80C51(2) PEP

Revisor's Note

Subsection (b), V.T.I.C. Article 1.09-1, and V.T.I.C. Articles 1.12 and 1.13 concern the subpoena power of various insurance regulators in this state and related matters.

Subsection (b), V.T.I.C. Article 1.09-1, authorizes the commissioner of insurance to exercise subpoena power to the extent of the state's jurisdiction for "such hearings and proceedings."  V.T.I.C. Article 1.09-1 was enacted by Chapter 499, Acts of the 55th Legislature, Regular Session, 1957, and as originally enacted, Subsection (b) provided:

(b)  In all rate hearings and policy form proceedings before the Board or the Commissioner of Insurance, the Attorney General may intervene in the public interest.  The Board shall have and exercise the power of subpoena and subpoena duces tecum for witnesses, documents, and other evidence to the extent of the jurisdiction of this state for such hearings and proceedings on its own motion or upon application of the Attorney General.

From the original context of Subsection (b), it is clear that the phrase "such hearings and proceedings" means rate hearings and policy form proceedings.

V.T.I.C. Article 1.12 directs a district judge to issue a summons to obtain the testimony of a witness on the application of any member of the Board of Insurance Commissioners.  V.T.I.C. Article 1.13 requires a peace officer to execute process directed to the officer by the Board of Insurance Commissioners in the same manner as process issued by a court.  V.T.I.C. Articles 1.12 and 1.13 were enacted by Chapter 491, Acts of the 52nd Legislature, Regular Session, 1951.  Under Chapter 499, Acts of the 55th Legislature, Regular Session, 1957, administration of the insurance laws of this state was reorganized, and the powers and duties of the Board of Insurance Commissioners were transferred to the State Board of Insurance.  Chapter 685, Acts of the 73rd Legislature, Regular Session, 1993, abolished the State Board of Insurance and transferred its functions to the commissioner of insurance and the Texas Department of Insurance.

The revised law omits Subsection (b), V.T.I.C. Article 1.09-1, and V.T.I.C. Articles 1.12 and 1.13 as impliedly repealed by the comprehensive subpoena authority established under V.T.I.C. Article 1.19-1.  As originally enacted by Chapter 67, Acts of the 70th Legislature, 2nd Called Session, 1987, V.T.I.C. Article 1.19-1 included language that provided general subpoena authority in relation to enforcement of the Insurance Code to the commissioner of insurance and to the former State Board of Insurance and also established procedures for enforcement of the subpoena and service of the subpoena by law enforcement.  V.T.I.C. Article 1.19-1, as subsequently amended, was revised as Subchapter C, Chapter 36, Insurance Code, by Chapter 101, Acts of the 76th Legislature, Regular Session, 1999.

The omitted law reads:

[Art. 1.09-1]

(b)  The Commissioner shall have and exercise the power of subpoena and subpoena duces tecum for witnesses, documents, and other evidence to the extent of the jurisdiction of the state for such hearings and proceedings on its own motion.

Art. 1.12.  If any person refuses to appear and testify or to give information authorized by this chapter to be demanded by the Board, such Board may file the sworn application of any member thereof with any district judge or district court within this State, where said witness is summoned to appear, and said judge shall summon said witness and require answers to such questions.

Art. 1.13.  Peace officers shall execute process directed to them by the Board and make return thereof to it, as in the case of process issued from any court.