Texas 2009 - 81st Regular

Texas House Bill HB3221 Compare Versions

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Old	New	Differences
1	1	H.B. No. 3221
2	2
3	3
4	4	AN ACT
5	5	relating to required notification before automatic premium
6	6	payments may be increased.
7	7	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	8	SECTION 1. Section 550.002, Insurance Code, is amended by
9	9	amending Subsection (b) and adding Subsections (b-1) and (b-2) to
10	10	read as follows:
11	11	(b) An insurer receiving automatic premium payments through
12	12	withdrawal of funds from a person's account, including an escrow
13	13	account, as authorized by that person to pay premiums on insurance
14	14	coverage provided through that insurer, may not increase the amount
15	15	of funds to be withdrawn from the account to pay premiums on that
16	16	coverage unless[:
17	17	[(1)] the insurer, not later than the 30th day before
18	18	the effective date of the increase in the premium payment amount,
19	19	notifies the person of the increase by mailing a notice through the
20	20	United States Postal Service.
21	21	(b-1) The notice must include the insurer's toll-free
22	22	telephone number, mailing address, and electronic mail address, if
23	23	applicable, through which the [and provides the] person [a postage
24	24	prepaid form that] may [be used to] object to the increase described
25	25	by Subsection (b). An objection made by the policyholder through a
26	26	telephone call, mail, or electronic mail constitutes a valid
27	27	objection for purposes of this section.
28	28	(b-2) The insurer may increase the amount of funds to be
29	29	withdrawn from the account only if[; and
30	30	[(2) neither] the insurer does not receive a valid
31	31	[nor the financial institution receives written] objection to the
32	32	increase on or before the fifth day before the date on which the
33	33	increase is scheduled to take [takes] effect.
34	34	SECTION 2. This Act takes effect immediately if it receives
35	35	a vote of two-thirds of all the members elected to each house, as
36	36	provided by Section 39, Article III, Texas Constitution. If this
37	37	Act does not receive the vote necessary for immediate effect, this
38	38	Act takes effect September 1, 2009.
39	39	______________________________ ______________________________
40	40	President of the Senate Speaker of the House
41	41	I certify that H.B. No. 3221 was passed by the House on May
42	42	12, 2009, by the following vote: Yeas 149, Nays 0, 1 present, not
43	43	voting; that the House refused to concur in Senate amendments to
44	44	H.B. No. 3221 on May 29, 2009, and requested the appointment of a
45	45	conference committee to consider the differences between the two
46	46	houses; and that the House adopted the conference committee report
47	47	on H.B. No. 3221 on May 31, 2009, by the following vote: Yeas 142,
48	48	Nays 0, 1 present, not voting.
49	49	______________________________
50	50	Chief Clerk of the House
51	51	I certify that H.B. No. 3221 was passed by the Senate, with
52	52	amendments, on May 27, 2009, by the following vote: Yeas 31, Nays
53	53	0; at the request of the House, the Senate appointed a conference
54	54	committee to consider the differences between the two houses; and
55	55	that the Senate adopted the conference committee report on H.B. No.
56	56	3221 on May 31, 2009, by the following vote: Yeas 31, Nays 0.
57	57	______________________________
58	58	Secretary of the Senate
59	59	APPROVED: __________________
60	60	Date
61	61	__________________
62	62	Governor