By: Paxton H.B. No. 3005
A BILL TO BE ENTITLED
AN ACT
relating to exemptions to persons required to hold a limited
property and casualty license.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 4051.101(c), Insurance Code, is amended
by adding Subdivision (3) to read as follows:
Sec. 4051.101. LICENSE REQUIRED. (a) Except as provided by
Section 4051.052, a person is required to hold a limited property
and casualty license if the person acts as an agent who writes:
(1) job protection insurance as defined by Section
962.002;
(2) exclusively, insurance on growing crops under
Subchapter F;
(3) any form of insurance authorized under Chapter 911
for a farm mutual insurance company;
(4) exclusively, any form of insurance authorized to
be solicited and written in this state that relates to:
(A) the ownership, operation, maintenance, or
use of a motor vehicle designed for use on the public highways,
including a trailer or semitrailer, and the motor vehicle's
accessories or equipment; or
(B) the ownership, occupancy, maintenance, or
use of a manufactured home classified as personal property under
Section 2.001, Property Code;
(5) a prepaid legal services contract under Article
5.13-1 or Chapter 961;
(6) exclusively, an industrial fire insurance policy:
(A) covering dwellings, household goods, and
wearing apparel;
(B) written on a weekly, monthly, or quarterly
basis on a continuous premium payment plan; and
(C) written for an insurer exclusively engaged in
the business as described by Section 912.310;
(7) credit insurance, except as otherwise provided by
Chapter 4055; or
(8) any other kind of insurance, if holding a limited
property and casualty license to write that kind of insurance is
determined necessary by the commissioner for the protection of the
insurance consumers of this state.
(b) Subsection (a)(2) applies to an entity chartered by the
federal Farm Credit Administration, as provided by the farm credit
system under 12 U.S.C. Section 2001 et seq., as amended.
(c) This section does not apply to a person who wrote for the
previous calendar year:
(1) policies authorized by Chapter 911 for a farm
mutual insurance company that generated, in the aggregate, less
than $50,000 in direct premium; or
(2) industrial fire insurance policies that
generated, in the aggregate, less than $20,000 in direct premium.
or
(3) policies authorized by Chapter 962 for an
insurance company that generated, in the aggregate, less than
$40,000 in direct premium.
SECTION 2. This Act takes effect September 1, 2011.