INSURANCE CODE
CHAPTER 1903. LOSS CONTROL INFORMATION AND SERVICES
SUBCHAPTER A. LOSS CONTROL SERVICES FOR PROFESSIONAL LIABILITY
INSURANCE FOR HOSPITALS
§ 1903.001. DEFINITION. In this subchapter, "hospital"
means a public or private institution licensed under Chapter 241 or
577, Health and Safety Code.
Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.
§ 1903.002. INAPPLICABILITY OF SUBCHAPTER. This
subchapter and Subchapter C do not apply to insurance policies that
provide excess coverage issued by the Texas Medical Liability
Insurance Underwriting Association under Chapter 2203, or to those
policies if the policies are serviced by an insurer acting as a
servicing carrier under an agreement entered into between the
association and the insurer and approved by the commissioner.
Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.
§ 1903.003. LOSS CONTROL SERVICES REQUIRED. (a) Before
writing professional liability insurance for a hospital in this
state, an insurer must maintain or provide loss control facilities
that:
(1) provide loss control services reasonably
commensurate with the risks, exposures, and experience of the
insured's business;
(2) are adequate to provide loss control services
required by the nature of the policyholder's operations; and
(3) include surveys, recommendations, training
programs, consultations, and analyses of accident causes.
(b) To provide the facilities required by this section, the
insurer may:
(1) employ qualified personnel;
(2) retain qualified independent contractors;
(3) contract with the policyholder to provide
qualified loss control personnel and services; or
(4) use a combination of methods described by this
subsection.
(c) Independent contractors and other personnel described
by Subsection (b) must have the qualifications of a field safety
representative. A field safety representative must be an
individual who:
(1) holds a:
(A) bachelor's degree in science or engineering;
(B) bachelor of arts degree in nursing;
(C) bachelor of science degree in nursing,
pharmacy, or physical therapy; or
(D) master's degree in hospital administration;
(2) is a licensed engineer;
(3) is a certified safety professional;
(4) is a certified industrial hygienist;
(5) has at least 10 years' experience in occupational
safety and health; or
(6) has completed a course of training in loss control
services approved by the department.
Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.
§ 1903.004. SANCTIONS. (a) If there is evidence that
reasonable loss control services are not being maintained or
provided by an insurer as required by this subchapter or are not
being used by the insurer in a reasonable manner to prevent injury
to patients of the insurer's policyholders, the commissioner shall
order a hearing to determine whether the insurer is not in
compliance with this subchapter.
(b) If it is determined that the insurer is not in
compliance, the commissioner may impose any sanction authorized by
Chapter 82.
Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.
§ 1903.005. RULES. The commissioner may adopt reasonable
rules for the enforcement of this subchapter after holding a public
hearing on the proposed rules.
Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.
SUBCHAPTER B. LOSS CONTROL INFORMATION FOR GENERAL AND CERTAIN
PROFESSIONAL LIABILITY INSURANCE
§ 1903.051. LOSS CONTROL INFORMATION REQUIRED. (a)
Before writing professional liability insurance, including medical
professional liability insurance, for insureds other than
hospitals or general liability insurance in this state, an insurer
must provide to the insurer's policyholders loss control
information reasonably commensurate with the risks, exposures, and
experience of the insured's business.
(b) To provide the information described by Subsection (a)
or services, the insurer may:
(1) employ qualified personnel;
(2) retain qualified independent contractors;
(3) contract with the policyholder to provide
qualified loss control personnel and services; or
(4) use a combination of methods described by this
subsection.
Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.
§ 1903.052. SANCTIONS. (a) If there is evidence that
reasonable loss control information is not being provided by an
insurer as required by this subchapter or is not being used by the
insurer in a reasonable manner to reduce losses, the commissioner
shall order a hearing to determine whether the insurer is not in
compliance with this subchapter.
(b) If it is determined that the insurer is not in
compliance, the commissioner may impose any sanction authorized by
Chapter 82.
Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.
§ 1903.053. RULES. After opportunity for a hearing, the
commissioner may adopt reasonable rules for the enforcement of this
subchapter.
Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.
SUBCHAPTER C. CIVIL PROCEEDINGS
§ 1903.101. IMMUNITY FROM LIABILITY. (a) An insurer or
an agent or employee of the insurer is not liable, and a cause of
action does not arise against the insurer, agent, or employee, for
an accident based on an allegation that the accident was caused or
could have been prevented by a program, information, inspection, or
other activity or service undertaken by the insurer to prevent
accidents or to control losses, as applicable, in connection with
the operations of the insured.
(b) The immunity from liability provided by this section
does not affect the liability of an insurer as otherwise provided in
an insurance policy.
Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.
§ 1903.102. LOSS CONTROL INFORMATION NOT DISCOVERABLE OR
ADMISSIBLE. Loss control information provided by an insurer to an
insured is not discoverable or admissible as evidence in a civil
proceeding.
Added by Acts 2005, 79th Leg., ch. 727, § 2, eff. April 1, 2007.