BILL ANALYSIS Senate Research Center S.B. 189 84R1751 PMO-F By: Watson Business & Commerce 2/10/2015 As Filed
BILL ANALYSIS
Senate Research Center S.B. 189
84R1751 PMO-F By: Watson
Business & Commerce
2/10/2015
As Filed
Senate Research Center
S.B. 189
84R1751 PMO-F
By: Watson
Business & Commerce
2/10/2015
As Filed
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT The 83rd Legislature passed S.B. 736 (Watson; SP: Smithee) to protect the holder of a homeowners insurance policy who contacts their insurance company to ask a question about their policy. Current law prohibits such an inquiry from becoming the basis of an increase in rates, or cancellation of the policy. S.B. 189 expands the same protection to holders of personal automobile insurance policies. As proposed, S.B. 189 amends current law relating to certain practices in the business of personal automobile insurance based on certain customer inquiries. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 544.552, Insurance Code, as follows: Sec. 544.552. APPLICABILITY. Provides that this subchapter applies only to a standard fire, homeowners, or farm and ranch owners insurance policy, or a personal automobile insurance policy. SECTION 2. Amends Section 551.113(a), Insurance Code, to provide that this section applies only to a standard fire, homeowners, or farm and ranch owners insurance policy, or a personal automobile insurance policy. SECTION 3. Makes application of this Act prospective. SECTION 4. Effective date: September 1, 2015.
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
The 83rd Legislature passed S.B. 736 (Watson; SP: Smithee) to protect the holder of a homeowners insurance policy who contacts their insurance company to ask a question about their policy. Current law prohibits such an inquiry from becoming the basis of an increase in rates, or cancellation of the policy.
S.B. 189 expands the same protection to holders of personal automobile insurance policies.
As proposed, S.B. 189 amends current law relating to certain practices in the business of personal automobile insurance based on certain customer inquiries.
RULEMAKING AUTHORITY
This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 544.552, Insurance Code, as follows:
Sec. 544.552. APPLICABILITY. Provides that this subchapter applies only to a standard fire, homeowners, or farm and ranch owners insurance policy, or a personal automobile insurance policy.
SECTION 2. Amends Section 551.113(a), Insurance Code, to provide that this section applies only to a standard fire, homeowners, or farm and ranch owners insurance policy, or a personal automobile insurance policy.
SECTION 3. Makes application of this Act prospective.
SECTION 4. Effective date: September 1, 2015.