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The Texas Legislature introduced bills last week that would sever the last controls the state has over Texas Mutual Insurance Co.—its largest workers’-compensation insurer—while authorizing the state to set up an assigned-risk plan.

Under bills introduced in both the state House and Senate, TMIC policyholders would be able to elect a majority of the company’s governing board of directors and determine the chairman of the board, therefore making policyholders what TMIC officials said will be the “ultimate decision-makers” for the company.

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