Texas 2015 - 84th Regular

Texas House Bill HB3238

Filed
 
Out of House Committee
 
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the regulation of funding agreements, guaranteed investment contracts, and synthetic guaranteed investment contracts issued by a life insurer.

Impact

If enacted, HB 3238 would impact how life insurers are able to offer these products, ensuring that consumers are adequately informed about the terms and protections associated with funding and guaranteed investment contracts. The bill expands the definitions and regulatory environment surrounding these financial instruments, positioning them under a unified legal structure, which will help in standardizing practices among life insurance companies. This regulatory clarity is expected to protect consumers and promote fair practices within the industry.

Summary

House Bill 3238 focuses on the regulation of funding agreements, guaranteed investment contracts, and synthetic guaranteed investment contracts issued by life insurers. The primary intent of the bill is to promote public welfare by clarifying and codifying existing laws regarding these financial instruments. The introduction of this legislation is designed to ensure that these contracts are governed under a clear framework, which could enhance consumer confidence in such financial products and provide better safeguards against potential issues arising from their use.

Sentiment

The general sentiment surrounding HB 3238 appears supportive, particularly from consumer advocacy groups and industry stakeholders who recognize the need for clearer regulations. Proponents argue that a standardized approach will mitigate risks associated with these financial agreements and enhance overall trust in life insurance products. However, it is essential to monitor potential concerns from certain insurers who might view additional regulations as burdensome or limiting their operational flexibility.

Contention

Notable points of contention may arise around the comprehensive nature of the regulations that could be imposed. While many stakeholders see the value in having robust regulations, some may express concerns over the potential stifling of innovation or the increased administrative costs associated with compliance. The balance between consumer protection and maintaining a competitive, innovative insurance market will likely be a key issue during discussions surrounding HB 3238.

Companion Bills

TX SB1196

Identical Relating to the regulation of funding agreements, guaranteed investment contracts, and synthetic guaranteed investment contracts issued by a life insurer; clarifying certain provisions relating to insurer receivership.

Previously Filed As

TX SB1246

Relating to authorized investments of public money by certain governmental entities and the confidentiality of certain information related to those investments.

TX SB2530

Relating to contracts with and investments in companies that boycott certain energy companies.

TX HB2823

Relating to state contracts with and investments in certain companies doing business in the Russian Federation.

TX SB1189

Relating to state contracts with and investments in certain companies doing business in the Russian Federation.

TX HB3495

Relating to the investment authority of certain state agencies and the confidentiality of certain information related to those investments.

TX HB1718

Relating to rural development funds and insurance tax credits for certain investments in those funds; authorizing fees.

TX SB2367

Relating to the creation of programs and funding for investment in technology industries.

TX HB3069

Relating to certain government contracts with and investments in companies that boycott Israel.

TX HB3890

Relating to the regulation and voluntary licensing of reroofing contractors by the Texas Department of Licensing and Regulation; providing administrative and civil penalties; authorizing fees.

TX HB4498

Relating to the transfer and statutory novation of insurance policies from a transferring insurer to an assuming insurer through an insurance business transfer plan; authorizing fees.

Similar Bills

TX SB1196

Relating to the regulation of funding agreements, guaranteed investment contracts, and synthetic guaranteed investment contracts issued by a life insurer; clarifying certain provisions relating to insurer receivership.

NH SB515

Relative to consumer guarantee contracts.

NJ A1303

Requires certain public contract bid advertisements to contain certified cost estimate ranges, specifies grounds for rejection of all bids, and requires 50% guaranty on bids; designated as the Fairness in Bidding Act.

NJ A2764

Requires certain public contract bid advertisements to contain certified cost estimate ranges, specifies grounds for rejection of all bids, and requires 50% guaranty on bids; designated as the Fairness in Bidding Act.

MD HB1046

Mechanical Repair Contracts - Technical Service Bulletins

TX HB1157

Relating to the Texas Life, Accident, Health, and Hospital Service Insurance Guaranty Association.

TX SB567

Relating to the Texas Life, Accident, Health, and Hospital Service Insurance Guaranty Association.