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A BILL TO BE ENTITLED
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AN ACT
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relating to insurer rating practices requiring prior approval. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 2251.151, Insurance Code, is amended by |
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amending Subsection (a-1) and adding Subsection (a-2) to read as |
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follows: |
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(a-1) For purposes of this section and notwithstanding |
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Subsection (f), rating practices that may require a filing under |
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Subsection (a) include: |
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(1) the filing or use of a rate the commissioner |
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determines to be excessive, inadequate, or unfairly discriminatory |
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under this chapter; and |
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(2) the use of a rate that differs from the rate filed |
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under Section 2251.101. |
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(a-2) If an insurer files a petition under Subchapter D, |
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Chapter 36, for judicial review of an order disapproving a rate |
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under this chapter, the insurer must use the rates in effect for the |
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insurer at the time the petition is filed and may not file and use |
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any higher rate for the same line of insurance subject to this |
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chapter before the matter subject to judicial review is finally |
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resolved unless the insurer, in accordance with this subchapter, |
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files the new rate with the department, along with any applicable |
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supplementary rating information and supporting information, and |
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obtains the commissioner's approval of the rate. |
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SECTION 2. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2015. |