TX HB4457

Creates a "regulatory sandbox" allowing the Insurance Commissioner to grant temporary waivers from specific insurance laws and regulations for companies seeking to test innovative insurance technology products or services that could improve pricing, coverage, or consumer experience

Waivers are limited to an initial 12-month period with one possible 12-month extension, and companies cannot serve more than 10,000 consumers under a waiver

Prohibits waivers for insurer solvency requirements, NAIC accreditation standards, assigned risk plans, guaranty funds, taxes/fees, and insurer authorization requirements

Requires waiver recipients to provide written consumer disclosures about the temporary nature of the product/service, maintain financial security (surety bond, insurance policy, or other approved form), and submit quarterly reports to the department

Establishes administrative penalties up to $1,000 for violations and requires the Commissioner to submit annual reports to state leadership on waiver applications, approvals, denials, and recommendations for legislative changes