| 1 | 1 | | 81R1652 PMO-D |
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| 2 | 2 | | By: Orr H.B. No. 352 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to coverage of mineral interests in title insurance |
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| 8 | 8 | | policies, commitments, binders, and endorsements. |
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| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 10 | 10 | | SECTION 1. Subchapter A, Chapter 2551, Insurance Code, is |
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| 11 | 11 | | amended by adding Section 2551.004 to read as follows: |
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| 12 | 12 | | Sec. 2551.004. MINERAL INTERESTS. The commissioner shall |
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| 13 | 13 | | adopt and enforce rules that prohibit the exception or exclusion of |
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| 14 | 14 | | mineral interests from coverage under a title insurance policy, |
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| 15 | 15 | | commitment, binder, or endorsement. This prohibition also applies |
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| 16 | 16 | | to a renewal and extension of a commitment or binder. |
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| 17 | 17 | | SECTION 2. Section 2551.004, Insurance Code, as added by |
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| 18 | 18 | | this Act, applies only to a title insurance policy, commitment, |
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| 19 | 19 | | binder, or endorsement delivered, issued for delivery, or renewed |
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| 20 | 20 | | on or after January 1, 2010. A policy, commitment, binder, or |
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| 21 | 21 | | endorsement delivered, issued for delivery, or renewed before |
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| 22 | 22 | | January 1, 2010, is governed by the law as it existed immediately |
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| 23 | 23 | | before the effective date of this Act, and that law is continued in |
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| 24 | 24 | | effect for that purpose. |
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| 25 | 25 | | SECTION 3. This Act takes effect September 1, 2009. |
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