HB5317 - Relating to the establishment of a risk management pool to provide insurance coverage.

      By: Bell of Montgomery H.B. No. 5317       A BILL TO BE ENTITLED   AN ACT   relating to the establishment of a risk management pool to provide   insurance coverage.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Chapter 412, Labor Code is amended by adding   Subchapter G, Section 412.055 and Section 412.056 to read as   follows:           Subchapter G:  RISK MANAGEMENT POOL   Sec. 412.055.  DEFINITIONS. In this chapter:           (1)     "Pool" means a self-insured retention fund established   under Section 412.056.   Sec. 412.056.  CREATION OF A RISK MANAGEMENT POOL          a.   The Board may authorize the creation of a risk management   pool for the purpose of providing insurance to state agencies and   institutions of higher education.          b.   The Office shall be the administrator of the risk   management pool.          c.   The risk management pool shall be considered a sponsored   policy, as defined in Administrative Code, Chapter 252, Subchapter   C, Rule 252.301.           SECTION   2 .     Sec. 412.057. PARTICIPATION IN POOL.   (a)   An   agency subject to Labor Code, Chapter 501, except for an intuition   subject to Chapter 501.022, that meets the criteria established by   the risk management pool may:          (1)   purchase coverage from the pool; and          (2)   use funds appropriated by the legislature to pay all   necessary costs associated with participation in the pool.          SECTION 3.  The change in law made by this Act applies only   to a risk management pool established by the Board of the State   Office of Risk Management on or after the effective date of this   Act. A risk management pool created before the effective date of   this Act is governed by the law in effect on the date the award was   made, and the former law is continued in effect for that purpose.          SECTION 4.  This Act takes effect September 1, 2025.