82R21208 PMO-F
By: Torres H.B. No. 3154
Substitute the following for H.B. No. 3154:
By: Torres C.S.H.B. No. 3154
A BILL TO BE ENTITLED
AN ACT
relating to commissions paid to public insurance adjusters.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 4102.104, Insurance Code, is amended by
amending Subsection (a) and adding Subsections (f) and (g) to read
as follows:
(a) Except as provided by Subsection (b), a license holder
may receive a commission for service provided under this chapter
consisting of an hourly fee, a flat rate, a percentage of the total
amount paid by an insurer to resolve a claim, or another method of
compensation. Subject to Subsection (g), the [The] total
commission received, excluding sales tax, may not exceed 10 percent
of the amount of the insurance settlement on the claim.
(f) A license holder may be paid a commission that is based,
in part, on an amount paid by, or a negotiable instrument issued by,
the insurer to an insured before the effective date of the public
insurance adjuster's contract with the insured, if the insurer
obtains the insured's written consent to the payment.
(g) A commission paid under Subsection (f) may not exceed
the lesser of:
(1) 25 percent of the difference between the amount
the public insurance adjuster obtained to resolve a claim on behalf
of the insured and the amount the insurer initially offered to pay
the insured to resolve the claim; or
(2) 10 percent of the total amount paid by the insurer
to resolve a claim under Subsection (a).
SECTION 2. The changes in law made to Section 4102.104,
Insurance Code, by this Act apply only to a commission paid on or
after the effective date of this Act. A commission paid before the
effective date of this Act is governed by the law in effect
immediately before the effective date of this Act, and that law is
continued in effect for that purpose.
SECTION 3. This Act takes effect September 1, 2011.