AUSTIN (AP) - Homeowners insurance companies would be required to immediately file with the
state their current and projected rates for the next six months under legislation filed Wednesday.
The legislation, file by state Sen. Troy Fraser, R-Horseshoe Bay, gives Texas Insurance
Commissioner Jose Montemayor the authority to ask for information about companies' credit-scoring
formulas and other data used to determine premiums.
"This is a necessary first step to lay the groundwork and to establish a baseline of information as we
address the whole homeowners insurance problem," said Fraser, chairman of the Senate Business
and Commerce Committee, which will handle the homeowners insurance reform bill.
The bill marks the start of lawmakers' work this legislative session to get control over the
homeowners insurance market, where some homeowners have seen premiums increase as much
as 200 percent.
Insurance companies say the problem stems from the increased cost of water claims and other
factors.
Gov. Rick Perry last week declared homeowners insurance an emergency issue, meaning
lawmakers can begin work on it within the first 60 days of the session.
Fraser said he would hold a committee hearing Thursday to take up the bill. He said each member
of his committee supports the bill.
