Bill Text: TX SB733 | 2013-2014 | 83rd Legislature | Engrossed
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the Texas Automobile Insurance Plan Association.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2013-05-18 - Effective immediately [SB733 Detail]
Download: Texas-2013-SB733-Engrossed.html
Bill Title: Relating to the Texas Automobile Insurance Plan Association.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2013-05-18 - Effective immediately [SB733 Detail]
Download: Texas-2013-SB733-Engrossed.html
By: Carona | S.B. No. 733 |
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relating to the Texas Automobile Insurance Plan Association. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subsection (c), Section 2151.103, Insurance | ||
Code, is amended to read as follows: | ||
(c) The association may bring an action to collect an | ||
assessment against an authorized insurer that does not pay the | ||
assessment within a reasonable time. In addition, the association | ||
may report to the commissioner an authorized insurer's failure to | ||
pay the assessment to the association [ |
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commissioner may institute a disciplinary action against the | ||
insurer under Chapter 82. | ||
SECTION 2. Subchapter B, Chapter 2151, Insurance Code, is | ||
amended by adding Section 2151.057 to read as follows: | ||
Sec. 2151.057. COMMITTEE MEETINGS BY TELEPHONE AND | ||
VIDEOCONFERENCE. (a) Chapter 551, Government Code, applies to a | ||
meeting of the governing committee. | ||
(b) Notwithstanding Chapter 551, Government Code, or any | ||
other law, the governing committee may meet by telephone conference | ||
call, videoconference, or other similar telecommunication method | ||
for any meeting purpose, including conducting a vote or | ||
establishing a quorum, regardless of the subject matter discussed | ||
or considered. | ||
(c) A meeting authorized by this section is subject to the | ||
notice requirements that apply to other meetings of the governing | ||
committee under Chapter 551, Government Code. | ||
(d) The notice of a meeting authorized by this section must: | ||
(1) specify that the location of the meeting is a | ||
location at which at least one member of the governing committee is | ||
physically present; and | ||
(2) state clear instructions and requirements for | ||
electronic attendance by a member of the committee. | ||
(e) Each part of a meeting authorized by this section must | ||
be audible to the public at the location specified by Subsection | ||
(d). | ||
(f) Two-way audio communication must be available during | ||
the entire meeting between all members of the governing committee | ||
attending a meeting authorized by this section, and if the two-way | ||
audio communication is disrupted so that a quorum of the committee | ||
is no longer participating in the meeting, the meeting may not | ||
continue until the two-way audio communication is reestablished. | ||
SECTION 3. Subsections (a) and (b), Section 2151.153, | ||
Insurance Code, are amended to read as follows: | ||
(a) The plan of operation must include an incentive program | ||
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geographic areas, which the commissioner by rule shall designate. | ||
In designating underserved areas, the commissioner shall consider | ||
with respect to an area: | ||
(1) the availability of insurance; | ||
(2) the number of uninsured drivers; | ||
(3) the number of drivers insured through the | ||
association; and | ||
(4) any other relevant factor. | ||
(b) The plan of operation may include other incentive | ||
programs to encourage authorized insurers to write insurance on a | ||
voluntary basis and to minimize the use of the association as a | ||
means to obtain insurance. | ||
SECTION 4. Subsection (a), Section 2151.202, Insurance | ||
Code, is amended to read as follows: | ||
(a) The association shall file [ |
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department rates to be charged for insurance provided through the | ||
association for approval by the commissioner. | ||
SECTION 5. Subchapter E, Chapter 2151, Insurance Code, is | ||
amended by adding Sections 2151.2021, 2151.2022, and 2151.2023 to | ||
read as follows: | ||
Sec. 2151.2021. FILE AND USE. The association may use a | ||
rate, excluding a rate described by Section 2151.2041, on the later | ||
of the date specified by the association in the filing or the date | ||
the rate is approved or considered approved under this subchapter. | ||
Sec. 2151.2022. COMMISSIONER ACTION ON CERTAIN RATE | ||
FILINGS. (a) Not later than the 30th day after the date the | ||
association files a rate, excluding a rate described by Section | ||
2151.2041, the commissioner shall: | ||
(1) approve the rate if the commissioner determines | ||
that the rate meets the standards under Section 2151.201; or | ||
(2) disapprove the rate if the commissioner determines | ||
that the rate does not meet the standards under Section 2151.201. | ||
(b) If the commissioner fails to act as required under | ||
Subsection (a) on or before the 30th day after the date the rate is | ||
filed, the rate is considered approved on the 31st day after the | ||
date of filing unless the approval period is extended under | ||
Subsection (c). | ||
(c) The commissioner may extend the approval period under | ||
Subsection (a) for one additional period not to exceed 30 days. The | ||
commissioner and the association may agree to extend the approval | ||
period for additional periods not to exceed 30 days. If the | ||
commissioner does not affirmatively approve or disapprove the rate | ||
before the extended period expires, the rate is considered approved | ||
on the day after the date the extended period expires. | ||
Sec. 2151.2023. NOTICE OF RATE APPROVAL OR DISAPPROVAL. | ||
The commissioner shall give written notice by first class mail or | ||
electronic mail to the association of the approval or disapproval | ||
by the commissioner of the rate filed under Section 2151.202 or that | ||
the rate is considered approved under Section 2151.2022. | ||
SECTION 6. Subchapter E, Chapter 2151, Insurance Code, is | ||
amended by adding Section 2151.2041 to read as follows: | ||
Sec. 2151.2041. HEARING ON CERTAIN RATE FILINGS. If the | ||
association files a rate under Section 2151.202 that exceeds 105 | ||
percent of the current average rate for each coverage written | ||
through the association on the date of the filing, the commissioner | ||
shall conduct a hearing under Section 2151.206. | ||
SECTION 7. Section 2151.205, Insurance Code, is amended to | ||
read as follows: | ||
Sec. 2151.205. OPPORTUNITY TO REVIEW FILING. Before | ||
approving, disapproving, or modifying a filing described by [ |
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to all interested persons a reasonable opportunity to: | ||
(1) review the filing; | ||
(2) obtain a copy of the filing on payment of any | ||
legally required copying cost; and | ||
(3) submit to the commissioner written comments, | ||
analyses, or information related to the filing. | ||
SECTION 8. Subsection (a), Section 2151.206, Insurance | ||
Code, is amended to read as follows: | ||
(a) Not later than the 45th day after the date the | ||
department receives a filing described [ |
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2151.2041 [ |
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which interested persons may present written or oral comments | ||
relating to the filing. | ||
SECTION 9. Section 2151.208, Insurance Code, is amended to | ||
read as follows: | ||
Sec. 2151.208. AMENDED FILING. The association may file | ||
with the commissioner an amended filing to comply with the | ||
commissioner's comments not later than the 10th day after the date | ||
the association receives the commissioner's written disapproval | ||
under Section 2151.2023 or 2151.207. | ||
SECTION 10. This Act applies to a rate filing made under | ||
Subchapter E, Chapter 2151, Insurance Code, as amended by this Act, | ||
on or after the effective date of this Act. A rate filing made | ||
before the effective date of this Act is governed by the law as it | ||
existed immediately before the effective date of this Act, and that | ||
law is continued in effect for that purpose. | ||
SECTION 11. 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, 2013. |