By: Hughes S.B. No. 1060
(In the Senate - Filed February 21, 2023; March 3, 2023,
read first time and referred to Committee on State Affairs;
April 5, 2023, reported adversely, with favorable Committee
Substitute by the following vote: Yeas 8, Nays 2; April 5, 2023,
sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR S.B. No. 1060 By: Hughes
A BILL TO BE ENTITLED
AN ACT
relating to the adoption of political shareholder proposals by
insurers and insurer holding companies.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle A, Title 6, Insurance Code, is amended
by adding Chapter 806 to read as follows:
CHAPTER 806. CONSIDERATION OF ENVIRONMENTAL, SOCIAL, OR POLITICAL
FACTORS
Sec. 806.001. DEFINITIONS. In this chapter:
(1) "Holding company" and "insurer" have the meanings
assigned by Section 823.002.
(2) "Political shareholder proposal" means a
shareholder proposal that seeks to directly or indirectly:
(A) prohibit or limit an insurer's ability to
insure risks related to the exploration, production, utilization,
transportation, sale, or manufacturing of fossil fuel-based energy
solely because the risks are related to fossil fuel-based energy;
(B) require or ask an insurer to reduce or track
greenhouse gas emissions, including the greenhouse gas emissions of
the insurer's insureds or of the entities in which the insurer
invests; or
(C) prohibit or limit an insurer's ability to
insure an entity involved in legal activity for the purpose of
achieving environmental, social, or political ends.
Sec. 806.002. POLITICAL SHAREHOLDER PROPOSALS PROHIBITED.
An insurer or holding company organized under the laws of this state
may not:
(1) include a political shareholder proposal in a
proxy statement; or
(2) implement a political shareholder proposal.
SECTION 2. This Act takes effect September 1, 2023.
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