| 1 | | - | By: Capriglione (Senate Sponsor - Nelson) H.B. No. 1187 |
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| 2 | | - | (In the Senate - Received from the House April 27, 2017; |
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| 3 | | - | May 4, 2017, read first time and referred to Committee on Business & |
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| 4 | | - | Commerce; May 15, 2017, reported favorably by the following vote: |
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| 5 | | - | Yeas 8, Nays 0; May 15, 2017, sent to printer.) |
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| 6 | | - | Click here to see the committee vote |
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| 1 | + | H.B. No. 1187 |
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| 10 | 4 | | AN ACT |
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| 11 | 5 | | relating to the authority of a captive insurance company to provide |
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| 12 | 6 | | reinsurance. |
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| 13 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 14 | 8 | | SECTION 1. Section 964.052(a), Insurance Code, is amended |
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| 15 | 9 | | to read as follows: |
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| 16 | 10 | | (a) A captive insurance company may provide reinsurance to |
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| 17 | 11 | | an insurer covering the operational risks of the captive insurance |
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| 18 | 12 | | company's affiliates, or risks of a controlled unaffiliated |
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| 19 | 13 | | business, that the captive insurance company may insure directly |
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| 20 | 14 | | under Section 964.051 and: |
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| 21 | 15 | | (1) employee benefit plans offered by affiliates; |
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| 22 | 16 | | (2) liability insurance an affiliate must maintain as |
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| 23 | 17 | | a prerequisite for obtaining a license or permit if the law requires |
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| 24 | 18 | | maintenance of the liability insurance; [and] |
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| 25 | 19 | | (3) credit life insurance and credit disability |
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| 26 | 20 | | insurance offered as a part of, or directly relating to, the |
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| 27 | 21 | | operational risks of an affiliate; and |
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| 28 | 22 | | (4) workers' compensation insurance and employer |
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| 29 | 23 | | liability policies issued to affiliates if the insurer that |
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| 30 | 24 | | directly issues workers' compensation insurance and employer's |
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| 31 | 25 | | liability policies or its licensed, if required by law, |
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| 32 | 26 | | administrator or adjuster: |
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| 33 | 27 | | (A) services all claims incurred during the |
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| 34 | 28 | | policy period; and |
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| 35 | 29 | | (B) complies with all requirements for an insurer |
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| 36 | 30 | | under this code, including Chapter 462, and under Title 5, Labor |
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| 37 | 31 | | Code. |
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| 38 | 32 | | SECTION 2. This Act takes effect September 1, 2017. |
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| 39 | | - | * * * * * |
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| 33 | + | ______________________________ ______________________________ |
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| 34 | + | President of the Senate Speaker of the House |
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| 35 | + | I certify that H.B. No. 1187 was passed by the House on April |
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| 36 | + | 26, 2017, by the following vote: Yeas 147, Nays 0, 1 present, not |
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| 37 | + | voting. |
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| 38 | + | ______________________________ |
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| 39 | + | Chief Clerk of the House |
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| 40 | + | I certify that H.B. No. 1187 was passed by the Senate on May |
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| 41 | + | 19, 2017, by the following vote: Yeas 31, Nays 0. |
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| 42 | + | ______________________________ |
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| 43 | + | Secretary of the Senate |
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| 44 | + | APPROVED: _____________________ |
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| 45 | + | Date |
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| 46 | + | _____________________ |
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| 47 | + | Governor |
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