Bill Text: TX HB3247 | 2011-2012 | 82nd Legislature | Comm Sub

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Bill Title: Relating to the management of the Texas Mutual Insurance Company.

Sponsorship: Partisan Bill (Republican 1)

Status: (Introduced - Dead) 2011-05-09 - Committee report sent to Calendars [HB3247 Detail]

Download: Texas-2011-HB3247-Comm_Sub.html

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82R25699 RWG-F
By: Elkins H.B. No. 3247
Substitute the following for H.B. No. 3247:
By: Huberty C.S.H.B. No. 3247

A BILL TO BE ENTITLED
AN ACT
relating to the management 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, another individual related to the individual within the
second degree by consanguinity or affinity, or another individual
residing in the same household with the individual:
(1) is registered, certified, or licensed under this
code, or is required to be registered, certified, or licensed under
this code, as an insurer, an agent, an insurance adjuster, a
workers' compensation health care network, or a third-party
administrator and in that capacity transacts the business of
workers' compensation insurance;
(2) is employed by or acts as a consultant on matters
relating to workers' compensation insurance to a person, or has a
controlling financial interest in an organization, that is
registered, certified, or licensed under this code, or required to
be registered, certified, or licensed under this code, as an
insurer, an agent, an insurance adjuster, a workers' compensation
health care network, or a third-party administrator and in that
capacity transacts the business of workers' compensation
insurance;
(3) [owns, controls, has a financial interest in, or
participates in the management of an 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
(4) [(5)] is an officer, employee, or consultant of an
association in the field of workers' compensation insurance.
SECTION 2. Section 2054.059(b), Insurance Code, is amended
to read as follows:
(b) A special meeting may be called by any two board members
on five [two] days' notice.
SECTION 3. Section 2054.103(b), Insurance Code, is amended
to read as follows:
(b) The president must have proven successful experience,
as an executive at the general management level, in [the business
of] insurance, general business, or actuarial principles.
SECTION 4. Section 2054.052(d), Insurance Code, is
repealed.
SECTION 5. 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, 2011.