AUSTIN — House Republicans easily voted down a long list of consumer amendments before giving final approval Wednesday to legislation that extends the life of the Department of Texas Insurance and sets tighter guidelines for the agency to review rate increases.
Democrats offered a series of amendments to the bill that they said would strengthen consumer protections and crack down on companies that overcharge or abuse their customers. One key amendment would have required insurers to get approval from the state before raising rates.
But the Republican supermajority in the House knocked down virtually all the amendments, which were opposed by the insurance industry. GOP sponsors of the insurance department “sunset” bill said the current regulatory system is working well and promoting competition among insurers.
The bill, approved by a 101-40 vote in the House, would require the insurance commissioner to complete any review of a rate increase within 30 days of its filing by the insurance company. Currently, the commissioner can take longer to review the rates and determine whether they are justified.
The amendment on prior approval of rates was killed on a 92-45 vote along party lines.
