Enrolled Bill Summary

House Bill 3315	House Author:  Keffer, Jim
Effective:  6-15-07	Senate Sponsor:  Duncan

            House Bill 3315 amends provisions of the Insurance Code relating to taxation of insurance premiums.  The bill specifies that home warranty insurance is subject to insurance premium taxes and that all title insurance premiums are subject to an annual tax and maintenance fee.  The bill authorizes the comptroller to:

• establish, by rule, that all surplus lines insurance premiums, unauthorized insurance premiums, and independently procured insurance premiums are considered to be on risks located in this state if the insured's home office or state of domicile or residence is in Texas, or to accommodate changes in federal law that would otherwise limit the comptroller's ability to directly collect taxes on such premiums.
• adopt rules regarding the pre-payment of premium taxes on surplus lines. 
• enter into a cooperative agreement, reciprocal agreement, or compact with another state for the collection of insurance premiums on surplus lines and unauthorized or independently procured insurance.
• enter into a reciprocity agreement with another state to set aside retaliatory provisions in situations in which a state determines that retaliation is not the preferred means of protecting the state's domestic insurers.

            House Bill 3315 increases the aggregate amount assessed against certain property and casualty insurers to fund the volunteer fire department assistance fund from $15 million for each 12-month period to $30 million for each period and repeals a provision that provided for the expiration of the chapter relating to the assessment for rural fire protection.