(a) A licensee or registered manufacturer shall not
perform any activity authorized by its license or registration under §14.2013
of this title (relating to License Categories, Container Manufacturer
Registration, Fees, and Application for Licenses, Manufacturer Registrations
and Renewals) unless insurance coverage required by this section is
in effect. LNG licensees, registered manufacturers, or applicants
for license or manufacturer registration shall comply with the minimum
amounts of insurance specified in Table 1 of this section or with
the self-insurance requirements in §14.2034 of this title (relating
to Self-Insurance Requirements). Registered manufacturers are not
eligible for self-insurance. Before AFS grants or renews a manufacturer
registration, an applicant for a manufacturer registration shall submit
the documents required by paragraph (1) of this subsection. Before
AFS grants or renews a license, an applicant for license shall submit
either:
(1) an insurance AcordTM form
or any other form approved by the Texas Department of Insurance that
has been prepared and signed by the insurance carrier and containing
all required information. The forms must be issued by an insurance
company authorized or accepted by the Texas Department of Insurance;
or
(2) properly completed documents demonstrating the
applicant's compliance with the self‑insurance requirements
in §14.2034 of this title.
Attached Graphic
(b) Each licensee shall file LNG Form 2999 or other
written notice with AFS at least 30 calendar days before the cancellation
of any insurance coverage. The 30-day period commences on the date
the notice is actually received by AFS.
(c) A licensee or applicant for a license that does
not employ or contemplate employing any employee to be engaged in
LNG-related activities in Texas may file LNG Form 2996B in lieu of
filing a workers' compensation insurance form, including employers'
liability insurance, or alternative accident and health insurance
coverage. The licensee or applicant for a license shall file the required
insurance form with AFS before hiring any person as an employee engaged
in LNG-related work.
(d) A licensee, applicant for a license, or an ultimate
consumer that does not operate or contemplate operating a motor vehicle
equipped with an LNG cargo container or does not transport or contemplate
transporting LNG by vehicle in any manner may file LNG Form 2997B
in lieu of filing motor vehicle bodily injury and property damage
insurance form, if this certificate is not otherwise required. The
licensee or applicant for a license shall file the required insurance
form with AFS before operating a motor vehicle equipped with an LNG
cargo container or transporting LNG by vehicle in any manner.
(e) A licensee, registered manufacturer, or applicant
for a license or manufacturer registration that does not engage in
or contemplate engaging in any LNG activities that would be covered
by completed operations or products liability insurance, or both,
may file LNG Form 2998B in lieu of filing a completed operations and/or
products liability insurance form. The licensee, registered manufacturer,
or applicant for a license or manufacturer registration shall file
the required insurance form with AFS before engaging in any activities
that require completed operations and/or products liability insurance.
(f) A licensee, registered manufacturer, or applicant
for a license or manufacturer registration that does not engage in
or contemplate engaging in any activities that would be covered by
general liability insurance may file LNG Form 2998B in lieu of filing
a general liability insurance form. The licensee, registered manufacturer,
or applicant for a license or manufacturer registration shall file
the required insurance form with AFS before engaging in any activities
that require general liability insurance.
(g) A licensee may protect its employees by obtaining
accident and health insurance coverage from an insurance company authorized
to write such policies in this state as an alternative to workers'
compensation coverage. The alternative coverage shall be in the amounts
specified in Table 1 of this section.
(h) Each licensee or registered manufacturer shall
promptly notify AFS of any change in insurance coverage or insurance
carrier by filing a revised AcordTM form;
other form approved by the Texas Department of Insurance that has
been prepared and signed by the insurance carrier containing all required
information; or documents demonstrating the applicant's compliance
with the self-insurance requirements set forth in §14.2034 of
this title. Failure to promptly notify AFS of a change in the status
of insurance coverage or insurance carrier may result in an enforcement
action and an administrative penalty.
(i) A state agency or institution, county, municipality,
school district, or other governmental subdivision may meet the requirements
of this section for worker's compensation, general liability and/or
motor vehicle liability insurance. The requirements may be met by
submitting evidence of self-insurance that complies with the requirements
of §14.2034 of this title. LNG Form 2995 may be filed as evidence
of self-insurance, if self-insurance is permitted by the Texas Labor
Code, Title 5, Subtitle C, and Texas Natural Resources Code, §116.036.
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Source Note: The provisions of this §14.2031 adopted to be effective May 26, 2003, 28 TexReg 4100; amended to be effective November 12, 2007, 32 TexReg 8128; amended to be effective December 24, 2012, 37 TexReg 9921; amended to be effective February 15, 2021, 46 TexReg 1044 |