87(R) HB 4313 - House Committee Report version - Bill Text
 
 
  By:  Vo H.B.  No.  4313
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the enforcement of insurance laws, including laws
  governing the unauthorized business of insurance; authorizing
  administrative penalties.
               BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
               SECTION  1.    Section 36.157(b), Insurance Code, is amended to
  read as follows:
               (b)    On certification by the commissioner under official
  seal, testimony taken or records produced under this subchapter or
  acquired in response to a request for information under Section
  101.104 and held by the department are admissible in evidence in a
  case without:
                           (1)    prior proof of correctness; and
                           (2)    proof, other than the certificate of the
  commissioner, that the testimony or records were received from the
  person testifying or producing the records.
               SECTION  2.    Section 36.158(a), Insurance Code, is amended to
  read as follows:
               (a)    A record or other evidence acquired under a subpoena
  under this subchapter or in response to a request for information
  under Section 101.104 is not a public record for the period the
  commissioner considers reasonably necessary to:
                           (1)    complete the investigation;
                           (2)    protect the person being investigated from
  unwarranted injury; or
                           (3)    serve the public interest.
               SECTION  3.    Section 83.051, Insurance Code, is amended to
  read as follows:
               Sec.  83.051.    AUTHORITY OF COMMISSIONER TO ISSUE ORDER. (a)
  The commissioner ex parte may issue an emergency cease and desist
  order if:
                           (1)    the commissioner believes that:
                                       (A)    an authorized person engaging in the business
  of insurance is:
                                                   (i)    committing an unfair act; or
                                                   (ii)    in a hazardous condition or a
  hazardous financial condition under Section 843.406 or Subchapter
  A, Chapter 404, as determined by the commissioner; or
                                       (B)    an unauthorized person:
                                                   (i)    is engaging in the business of
  insurance in violation of Chapter 101 or in violation of a rule
  adopted under that chapter; and [or]
                                                   (ii)    does not meet a statutory exception or
  exemption  [is engaging in the business of insurance in violation of
  Chapter 101 and is committing an unfair act]; and
                           (2)    with respect to conduct described by Subdivision
  (1)(A),  it appears to the commissioner that the alleged conduct:
                                       (A)    is fraudulent;
                                       (B)    is hazardous or creates an immediate danger
  to the public safety; or
                                       (C)    is causing or can be reasonably expected to
  cause public injury that:
                                                   (i)    is likely to occur at any moment;
                                                   (ii)    is incapable of being repaired or
  rectified; and
                                                   (iii)    has or is likely to have influence or
  effect.
               (b)    An order is final on the 61st [31st] day after the date
  it is served [received], unless the affected person requests a
  hearing under Section 83.053.
               SECTION  4.    Section 83.053(b), Insurance Code, is amended to
  read as follows:
               (b)    The affected person must request the hearing not later
  than the 60th [30th] day after the date on which the person is
  served with an [receives the] order required by Section 83.052.
               SECTION  5.    Sections 83.054(a), (b), and (c), Insurance
  Code, are amended to read as follows:
               (a)    On receiving a timely request for a hearing under
  Section 83.053, the department [commissioner] shall docket the case
  at the State Office of Administrative Hearings not later than the
  30th day after the date the department receives the request [serve
  notice of the time and place of the hearing].