Bill

HB 1132

84(R) - 2015
House Insurance
House Insurance
Insurance
Property & Casualty Insurance

Vote Recommendation

Neutral
  • Neutral
  • Neutral
  • Neutral
  • Neutral
  • Neutral

Author(s)

Paul Workman

Bill Caption

Relating to the regulation of certain policy forms used for insuring certain large risks.

Fiscal Notes

No significant fiscal implication to the State is anticipated.

Bill Analysis

HB 1132 would amend Section 2301.004 (Exemption for Large Risks) of the Insurance Code. This legislation would change the requirements for policy forms that are exempt from Section 2301.006 (Filing and Approval of Forms), certain provisions of 2301.007 (Disapproval of Forms; Withdrawal of Approval); and 2301.008 (Adoption and Use of Standard Forms). Under HB 1132, an insurance form would be exempt from the sections in the aforementioned if one of the following occurs as described by the bill author's analysis on TLO:

  • from $5 million or more in total insured property values to $10 million or more in total insured property values;
  • from $10 million or more in total annual gross revenues to $20 million or more in total annual gross revenues;
  • from $25,000 or more in total premium for property insurance to $100,000 or more in total premium for property insurance;
  • from $25,000 or more in total premium for general liability insurance to $100,000 or more in total premium for general liability insurance; and
  • from $50,000 or more in total premium for multiperil insurance to $100,000 or more in total premium for multiperil insurance. 

Vote Recommendation Notes

HB 1132 would not add new regulations but rather simply change the threshold for the exemptions already authorized under the law. As such we are neutral on this legislation which neither affirms nor offends our liberty principles.

Organizations Supporting

AGC-Texas Building Branch
Associated Builders and Contractors of Texas
Independent Insurance Agents of Texas
Texas Water Infrastructure Network

Organizations Opposed

ACE Group
American Insurance Association
Liberty Mutual Insurance
National Association of Mutual Insurance Companies
Property Casualty Insurers Association of America
Texas Association of Business