Bill Text: TX HB3468 | 2017-2018 | 85th Legislature | Introduced
Bill Title: Relating to the disclosure of insurance company affiliates to insurance policyholders.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2017-04-03 - Referred to Insurance [HB3468 Detail]
Download: Texas-2017-HB3468-Introduced.html
85R10687 PMO-D | ||
By: Davis of Dallas | H.B. No. 3468 |
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relating to the disclosure of insurance company affiliates to | ||
insurance policyholders. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Chapter 525, Insurance Code, is amended by | ||
designating Sections 525.001, 525.002, and 525.003 as Subchapter A | ||
and adding a subchapter heading to read as follows: | ||
SUBCHAPTER A. DELIVERY OF INSURANCE POLICIES BY CERTAIN INSURERS | ||
SECTION 2. Sections 525.001, 525.002, and 525.003, | ||
Insurance Code, are amended to read as follows: | ||
Sec. 525.001. APPLICABILITY OF SUBCHAPTER [ |
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subchapter [ |
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(1) an insurer, as defined by Section 2301.051, | ||
writing personal automobile insurance or residential property | ||
insurance, as defined by Section 2301.051, in this state; | ||
(2) the Texas Windstorm Insurance Association; | ||
(3) the FAIR Plan Association; and | ||
(4) the Texas Automobile Insurance Plan Association. | ||
Sec. 525.002. DELIVERY OF INSURANCE POLICIES. (a) Except | ||
as provided by Subsection (b), an insurer to whom this subchapter | ||
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the policyholder, or to the insurer's agent for delivery to the | ||
policyholder: | ||
(1) not later than: | ||
(A) the 30th day after the effective date of the | ||
policy if the policy term is more than 30 days; or | ||
(B) the 10th day after the effective date of the | ||
policy if the policy term is more than 10 days and less than 31 days; | ||
or | ||
(2) within the policy period for a policy with a term | ||
of 10 days or less. | ||
(b) An insurer to whom this subchapter [ |
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shall deliver a policy renewed or amended by the insurer to the | ||
policyholder, or to the insurer's agent for delivery to the | ||
policyholder, not later than the 15th day after the date the insurer | ||
or insurer's agent receives a written request from the policyholder | ||
that the policy be delivered to the policyholder. | ||
Sec. 525.003. RULEMAKING AUTHORITY. The commissioner may | ||
adopt rules to implement this subchapter [ |
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SECTION 3. Chapter 525, Insurance Code, is amended by | ||
adding Subchapter B to read as follows: | ||
SUBCHAPTER B. REQUIRED DISCLOSURES | ||
Sec. 525.051. DEFINITION. In this subchapter, "affiliate" | ||
means a company that directly, or indirectly through one or more | ||
intermediaries, controls, is controlled by, or is under common | ||
control with another company. A subsidiary of a company is an | ||
affiliate of the company. | ||
Sec. 525.052. APPLICABILITY OF SUBCHAPTER. This subchapter | ||
applies to an entity authorized to engage in the business of | ||
insurance in this state. | ||
Sec. 525.053. DISCLOSURE OF AFFILIATES. (a) An insurer | ||
that delivers a policy issued or renewed by the insurer to a | ||
policyholder or to the policyholder's agent for delivery to the | ||
policyholder shall include with the policy a disclosure of the | ||
insurer's affiliates. | ||
(b) The disclosure required by Subsection (a) may be | ||
delivered electronically in accordance with Section 35.004. | ||
SECTION 4. Subchapter B, Chapter 525, Insurance Code, as | ||
added by this Act, applies only to an insurance policy that is | ||
delivered, issued for delivery, or renewed on or after January 1, | ||
2018. An insurance policy delivered, issued for delivery, or | ||
renewed before January 1, 2018, 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 5. This Act takes effect September 1, 2017. |