83R10394 JSC-D
By: Ellis S.B. No. 1020
A BILL TO BE ENTITLED
AN ACT
relating to requirements for employers who do not obtain workers'
compensation insurance coverage under the Texas Workers'
Compensation Act.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter A, Chapter 406, Labor Code, is
amended by adding Section 406.0025 to read as follows:
Sec. 406.0025. LIFE INSURANCE COVERAGE REQUIRED FOR
NONSUBSCRIBING EMPLOYERS. (a) An employer who does not obtain
workers' compensation insurance coverage must obtain life
insurance coverage for each employee with a death benefit of not
less than $200,000.
(b) An employer may not be a beneficiary of a policy
described by Subsection (a).
(c) Acceptance of a death benefit paid by a life insurance
policy under this section does not affect the right of the
beneficiary or other person to bring a civil action against the
employer.
(d) An employer commits an administrative violation if the
employer fails to comply with this section.
SECTION 2. Section 406.004(b), Labor Code, is amended to
read as follows:
(b) The commissioner shall prescribe forms to be used for
the employer notification and shall require the employer to
provide:
(1) reasonable information to the division about the
employer's business; and
(2) proof of the employer's compliance with Section
406.0025.
SECTION 3. This Act takes effect January 1, 2014.