85R10320 SMT/GCB-D
By: Burkett H.B. No. 2909
A BILL TO BE ENTITLED
AN ACT
relating to the regulation of certain licensed activities and
related organizations.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
ARTICLE 1. TITLE ATTORNEY LICENSE; ATTORNEY'S TITLE INSURANCE
COMPANY
SECTION 1.01. Section 35.001(2), Insurance Code, is amended
to read as follows:
(2) "Regulated entity" means each insurer,
organization, person, or program regulated by the department,
including:
(A) a domestic or foreign, stock or mutual, life,
health, or accident insurance company;
(B) a domestic or foreign, stock or mutual, fire
or casualty insurance company;
(C) a Mexican casualty company;
(D) a domestic or foreign Lloyd's plan;
(E) a domestic or foreign reciprocal or
interinsurance exchange;
(F) a domestic or foreign fraternal benefit
society;
(G) a domestic or foreign title insurance
company;
(H) [an attorney's title insurance company;
[(I)] a stipulated premium company;
(I) [(J)] a nonprofit legal service corporation;
(J) [(K)] a health maintenance organization;
(K) [(L)] a statewide mutual assessment company;
(L) [(M)] a local mutual aid association;
(M) [(N)] a local mutual burial association;
(N) [(O)] an association exempt under Section
887.102;
(O) [(P)] a nonprofit hospital, medical, or
dental service corporation, including a company subject to Chapter
842;
(P) [(Q)] a county mutual insurance company;
(Q) [(R)] a farm mutual insurance company; and
(R) [(S)] an agency or agent of an insurer,
organization, person, or program described by this subdivision.
SECTION 1.02. Section 82.002(a), Insurance Code, is amended
to read as follows:
(a) This chapter applies to each company regulated by the
commissioner, including:
(1) a domestic or foreign, stock or mutual, life,
health, or accident insurance company;
(2) a domestic or foreign, stock or mutual, fire or
casualty insurance company;
(3) a Mexican casualty company;
(4) a domestic or foreign Lloyd's plan insurer;
(5) a domestic or foreign reciprocal or interinsurance
exchange;
(6) a domestic or foreign fraternal benefit society;
(7) a domestic or foreign title insurance company;
(8) [an attorney's title insurance company;
[(9)] a stipulated premium insurance company;
(9) [(10)] a nonprofit legal service corporation;
(10) [(11)] a health maintenance organization;
(11) [(12)] a statewide mutual assessment company;
(12) [(13)] a local mutual aid association;
(13) [(14)] a local mutual burial association;
(14) [(15)] an association exempt under Section
887.102;
(15) [(16)] a nonprofit hospital, medical, or dental
service corporation, including a company subject to Chapter 842;
(16) [(17)] a county mutual insurance company; and
(17) [(18)] a farm mutual insurance company.
SECTION 1.03. Section 83.002(a), Insurance Code, is amended
to read as follows:
(a) This chapter applies to each company regulated by the
commissioner, including:
(1) a domestic or foreign, stock or mutual, life,
health, or accident insurance company;
(2) a domestic or foreign, stock or mutual, fire or
casualty insurance company;
(3) a Mexican casualty company;
(4) a domestic or foreign Lloyd's plan insurer;
(5) a domestic or foreign reciprocal or interinsurance
exchange;
(6) a domestic or foreign fraternal benefit society;
(7) a domestic or foreign title insurance company;
(8) [an attorney's title insurance company;
[(9)] a stipulated premium insurance company;
(9) [(10)] a nonprofit legal service corporation;
(10) [(11)] a statewide mutual assessment company;
(11) [(12)] a local mutual aid association;
(12) [(13)] a local mutual burial association;
(13) [(14)] an association exempt under Section
887.102;
(14) [(15)] a nonprofit hospital, medical, or dental
service corporation, including a company subject to Chapter 842;
(15) [(16)] a county mutual insurance company; and
(16) [(17)] a farm mutual insurance company.
SECTION 1.04. Section 554.001, Insurance Code, is amended
to read as follows:
Sec. 554.001. APPLICABILITY OF CHAPTER. This chapter
applies to each insurer or health maintenance organization engaged
in the business of insurance or the business of a health maintenance
organization in this state, regardless of form and however
organized, including:
(1) a stock life, health, or accident insurance
company;
(2) a mutual life, health, or accident insurance
company;
(3) a stock fire or casualty insurance company;
(4) a mutual fire or casualty insurance company;
(5) a Mexican casualty insurance company;
(6) a Lloyd's plan;
(7) a reciprocal or interinsurance exchange;
(8) a fraternal benefit society;
(9) a title insurance company;
(10) [an attorney's title insurance company;
[(11)] a stipulated premium company;
(11) [(12)] a nonprofit legal services corporation;
(12) [(13)] a statewide mutual assessment company;
(13) [(14)] a local mutual aid association;
(14) [(15)] a local mutual burial association;
(15) [(16)] an association exempt under Section
887.102;
(16) [(17)] a nonprofit hospital, medical, or dental
service corporation, including a corporation subject to Chapter
842;
(17) [(18)] a county mutual insurance company;
(18) [(19)] a farm mutual insurance company; and
(19) [(20)] an insurer or health maintenance
organization engaged in the business of insurance or the business
of a health maintenance organization in this state that does not
hold a certificate of authority issued by the department or is not
otherwise authorized to engage in business in this state.
