81R9329 KCR-F
By: Turner of Tarrant H.B. No. 2784
A BILL TO BE ENTITLED
AN ACT
relating to withdrawal plans for certain insurers.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 827.001, Insurance Code, is amended by
adding Subdivision (3) to read as follows:
(3) "Personal automobile insurance" and "residential
property insurance" have the meanings assigned by Section 2254.001.
SECTION 2. Section 827.006, Insurance Code, is amended to
read as follows:
Sec. 827.006. [RESUMPTION OF] WRITING INSURANCE AFTER
COMPLETE WITHDRAWAL. An insurer that withdraws from writing
residential property insurance or personal automobile [all lines
of] insurance in this state may not write any line of [, without the
approval of the commissioner, resume writing] insurance in this
state before the fifth anniversary of the date of withdrawal unless
the commissioner approves the insurer to write a particular line of
insurance after determining that the line of insurance is not
available to a substantial number of policyholders or potential
policyholders in a rating territory in this state at an affordable
rate.
SECTION 3. The change in law made by this Act applies only
to a withdrawal plan filed with the Texas Department of Insurance on
or after the effective date of this Act. A withdrawal plan filed
with the Texas Department of Insurance before the effective date of
this Act is covered by the law in effect at the time the withdrawal
plan was filed, and that law is continued in effect for that
purpose.
SECTION 4. This Act takes effect September 1, 2009.