Senate Democrats Take Aggressive Stance On Insurance Reforms; Hinojosa Calls For Making Insurance Commissioner An Elected Official
By Vince Leibowitz on Jul 8, 2008 in Texas Legislature
As the Sunset Commission review of the Texas Department of insurance continues, several Senate Democrats have made it clear that the Texas Department of Insurance should do more to focus on consumer rights and the high cost of property and health insurance during the upcoming debate surrounding reform of the agency.
One senator, Juan “Chuy” Hinojosa (D-McAllen), went so far as to recommend making the Insurance Commissioner an elected official:
“…after careful consideration, I think we should make the Texas Insurance Commissioner and elected position. I appreciate the Sunset Staff’s Recommendation9.2 that includes consumer protection as part oft he Department’s duties, but as Commission Members, we should go further and make the commissioner directly accountable to Texans.
Other Senate Democrats also had strong words for the Sunset Commissions staff:
Senator Leticia Van de Putte (D – San Antonio) recommended holding insurance companies accountable for high homeowner rates in her letter to the Commission:
“Texans are paying the highest homeowner rates in the nation, while profits for insurance companies continue to rise…”
Senator Royce West (D – Dallas), expressed concern for continued high insurance rates following past legislative efforts, called on the Sunset Commission to investigate and discuss the merits of a prior approval system for insurance rate increases, and joined with several other Senate Democrats in opposing the staff recommendation to abolish the Office of Public Insurance Counsel (OPIC).
Senator Kirk Watson (D – Austin) joined with West other Democrats in opposing the abolition of OPIC:
“…it is disconcerting that those recommendations seem targeted solely at making TDI easier for insurance companies to navigate with no regard for consumers.”
Senator Rodney Ellis (D – Houston), noting that nearly one out of four Texans – over 5.5 million people – do not have health insurance, said:
“if the private market in Texas operated at the national average in terms of coverage rates, an additional one million Texans would have health insurance – without any additional state funding.”
He also proposed a series of specific health and property insurance reforms designed to increase coverage and lower rates.
Senator Eddie Lucio (D – Brownsville), joined other Democrats in defending OPIC and in calling for prior approval for insurance rate increases:
“In 2003 the Legislature passed comprehensive insurance reforms in the hopes of balancing the insurance marketplace in Texas and stabilizing homeowners’ insurance rates. It is disappointing to me that given these reforms, Texans still pay the highest homeowners premiums in the nation and have only seen a 3.5% decrease in premiums for half the coverage they were receiving… the reforms have served to benefit the insurance industry’s bottom line, while the people of Texas continue to struggle with rising insurance premiums,” he said.
[...] Vince at Capitol Annex notes that Senate Democrats have taken a strong stance on calling for reform of the Texas Department of Insurance, with one senator even calling for the Insurance Commissioner to be an elected official. [...]
[...] Vince at Capitol Annex notes that Senate Democrats have taken a strong stance on calling for reform of the Texas Department of Insurance, with one senator even calling for the Insurance Commissioner to be an elected official. [...]
[...] Vince at Capitol Annex notes that Senate Democrats have taken a strong stance on calling for reform of the Texas Department of Insurance, with one senator even calling for the Insurance Commissioner to be an elected official. [...]