Current through Reg. 49, No. 12; March 22, 2024
(a) Unless
otherwise indicated, persons licensed under this chapter are required to obtain
commercial general liability insurance in the amount of not less than $1
million per occurrence and to maintain the coverage for the term of the
license.
(1) Governmental entities that are
self-insured are not required to purchase insurance under this chapter.
(2) A non-governmental entity
(business entity or individual) may be self-insured if it submits to the
department for approval an affidavit signed by an authorized official of the
entity or by the individual stating that it has a net worth of at least $1
million. A current financial statement indicating a net worth of at least $1
million must accompany the affidavit. A new affidavit and current financial
statement must be submitted with each renewal application.
(3) An individual required to have insurance
must obtain individual coverage unless covered under the policy of the
individual's employer or employed by a governmental entity or a person approved
by the department to be self-insured.
(b) Insurance policies required under this
section must be currently in force and must be written by:
(1) an insurance company authorized to do
business in Texas; or
(2) an
eligible Texas surplus lines insurer as defined in the Texas Insurance Code,
Chapter 981 (relating to Surplus Lines Insurance); or
(3) a Texas registered risk retention group;
or
(4) a Texas registered
purchasing group.
(c)
The certificate of insurance must be complete, including all applicable
coverages and endorsements, and must name the Texas Department of Licensing and
Regulation as a certificate holder.
(d) An applicant for a license or license
renewal must provide proof of insurance in one of the following forms:
(1) a copy of the required current
certificate of insurance; or
(2)
if claiming to be self-insured, a statement that it is a governmental entity,
or, if a non-governmental entity, the affidavit and current financial statement
described under subsection (a); or
(3) proof that the licensee by whom the
applicant is employed has the required insurance.
(e) The commission or the executive director
may impose an administrative penalty or take other disciplinary action against
any person who fails to have the current insurance required under this section.
(1) If a policy is canceled or materially
changed, the licensee shall notify the department in writing not later than 30
calendar days before the change or cancellation effective date. A licensed
company may file a single notification for the company and its licensed
employees.
(2) If a policy expires
or is canceled or materially changed, the licensee shall cease engaging in
mold-related activities. Before resuming such activities, the licensee must
either:
(A) provide to the department a
certificate of the renewal or replacement policy; or
(B) submit to the department the affidavit
and current financial statement described under subsection (a) and receive
departmental approval to be self-insured.
(3) If an individual licensee ceases to be
covered under an employer's insurance, the individual must obtain replacement
coverage either individually or through a new employer. The individual must
submit the documentation required under subsection (d) to the department before
engaging in mold-related activities.
(f) Applicants for a registration or renewal
of a registration issued under this chapter shall comply with subsection
(d)(3), if applicable.