| 1 | 1 | | 86R6098 KKR-F |
|---|
| 2 | 2 | | By: Zaffirini S.B. No. 431 |
|---|
| 3 | 3 | | |
|---|
| 4 | 4 | | |
|---|
| 5 | 5 | | A BILL TO BE ENTITLED |
|---|
| 6 | 6 | | AN ACT |
|---|
| 7 | 7 | | relating to administrative violations committed by certified |
|---|
| 8 | 8 | | self-insurer administrators under the Texas Workers' Compensation |
|---|
| 9 | 9 | | Act; authorizing an administrative penalty. |
|---|
| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|---|
| 11 | 11 | | SECTION 1. Section 415.002, Labor Code, is amended by |
|---|
| 12 | 12 | | adding Subsections (c) and (d) to read as follows: |
|---|
| 13 | 13 | | (c) Notwithstanding any provision of a contract entered |
|---|
| 14 | 14 | | into under Section 4151.253, Insurance Code, an administrator, as |
|---|
| 15 | 15 | | defined by Section 4151.001 of that code, commits an administrative |
|---|
| 16 | 16 | | violation under Subsection (a) if the administrator: |
|---|
| 17 | 17 | | (1) is under contract with a certified self-insurer; |
|---|
| 18 | 18 | | and |
|---|
| 19 | 19 | | (2) engages in conduct described by Subsection (a) in |
|---|
| 20 | 20 | | the course of administering a claim on behalf of the certified |
|---|
| 21 | 21 | | self-insurer. |
|---|
| 22 | 22 | | (d) A certified self-insurer may not be charged with an |
|---|
| 23 | 23 | | administrative violation under Subsection (a) if the conduct that |
|---|
| 24 | 24 | | is the subject of the violation was engaged in by an administrator, |
|---|
| 25 | 25 | | as defined by Section 4151.001, Insurance Code, of the certified |
|---|
| 26 | 26 | | self-insurer, unless the certified self-insurer directed the |
|---|
| 27 | 27 | | administrator to engage in that conduct. |
|---|
| 28 | 28 | | SECTION 2. Sections 415.002(c) and (d), Labor Code, as |
|---|
| 29 | 29 | | added by this Act, apply only to an administrative violation |
|---|
| 30 | 30 | | committed on or after the effective date of this Act. An |
|---|
| 31 | 31 | | administrative violation committed before the effective date of |
|---|
| 32 | 32 | | this Act is governed by the law in effect on the date the |
|---|
| 33 | 33 | | administrative violation was committed, and the former law is |
|---|
| 34 | 34 | | continued in effect for that purpose. |
|---|
| 35 | 35 | | SECTION 3. This Act takes effect September 1, 2019. |
|---|