SECTION 1.05. Section 703.001, Insurance Code, is amended
to read as follows:
Sec. 703.001. DEFINITION. In this chapter, "covered
entity" means a health maintenance organization or insurer
regulated by the department, including:
(1) a stock life, health, or accident insurance
company;
(2) a mutual life, health, or accident insurance
company;
(3) a stock fire or casualty insurance company;
(4) a mutual fire or casualty insurance company;
(5) a Mexican casualty insurance company;
(6) a Lloyd's plan;
(7) a reciprocal or interinsurance exchange;
(8) a fraternal benefit society;
(9) a title insurance company;
(10) [an attorney's title insurance company;
[(11)] a stipulated premium company;
(11) [(12)] a nonprofit legal services corporation;
(12) [(13)] a statewide mutual assessment company;
(13) [(14)] a local mutual aid association;
(14) [(15)] a local mutual burial association;
(15) [(16)] an association exempt under Section
887.102;
(16) [(17)] a nonprofit hospital, medical, or dental
service corporation, including a corporation subject to Chapter
842;
(17) [(18)] a county mutual insurance company; and
(18) [(19)] a farm mutual insurance company.
SECTION 1.06. Section 802.051, Insurance Code, is amended
to read as follows:
Sec. 802.051. APPLICABILITY OF SUBCHAPTER. This subchapter
applies to each company regulated by the commissioner, including:
(1) a stock life, health, or accident insurance
company;
(2) a mutual life, health, or accident insurance
company;
(3) a stock fire or casualty insurance company;
(4) a mutual fire or casualty insurance company;
(5) a Mexican casualty company;
(6) a Lloyd's plan;
(7) a reciprocal or interinsurance exchange;
(8) a fraternal benefit society;
(9) a title insurance company;
(10) [an attorney's title insurance company;
[(11)] a stipulated premium insurance company;
(11) [(12)] a nonprofit legal service corporation;
(12) [(13)] a health maintenance organization;
(13) [(14)] a statewide mutual assessment company;
(14) [(15)] a local mutual aid association;
(15) [(16)] a local mutual burial association;
(16) [(17)] an association exempt under Section
887.102;
(17) [(18)] a nonprofit hospital, medical, or dental
service corporation, including a company subject to Chapter 842;
(18) [(19)] a county mutual insurance company; and
(19) [(20)] a farm mutual insurance company.
SECTION 1.07. Section 2551.053(a), Insurance Code, is
amended to read as follows:
(a) A [Except as provided by Section 2552.053(b), a] title
insurance company must have a paid-up capital of at least $1 million
and a surplus of at least $1 million.
SECTION 1.08. Section 2602.003(2), Insurance Code, is
amended to read as follows:
(2) "Agent" includes:
(A) a title insurance agent, as defined by
Section 2501.003; and
(B) [a title attorney, as defined by Section
2552.002; and
[(C)] a direct operation or a title insurance
company's wholly owned subsidiary or affiliate that performs the
services usually and customarily performed by a title insurance
agent.
SECTION 1.09. Chapter 2552, Insurance Code, is repealed.
ARTICLE 2. EMERGENCY MANAGING GENERAL AGENT LICENSE
SECTION 2.01. Section 4053.052, Insurance Code, is
repealed.
ARTICLE 3. BINGO UNIT MANAGER LICENSE
SECTION 3.01. Section 2001.431(4), Occupations Code, is
amended to read as follows:
(4) "Unit manager" means an individual who is
[licensed under this subchapter to be] responsible for the
revenues, authorized expenses, and inventory of a unit.
SECTION 3.02. The heading to Section 2001.437, Occupations
Code, is amended to read as follows:
Sec. 2001.437. UNIT MANAGER[; LICENSE].
SECTION 3.03. Section 2001.437(c), Occupations Code, is
amended to read as follows:
(c) [A person may not provide services as a unit manager to
licensed authorized organizations that form a unit unless the
person holds a unit manager license under this subchapter.] A
person designated as an agent under Section 2001.438(b) is not a
unit manager on account of that designation for purposes of this
section.
SECTION 3.04. Sections 2001.437(d), (e), (f), and (g),
Occupations Code, are repealed.
ARTICLE 4. TRANSITION AND EFFECTIVE DATE
SECTION 4.01. The changes in law made by this Act do not
affect the right of any individual licensed before the effective
date of this Act to engage in the applicable occupation for the
remainder of the term for which the license was issued.
SECTION 4.02. This Act takes effect immediately if it
receives a vote of two-thirds of all the members elected to each
house, as provided by Section 39, Article III, Texas Constitution.
If this Act does not receive the vote necessary for immediate
effect, this Act takes effect September 1, 2017.