HB 1649

AN ACT relating to availability of certain insurance from a self-insurance

House Bill Cain
Filed

Filed

Bill introduced by legislator

Committee

Hearing

Passed Cmte

Calendar

Passed

Sent

Enrolled

Governor

Signed

89th Regular Session

Jan 14, 2025 - Jun 2, 2025 • Session ended

Awaiting Committee Assignment

Bill filed, pending referral to House committee

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Committee

Not yet assigned

Fiscal Note

Not available

What This Bill Does

Modifies rules for self-insurance trusts offering professional liability insurance to medical and dental practitioners. It allows these trusts to purchase various types of insurance and risk management services for licensed healthcare professionals, while prohibiting trusts from requiring association membership as a condition of obtaining insurance coverage. The legislation aims to provide more flexible insurance options for medical and dental professionals in Texas, ensuring they have broader access to professional liability protection.

Subject Areas

Bill Text

relating to availability of certain insurance from a self-insurance
trust for health care liability claims.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  The heading to Section 2212.054, Insurance Code,
Sec. 2212.054.  POWERS AND DUTIES OF TRUST.
SECTION 2.  Section 2212.054, Insurance Code, is amended by
amending Subsection (a) and adding Subsection (c) to read as
(1)  purchase, on behalf of the members of the
association that created the trust or other persons who are
licensed to practice medicine or dentistry in this state, [medical]
professional liability insurance, specific excess insurance,
aggregate excess insurance, and reinsurance, as necessary in the
(2)  purchase required risk management services; and
(3)  pay claims that arise under any deductible
(c)  A trust may not make membership in the association that
created the trust a condition of issuing a contract for
professional liability insurance or other insurance to a person
licensed to practice medicine or dentistry in this state.
SECTION 3.  This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution.  If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2025.

Bill Sponsors

Legislators who authored or co-sponsored this bill.

Bill History

filed

Bill filed: AN ACT relating to availability of certain insurance from a self-insurance