Proposed Action on Rules
EXEMPT FILING NOTIFICATION PURSUANT TO THE INSURANCE CODE CHAPTER 5, SUBCHAPTER
L, ARTICLE 5.96
The Commissioner of Insurance, at a public hearing under Docket No. 2449
scheduled for July 25, 2000 at 10:00 a.m., Room 100 of the William P. Hobby
Jr. State Office Building, 333 Guadalupe Street in Austin, Texas, will consider
a proposal made in the Second Supplemental Petition filed by Motors Insurance
Company (MIC). In its latest petition, MIC seeks an amendment to the Texas
Automobile Rules and Rating Manual (the Manual), Rule 125, to allow automobile
floor plan coverage to be written optionally as provided by Rule 125 or as
inland marine insurance as proposed in MIC's two previously filed petitions.
The notification for that proposal has been published pursuant to the Government
Code, Chapter 2001 (Administrative Procedure Act). The petition (Ref. No.
A-0699-10) was filed on March 7, 2000.
An exhibit attached to MIC's latest petition illustrates the proposed amendment
to Rule 125. MIC proposes the addition to Section D of Rule 125 the following
provision: "A wholesale floor plan may also be written pursuant to 28 TAC §5.5002
entitled 'Texas Definition of Inland Marine Insurance' as provided in paragraph
(5)(K)." The amendment to the Manual is necessary for clarification of the
two options currently available to insurers writing automobile floor plan
coverage. Insurers can continue to provide coverage of automobile floor plans
pursuant to Rule 125 or pursuant to newly amended 28 TAC §5.5002(5)(K).
The Commissioner has jurisdiction of this matter pursuant to the Insurance
Code, Articles 5.10, 5.96, and 5.98.
A copy of the petition, including an exhibit with the full text of the
proposed amendment to the Manual is available for review in the office of
the Chief Clerk of the Texas Department of Insurance, 333 Guadalupe Street,
Austin, Texas. For further information or to request copies of the petition,
please contact Sylvia Gutierrez at (512) 463-6327; refer to Ref. No. A-0699-10.
Comments on the proposed changes must be submitted in writing within 30
days after publication of the proposal in the Texas Register, to the Office
of the Chief Clerk, Texas Department of Insurance, P. O. Box 149104, MC 113-2A,
Austin, Texas 78714-9104. An additional copy of comments is to be submitted
simultaneously to Marilyn Hamilton, Deputy Commissioner, Property & Casualty
Program, Texas Department of Insurance, P.O. Box 149104, MC 104-5A, Austin,
Texas, 78714-9104.
This notification is made pursuant to the Insurance code, Article 5.96,
which exempts it from the requirements of the Government Code, Chapter 2001
(Administrative Procedure Act).
TRD-200004151
Lynda Nesenholtz
General Counsel and Chief Clerk
Texas Department of Insurance
Filed: June 13, 2000