| 1 | 1 | | 86R11055 SCL-F |
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| 2 | 2 | | By: Frullo H.B. No. 2104 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to a limitation on life insurance proceeds for terroristic |
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| 8 | 8 | | acts. |
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| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 10 | 10 | | SECTION 1. Subchapter A, Chapter 1101, Insurance Code, is |
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| 11 | 11 | | amended by adding Section 1101.014 to read as follows: |
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| 12 | 12 | | Sec. 1101.014. LIMITATION ON PROCEEDS DUE TO TERRORISTIC |
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| 13 | 13 | | ACT. Notwithstanding any other law, a life insurance policy may |
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| 14 | 14 | | provide that proceeds are limited to the amount paid in premiums if: |
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| 15 | 15 | | (1) the insured's death occurs as a result of the |
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| 16 | 16 | | insured's conduct constituting an offense involving violence to any |
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| 17 | 17 | | person or property and with the intent to: |
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| 18 | 18 | | (A) place the public or a substantial group of |
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| 19 | 19 | | the public in fear of serious bodily injury; |
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| 20 | 20 | | (B) influence the conduct or activities of a |
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| 21 | 21 | | branch or agency of the federal government, this state, or a |
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| 22 | 22 | | political subdivision of this state; or |
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| 23 | 23 | | (C) significantly disrupt or interfere with |
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| 24 | 24 | | lawful commerce or the right of lawful assembly; and |
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| 25 | 25 | | (2) the conduct described by Subdivision (1) occurred |
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| 26 | 26 | | not later than the second anniversary of the effective date of the |
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| 27 | 27 | | policy. |
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| 28 | 28 | | SECTION 2. Section 1101.014, Insurance Code, as added by |
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| 29 | 29 | | this Act, applies only to an insurance policy delivered, issued for |
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| 30 | 30 | | delivery, or renewed on or after January 1, 2020. |
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| 31 | 31 | | SECTION 3. This Act takes effect September 1, 2019. |
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