CHAPTER 1903. LOSS CONTROL INFORMATION AND SERVICES
INSURANCE CODE
TITLE 10. PROPERTY AND CASUALTY INSURANCE
SUBTITLE B. LIABILITY INSURANCE FOR PHYSICIANS AND
HEALTH CARE PROVIDERS
CHAPTER 1903. LOSS CONTROL INFORMATION AND SERVICES
SUBCHAPTER A. LOSS CONTROL SERVICES FOR PROFESSIONAL LIABILITY
INSURANCE FOR HOSPITALS
Sec. 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, Sec. 2, eff. April 1, 2007.
Sec. 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, Sec. 2, eff. April 1, 2007.
Sec. 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, Sec. 2, eff. April 1, 2007.
Sec. 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, Sec. 2, eff. April 1, 2007.
Sec. 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, Sec. 2, eff. April 1, 2007.
SUBCHAPTER B. LOSS CONTROL INFORMATION FOR GENERAL AND CERTAIN
PROFESSIONAL LIABILITY INSURANCE
Sec. 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, Sec. 2, eff. April 1, 2007.
Sec. 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, Sec. 2, eff. April 1, 2007.
Sec. 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, Sec. 2, eff. April 1, 2007.
SUBCHAPTER C. CIVIL PROCEEDINGS
Sec. 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, Sec. 2, eff. April 1, 2007.
Sec. 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, Sec. 2, eff. April 1, 2007.