By: Zaffirini  S.B. No. 2077          (In the Senate - Filed March 7, 2025; March 24, 2025, read   first time and referred to Committee on Business & Commerce;   April 7, 2025, reported adversely, with favorable Committee   Substitute by the following vote:  Yeas 11, Nays 0; April 7, 2025,   sent to printer.)Click here to see the committee vote     COMMITTEE SUBSTITUTE FOR S.B. No. 2077 By:  King     A BILL TO BE ENTITLED   AN ACT     relating to the qualifications of members of the board of directors   of the Texas Mutual Insurance Company.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 2054.052(b), Insurance Code, is amended   to read as follows:          (b)  An individual may not serve as a board member if the   individual or[,] another individual related to the individual   within the first [second] degree by consanguinity or affinity[, or   another individual residing in the same household with the   individual]:                (1)  is a [registered or] licensed insurance agent   [under this code or is required to be registered or licensed under   this code];                (2)  serves as an employee, officer, director, or [is   employed by or acts as a] consultant or in any other capacity for an   insurer writing workers' compensation insurance in this state or an   affiliate of an insurer writing workers' compensation insurance in   this state [to a person registered or licensed under this code or   required to be registered or licensed under this code];                (3)  owns, controls, has a financial interest in, or   participates in the management of an insurer writing workers'   compensation insurance in this state or an affiliate of an insurer   writing workers' compensation insurance in this state   [organization registered or licensed under this code or required to   be registered or licensed under this code];                (4)  receives a substantial tangible benefit from the   company or the department; or                (5)  is an officer, employee, or consultant of an   association in the field of insurance.          SECTION 2.  Section 2054.052(b), Insurance Code, as amended   by this Act, does not affect the entitlement of a member serving on   the board of directors of the Texas Mutual Insurance Company   immediately before the effective date of this Act to continue to   serve for the remainder of the member's term.          SECTION 3.  This Act takes effect immediately if it receives   a vote of two-thirds of all the members elected to each house, as   provided by Section 39, Article III, Texas Constitution.  If this   Act does not receive the vote necessary for immediate effect, this   Act takes effect September 1, 2025.     * * * * *