Texas House Bill HB1520

Texas 2017 - 85th Regular

Caption

Relating to the annual reporting of certain information regarding property and casualty insurance.

Impact

One of the primary implications of HB1520 is on the transparency and accountability of property and casualty insurers in Texas. By requiring insurers to disclose comprehensive data on their operations and decisions regarding rate adjustments, the bill aims to empower regulators, enabling them to better assess insurance market health and protect consumers from unjustified rate hikes. This increased scrutiny is posited to foster a more competitive environment within the industry, potentially leading to benefits for policyholders.

Summary

House Bill 1520 amends Section 2251.008 of the Insurance Code to enhance the annual reporting requirements for property and casualty insurers. The bill mandates that insurers provide detailed analytics regarding their market share, profits and losses, average loss ratios, and the status of rate filings. These reports will be segmented by rating territory and county, aiming to offer a clearer picture of the insurance landscape for regulators and policymakers.

Contention

While the bill appears to promote a greater level of transparency, it may face pushback from insurance companies who could argue that the enhanced reporting requirements introduce added administrative burdens. Insurers may contend that the detailed data they are required to submit could jeopardize their competitive positioning and expose sensitive business information. However, supporters of the bill might argue that the benefits of informed consumer choices outweigh these concerns, advocating for a regulatory framework that prioritizes consumer protection.