| 1 | 1 | | 84R19030 KKR-D |
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| 2 | 2 | | By: Sheets H.B. No. 687 |
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| 3 | 3 | | Substitute the following for H.B. No. 687: |
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| 4 | 4 | | By: Fletcher C.S.H.B. No. 687 |
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| 5 | 5 | | |
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| 6 | 6 | | |
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| 7 | 7 | | A BILL TO BE ENTITLED |
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| 8 | 8 | | AN ACT |
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| 9 | 9 | | relating to confidential communications between an insurance |
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| 10 | 10 | | carrier and a covered employer under the Texas Workers' |
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| 11 | 11 | | Compensation Act. |
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| 12 | 12 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 13 | 13 | | SECTION 1. Subchapter A, Chapter 409, Labor Code, is |
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| 14 | 14 | | amended by adding Section 409.0115 to read as follows: |
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| 15 | 15 | | Sec. 409.0115. CONFIDENTIAL COMMUNICATIONS. (a) For |
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| 16 | 16 | | purposes of this section, a reference to an insurance carrier or |
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| 17 | 17 | | covered employer includes the insurance carrier's or covered |
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| 18 | 18 | | employer's attorneys, consultants, sureties, indemnitors, |
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| 19 | 19 | | employees, third-party administrators, and other agents. |
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| 20 | 20 | | (b) Communications between an insurance carrier and a |
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| 21 | 21 | | covered employer are confidential and not subject to disclosure if |
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| 22 | 22 | | the communications include information regarding mental |
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| 23 | 23 | | impressions, conclusions, opinions, claims-handling strategies, |
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| 24 | 24 | | litigation strategies, legal theories regarding the claim, claim |
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| 25 | 25 | | status, claim reserves, or proprietary business practices of the |
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| 26 | 26 | | insurance carrier or covered employer or other similar classes of |
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| 27 | 27 | | information and are made in furtherance of the covered employer's |
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| 28 | 28 | | rights, including rights described by Sections 409.011(b)(1)-(5) |
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| 29 | 29 | | and Section 415.002(b). |
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| 30 | 30 | | (c) An insurance carrier may refuse to disclose and may |
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| 31 | 31 | | prevent the disclosure by another person of confidential |
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| 32 | 32 | | communications described by this section. |
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| 33 | 33 | | (d) This section: |
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| 34 | 34 | | (1) does not apply to: |
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| 35 | 35 | | (A) communications between the insurance carrier |
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| 36 | 36 | | and covered employer that are offered as evidence in a judicial |
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| 37 | 37 | | proceeding between the insurance carrier and covered employer; |
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| 38 | 38 | | (B) communications made to the insurance carrier |
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| 39 | 39 | | by the covered employer in which the employer dictates the methods |
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| 40 | 40 | | by which and the terms on which the claim is handled and settled; or |
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| 41 | 41 | | (C) public records subject to Chapter 552, |
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| 42 | 42 | | Government Code; and |
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| 43 | 43 | | (2) does not affect: |
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| 44 | 44 | | (A) the requirement to exchange documentation |
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| 45 | 45 | | under Chapter 410; or |
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| 46 | 46 | | (B) the right of the commissioner to obtain |
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| 47 | 47 | | information from an insurance carrier or covered employer under |
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| 48 | 48 | | this subtitle. |
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| 49 | 49 | | (e) An insurance carrier or covered employer is required to |
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| 50 | 50 | | disclose any communications, including confidential communications |
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| 51 | 51 | | described by this section, that are requested by the commissioner |
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| 52 | 52 | | in order to detect and address acts or practices of noncompliance |
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| 53 | 53 | | with this subtitle and rules adopted under this subtitle. |
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| 54 | 54 | | SECTION 2. Section 409.0115, Labor Code, as added by this |
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| 55 | 55 | | Act, applies only to communications between an insurance carrier |
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| 56 | 56 | | and a covered employer made on or after the effective date of this |
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| 57 | 57 | | Act. |
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| 58 | 58 | | SECTION 3. This Act takes effect September 1, 2015. |
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