Texas House Bill HB2569

Texas 2009 - 81st Regular

• Out of House Committee: 4/3/09
• Voted on by House: 4/16/09
• Out of Senate Committee: 5/6/09
• Voted on by Senate: 5/13/09
• Governor Action: 5/23/09
• Enrolled: 5/15/09
• Passed: 5/23/09

Caption

Relating to a specialty insurance agent license for certain vendors of portable electronic devices.

Impact

The implementation of HB 2569 is anticipated to streamline the licensing process for vendors who wish to sell insurance coverage for portable electronic devices. By allowing vendors to act as agents for authorized insurers, the bill will likely promote consumer protections and expand the options available to customers. The annual license fee, not exceeding $5,000, is intended to cover the administrative costs associated with the licensing process, thus ensuring that the regulation is self-sustaining.

Summary

House Bill 2569 seeks to establish a specialty insurance agent license specifically for vendors of portable electronic devices. This legislation amends the Insurance Code to allow these vendors to offer insurance coverage that protects customers' devices against events such as loss, theft, mechanical failure, malfunction, and damage. The bill aims to provide a clear regulatory framework for vendors engaged in the sale and leasing of portable electronic devices while ensuring that the insurance coverage they provide is adequately regulated by the state.

Contention

While there are no significant points of contention detailed in the discussions surrounding HB 2569, concerns may arise regarding the balance between vendor interests and consumer protections. Some stakeholders may question whether the licensing fees imposed on vendors are reasonable, while others could raise issues regarding the adequacy of coverage provided under these specialty licenses. It will be critical for the Texas Department of Insurance to monitor and evaluate the implementation of this bill to address any emerging concerns about the sufficiency of the insurance options available to consumers.