81R3214 AJA-D
By: Nelson S.B. No. 789
A BILL TO BE ENTITLED
AN ACT
relating to loss ratio standards for long-term care benefit plans.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 1651.053, Insurance Code, is amended by
adding Subsection (e) to read as follows:
(e) The commissioner may enter into an agreement with an
entity issuing a long-term care benefit plan under which the entity
agrees that if the plan rates are increased, the entity will
demonstrate and maintain a loss ratio for the plan that is higher
than the loss ratio otherwise required to be demonstrated under
rules governing rate increases for the plan if the commissioner
determines that the increased rates comply with any other law
governing long-term care benefit plan rates.
SECTION 2. This Act takes effect September 1, 2009.