Texas Register, Volume 38, Number 46, Pages 8023-8312, November 15, 2013 Page: 8,100
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provides that the tax is in addition to all other taxes imposed on
insurance carriers for workers' compensation purposes.
Labor Code 407.103 imposes a maintenance tax on each work-
ers' compensation certified self-insurer for the administration of
the DWC and OIEC and to support the prosecution of workers'
compensation insurance fraud in Texas. Labor Code 407.103
also provides that not more than two percent of the total tax base
of all certified self-insurers, as computed under subsection (b)
of the section, may be assessed for the maintenance tax es-
tablished under Labor Code 407.103. Labor Code 407.103
also provides that to determine the tax base of a certified self-
insurer for purposes of Labor Code Chapter 407, the depart-
ment shall multiply the amount of the certified self-insurer's li-
abilities for workers' compensation claims incurred in the pre-
vious year, including claims incurred but not reported, plus the
amount of expense incurred by the certified self-insurer in the
previous year for administration of self-insurance, including le-
gal costs, by 1.02. Labor Code 407.103 also provides that the
tax liability of a certified self-insurer under the section is the tax
base computed under subsection (b) of the section multiplied by
the rate assessed workers' compensation insurance companies
under Labor Code 403.002 and 403.003. Finally, Labor Code
407.103 provides that in setting the rate of maintenance tax as-
sessment for insurance companies, the commissioner of insur-
ance may not consider revenue or expenditures related to the
operation of the self-insurer program under Labor Code Chapter
407.
Section 407.104(b) provides that the department shall compute
the fee and taxes of a certified self-insurer and notify the cer-
tified self-insurer of the amounts due. Section 407.104(b) also
provides that a certified self-insurer shall remit the taxes and fees
to DWC.
The Labor Code 407A.301 imposes a self-insurance group
maintenance tax on each workers' compensation self-insur-
ance group based on gross premium for the group's retention.
Labor Code 407A.301 provides that the self-insurance group
maintenance tax is to pay for the administration of DWC, the
prosecution of workers' compensation insurance fraud in Texas,
the research functions of the department under Labor Code
Chapter 405, and the administration of OIEC under Labor Code
Chapter 404. Labor Code 407A.301 also provides that the tax
liability of a group under subsection (a)(1) and (2) of the section
is based on gross premium for the group's retention multiplied
by the rate assessed insurance carriers under Labor Code
403.002 and 403.003. Labor Code 407A.301 also provides
that the tax liability of a group under subsection (a)(3) of the
section is based on gross premium for the group's retention
multiplied by the rate assessed insurance carriers under Labor
Code 405.003. Additionally, Labor Code 407A.301 provides
that the tax under the section does not apply to premium col-
lected by the group for excess insurance. Finally, Labor Code
407A.301(e) provides that the tax under the section shall be
collected by the comptroller as provided by Insurance Code
Chapter 255 and Insurance Code 201.051.
Labor Code 407A.302 requires each workers' compensation
self-insurance group to pay the maintenance tax imposed un-
der Insurance Code Chapter 255, for the administrative costs in-
curred by the department in implementing Labor Code Chapter
407A. Labor Code 407A.302 provides that the tax liability of a
workers' compensation self-insurance group under the section is
based on gross premium for the group's retention and does notinclude premium collected by the group for excess insurance.
Labor Code 407A.302 also provides that the maintenance tax
assessed under the section is subject to Insurance Code Chap-
ter 255, and that it shall be collected by the comptroller in the
manner provided by Insurance Code Chapter 255.
Insurance Code 36.001 provides that the commissioner may
adopt any rules necessary and appropriate to implement the
powers and duties of the Texas Department of Insurance under
the Insurance Code and other laws of this state.
CROSS REFERENCE TO STATUTE. The following statutes
are affected by this proposal: Insurance Code 201.001(a)(1),
(b), and (c); 201.052(a), (d), and (e); 251.001, 252.001 -
252.003; 253.001 - 253.003; 254.001 - 254.003; 255.001 -
255.003; 257.001- 257.003; 258.002- 258.004; 259.002 -
259.004; 260.001 - 260.003; and 271.002 - 271.006; and Labor
Code 403.002, 403.003, 403.005, 405.003(a) - (c), 407.103,
407.104(b), 407A.301, and 407A.302.
1.414. Assessment of Maintenance Taxes and Fees, 2014 [20-3].
(a) The department assesses the following rates for mainte-
nance taxes and fees on gross premiums of insurers for calendar year
2013 [2012] for the lines of insurance specified in paragraphs (1) - (9)
of this subsection:
(1) for motor vehicle insurance, under [pursuant to the] In-
surance Code 254.002, the rate is .061 [72] of 1.0 percent;
(2) for casualty insurance, and fidelity, guaranty, and surety
bonds, under [pusuantto the] Insurance Code 253.002, the rate is .112
[454] of 1.0 percent;
(3) for fire insurance and allied lines, including inland ma-
rine, under [putsua to the] Insurance Code 252.002, the rate is .365
[305] of 1.0 percent;
(4) for workers' compensation insurance, under [pursuant
to the] Insurance Code 255.002, the rate is .065 [408] of 1.0 percent;
(5) for workers' compensation insurance, under [pursuant
to the] Labor Code 403.003, the rate is 1.543 [-P669] percent;
(6) for workers' compensation insurance, under [pursuant
to the] Labor Code 405.003, the rate is .014 [.7] of 1.0 percent;
(7) for workers' compensation insurance, under [pursuant
to the] Labor Code 407A.301, the rate is 1.543 [-1669] percent;
(8) for workers' compensation insurance, under [pursuat
to the] Labor Code 407A.302, the rate is .065 [408] of 1.0 percent;
and
(9) for title insurance, under [pursuant to the] Insurance
Code 271.004, the rate is .072 [.45] of 1.0 percent.
(b) The rate for the maintenance tax to be assessed on gross
premiums for calendar year 2013 [2012] for life, health, and accident
insurance and the gross considerations for annuity and endowment con-
tracts, under [pursuant t the] Insurance Code 257.002, is .040 of 1.0
percent.
(c) The department assesses rates for maintenance taxes for
calendar year 2013 [202] for the following entities as follows:
(1) under [pursuant to the] Insurance Code 258.003, the
rate is $.26 [$4-] per enrollee for single service health maintenance
organizations, $.78 [$!23] per enrollee for multi-service health main-
tenance organizations, and $.26 [$41] per enrollee for limited service
health maintenance organizations;38 TexReg 8100 November 15, 2013 Texas Register
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Texas. Secretary of State. Texas Register, Volume 38, Number 46, Pages 8023-8312, November 15, 2013, periodical, November 15, 2013; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth379973/m1/78/: accessed July 18, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu; crediting UNT Libraries Government Documents Department.