3. This Act takes effect immediately if it receives |
|
|
a vote of two-thirds of all the members elected to each house, as |
|
|
provided by Section 39, Article III, Texas Constitution. If this |
|
|
Act does not receive the vote necessary for immediate effect, this |
|
|
Act takes effect September 1, 2025. |