Bill Text: TX HB3514 | 2015-2016 | 84th Legislature | Introduced
Bill Title: Relating to the acquisition of control of insurance companies.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2015-05-13 - Placed on General State Calendar [HB3514 Detail]
Download: Texas-2015-HB3514-Introduced.html
By: Muñoz, Jr. | H.B. No. 3514 |
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relating to the acquisition of control of insurance companies. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 853.154, Insurance Code, is amended to | ||
read as follows: | ||
Sec. 823.154. REQUIREMENTS FOR ACQUISITION OR EXERCISE OF | ||
CONTROL OR DIVESTITURE OF DOMESTIC INSURER. (a) Before a person | ||
who directly or indirectly controls, or after the acquisition would | ||
directly or indirectly control, a domestic insurer may in any | ||
manner acquire a voting security of a domestic insurer or before a | ||
person may otherwise acquire control of a domestic insurer or | ||
exercise any control over a domestic insurer, or before a person may | ||
initiate a divestiture of control of a domestic insurer: | ||
(1) the acquiring person shall file with the | ||
commissioner a statement that satisfies the requirements of | ||
Subchapter E; | ||
(2) the acquisition or divestiture of control must be | ||
approved by the commissioner in accordance with this subchapter; | ||
and | ||
(3) if the person is initiating a divestiture of | ||
control, the divesting person shall file with the commissioner a | ||
notice of divestiture on a form adopted by the National Association | ||
of Insurance Commissioners or adopted by the commissioner by rule. | ||
(b) The acquiring person or divesting person | ||
shall send a | ||
copy of the statement filed under this section to the domestic | ||
insurer. | ||
(c) A statement or notice filed under this section must be | ||
filed not later than the 60th day before the proposed effective date | ||
of the acquisition or change of control or divestiture and |
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information provided in the statement or notice, including any | ||
documents attached or incorporated by reference, shall be public | ||
information subject to Chapter 552, Government Code, including any | ||
applicable exception for required disclosures under that chapter. | ||
(d) Notwithstanding Subsection (a), a divesting person is | ||
not required to provide the commissioner with notice of divestiture | ||
required by Subsection (a)(3) if an acquiring person submits the | ||
statement required by Subsection (a)(1) and that acquisition is | ||
approved by the commissioner. | ||
SECTION 2. This Act takes effect September 1, 2015. |