Texas 2009 - 81st Regular

Texas Senate Bill SB2199 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	81R10545 PB-F
2	2	By: Duncan S.B. No. 2199
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the registration with the Texas Department of Insurance
8	8	of certain contract examiners.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 751.052, Insurance Code, is amended to
11	11	read as follows:
12	12	Sec. 751.052. COORDINATION WITH OTHER STATES; REGISTRATION
13	13	OF CONTRACT EXAMINER. (a) The commissioner shall coordinate the
14	14	department's market analysis and examination efforts with other
15	15	states through the National Association of Insurance
16	16	Commissioners.
17	17	(b) A person with whom another state contracts to perform
18	18	any market analysis or examination initiated by the other state of
19	19	an insurer domiciled in this state shall register with and provide
20	20	the following information to the department's chief examiner:
21	21	(1) the person's name;
22	22	(2) if the person is not an individual, the identity of
23	23	each examiner or other person who will perform any part of the
24	24	market analysis or examination;
25	25	(3) the name of the state that contracted with the
26	26	person;
27	27	(4) the identity of the insurer to be examined; and
28	28	(5) a description of each issue that the person has
29	29	been contracted to examine.
30	30	(c) It is a violation of this code for a person to accept
31	31	compensation from multiple states for the same examination, if
32	32	doing so results in duplicative costs to the insurer being
33	33	examined. It is not a violation of this code for:
34	34	(1) an examiner to conduct an examination of an
35	35	insurer for the benefit of multiple states in a coordinated
36	36	examination; and
37	37	(2) the examiner to accept compensation from the
38	38	states participating in the coordinated examination to reduce the
39	39	examination costs to the insurer being examined.
40	40	SECTION 2. Subchapter C, Chapter 401, Insurance Code, is
41	41	amended by adding Section 401.107 to read as follows:
42	42	Sec. 401.107. REGISTRATION OF CONTRACT EXAMINERS. (a) A
43	43	person with whom another state contracts to perform any examination
44	44	initiated by the other state of an insurer domiciled in this state
45	45	shall register with and provide the following information to the
46	46	department's chief examiner:
47	47	(1) the person's name;
48	48	(2) if the person is not an individual, the identity of
49	49	each examiner or other person who will perform any part of the
50	50	examination;
51	51	(3) the name of the state that contracted with the
52	52	person;
53	53	(4) the identity of the insurer to be examined; and
54	54	(5) a description of each issue that the person has
55	55	been contracted to examine.
56	56	(b) It is a violation of this code for a person to accept
57	57	compensation from multiple states for the same examination, if
58	58	doing so results in duplicative costs to the insurer being
59	59	examined. It is not a violation of this code for:
60	60	(1) an examiner to conduct an examination of an
61	61	insurer for the benefit of multiple states in a coordinated
62	62	examination; and
63	63	(2) the examiner to accept compensation from the
64	64	states participating in the coordinated examination to reduce the
65	65	examination costs to the insurer being examined.
66	66	SECTION 3. Section 4053.107, Insurance Code, is amended by
67	67	adding Subsections (d) and (e) to read as follows:
68	68	(d) A person with whom another state contracts to perform
69	69	any examination initiated by the other state of a managing general
70	70	agent licensed under this chapter shall register with and provide
71	71	the following information to the department's chief examiner:
72	72	(1) the person's name;
73	73	(2) if the person is not an individual, the identity of
74	74	each examiner or other person who will perform any part of the
75	75	examination;
76	76	(3) the name of the state that contracted with the
77	77	person;
78	78	(4) the identity of the managing general agent to be
79	79	examined; and
80	80	(5) a description of each issue that the person has
81	81	been contracted to examine.
82	82	(e) It is a violation of this code for a person to accept
83	83	compensation from multiple states for the same examination, if
84	84	doing so results in duplicative costs to the managing general agent
85	85	being examined. It is not a violation of this code for:
86	86	(1) an examiner to conduct an examination of a
87	87	managing general agent for the benefit of multiple states in a
88	88	coordinated examination; and
89	89	(2) the examiner to accept compensation from the
90	90	states participating in the coordinated examination to reduce the
91	91	examination costs to the managing general agent being examined.
92	92	SECTION 4. This Act takes effect immediately if it receives
93	93	a vote of two-thirds of all the members elected to each house, as
94	94	provided by Section 39, Article III, Texas Constitution. If this
95	95	Act does not receive the vote necessary for immediate effect, this
96	96	Act takes effect September 1, 2009.