Texas 2019 - 86th Regular

Texas House Bill HB3633 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	86R17067 SCL-D
2	2	By: Herrero H.B. No. 3633
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the board of directors of the Texas Windstorm Insurance
8	8	Association.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Sections 2210.102(a), (c), (c-1), and (f),
11	11	Insurance Code, are amended to read as follows:
12	12	(a) The board of directors is composed of 11 [nine] members
13	13	appointed by the governor [commissioner] in accordance with this
14	14	section.
15	15	(c) Five [Three] members must, as of the date of the
16	16	appointment, reside in the first tier coastal counties. Each of the
17	17	following regions must be represented by a member residing in the
18	18	region and appointed under this subsection:
19	19	(1) the region consisting of Cameron, Kenedy, Kleberg,
20	20	and Willacy Counties;
21	21	(2) the region consisting of Aransas, Calhoun, Nueces,
22	22	Refugio, and San Patricio Counties; and
23	23	(3) the region consisting of Brazoria, Chambers,
24	24	Galveston, Jefferson, and Matagorda Counties and any part of Harris
25	25	County designated as a catastrophe area under Section 2210.005.
26	26	(c-1) One of the members appointed under Subsection (c) must
27	27	be a property and casualty agent who is licensed under this code and
28	28	is not a captive agent. Other members appointed under that
29	29	subsection:
30	30	(1) must be association policyholders nominated by the
31	31	office of public insurance counsel; and
32	32	(2) may not be property and casualty agents.
33	33	(f) Insurers who are members of the association shall
34	34	nominate, from among those members, persons to fill any vacancy in
35	35	the three board of director seats reserved for representatives of
36	36	the insurance industry. The board of directors shall solicit
37	37	nominations from the members and submit the nominations to the
38	38	governor [commissioner]. The nominee slate submitted to the
39	39	governor [commissioner] under this subsection must include at least
40	40	three more names than the number of vacancies. The governor
41	41	[commissioner] may appoint replacement insurance industry
42	42	representatives from the nominee slate.
43	43	SECTION 2. Section 2210.103, Insurance Code, is amended to
44	44	read as follows:
45	45	Sec. 2210.103. TERMS. (a) Members of the board of
46	46	directors serve two-year [three-year staggered] terms[, with the
47	47	terms of three members expiring on the third Tuesday of March of
48	48	each year].
49	49	(b) A person may serve on the board of directors for not more
50	50	than three consecutive full terms, not to exceed six [nine] years.
51	51	(c) A member of the board of directors may be removed by the
52	52	governor [commissioner] with cause stated in writing and posted on
53	53	the association's website. The governor [commissioner] shall
54	54	appoint a replacement in accordance with Section 2210.102 for a
55	55	member who leaves or is removed from the board of directors.
56	56	SECTION 3. (a) The board of directors of the Texas
57	57	Windstorm Insurance Association established under Section
58	58	2210.102, Insurance Code, as that section existed before amendment
59	59	by this Act, is abolished effective December 1, 2019.
60	60	(b) The governor shall appoint the members of the board of
61	61	directors of the Texas Windstorm Insurance Association under
62	62	Section 2210.102, Insurance Code, as amended by this Act, not later
63	63	than December 1, 2019.
64	64	(c) The term of a person who is serving as a member of the
65	65	board of directors of the Texas Windstorm Insurance Association
66	66	immediately before the abolition of that board under Subsection (a)
67	67	of this section expires on December 1, 2019. Such a person is
68	68	eligible for appointment by the governor to the new board of
69	69	directors of the Texas Windstorm Insurance Association, subject to
70	70	the requirements of Section 2210.102, Insurance Code, as amended by
71	71	this Act.
72	72	SECTION 4. This Act takes effect September 1, 2019.