Bill Text: TX HB769 | 2021-2022 | 87th Legislature | Comm Sub

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the administration of the Texas Windstorm Insurance Association.

Spectrum: Slight Partisan Bill (Republican 5-3)

Status: (Passed) 2021-06-15 - Effective on 9/1/21 [HB769 Detail]

Download: Texas-2021-HB769-Comm_Sub.html
 
 
  By: Middleton, et al. (Senate Sponsor - Taylor) H.B. No. 769
         (In the Senate - Received from the House May 3, 2021;
  May 13, 2021, read first time and referred to Committee on Natural
  Resources & Economic Development; May 19, 2021, rereferred to
  Committee on Jurisprudence; May 22, 2021, reported adversely, with
  favorable Committee Substitute by the following vote:  Yeas 5,    
  Nays 0; May 22, 2021, sent to printer.)
Click here to see the committee vote
 
  COMMITTEE SUBSTITUTE FOR H.B. No. 769 By:  Hinojosa
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to the administration of the Texas Windstorm Insurance
  Association.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter H, Chapter 2210, Insurance Code, is
  amended by adding Section 2210.3512 to read as follows:
         Sec. 2210.3512.  REQUIREMENT FOR VOTE ON RATE FILING. The
  board of directors may not vote on a proposed rate filing if there
  is a vacancy on the board.
         SECTION 2.  The heading to Section 2210.453, Insurance Code,
  is amended to read as follows:
         Sec. 2210.453.  FUNDING LEVELS; REINSURANCE AND ALTERNATIVE
  RISK FINANCING MECHANISMS; REINSURANCE FROM CERTAIN INSURER OR
  BROKER PROHIBITED.
         SECTION 3.  Section 2210.453, Insurance Code, is amended by
  adding Subsection (f) to read as follows:
         (f)  The association may not purchase reinsurance under this
  section from an insurer or broker involved in the execution of a
  catastrophe model on which the association relies in:
               (1)  determining the probable maximum loss applicable
  for the period covered by the reinsurance; or
               (2)  adopting rates under Section 2210.355.
         SECTION 4.  The Texas Department of Insurance shall amend
  the Texas Windstorm Insurance Association's plan of operation to
  conform to the changes in law made by this Act not later than the
  60th day after the effective date of this Act.
         SECTION 5.  This Act takes effect September 1, 2021.
 
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