HBA-BSM, CCH H.B. 3459 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3459 By: Brimer Business & Industry 3/26/2001 Introduced BACKGROUND AND PURPOSE Current law provides that workers' compensation benefits are the exclusive remedy of an employee covered by workers' compensation insurance against the employer or an agent or employee of the employer for work-related injuries sustained by the employee. Employees who sustain injuries at work (injured employees) must seek compensation from the insurance carrier, and may not seek common-law remedies from their employer and the employer's agents and employees. However, current law does not prohibit injured employees from seeking compensation through the courts from business entities such as parent or subsidiary corporations of the employer who provide workers' compensation coverage. House Bill 3459 prohibits an employee from seeking common-law remedies from a parent corporation, subsidiary corporation, or subsidiary of a parent corporation of the employer, and their agents and employees. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 3459 amends the Labor Code to provide that the recovery of workers' compensation benefits is the exclusive remedy of an employee covered by workers' compensation insurance coverage or a legal beneficiary for the death of, or a work-related injury sustained by the employee against a parent corporation of the employer, a subsidiary corporation of the employer, or any other subsidiary of the parent corporation of the employer that is a named insured on the employer's policy of workers' compensation insurance or is covered by a certificate of authority to self-insure issued by the Texas Workers' Compensation Commission, or an agent or employee of the parent corporation or subsidiary. EFFECTIVE DATE September 1, 2001.