On Friday April 27th, TDI posted an informal draft rule on workers’ compensation substitutes. The proposed rule revises Title 28, Texas Administrative Code Section 5.6302, which regulates the sale of insurance products that could be misrepresented or misunderstood as substitutes for workers' compensation insurance. Issuers offering those products are required to include disclaimer notices.
TDI proposes to narrow the scope of the rule by clarifying which insurance products require notices. The revised rule also will update the required protective disclosures for advertisements, applications, and policies or evidences of coverage for those products.
TDI will host a stakeholder meeting to discuss the draft from 1:30 p.m. to 3:30 p.m., Central time, on Friday May 11, 2018 at TDI’s William P Hobby Building at 333 Guadalupe in Austin.
The comment period will close at 5 p.m., Central time, Monday May 14, 2018. ICT is working with our board, committees, and legal counsel to formulate any comments we may submit.