84R11942 GRM-F
By: Capriglione H.B. No. 2971
A BILL TO BE ENTITLED
AN ACT
relating to prosecution of the offense of payment of deductibles
under a property or casualty insurance policy.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 27.02(a) and (b), Business & Commerce
Code, are amended to read as follows:
(a) A person [who sells goods or services] commits an
offense if as part of the claim process under a property or casualty
insurance policy:
(1) the person advertises or promises to provide a
[the] good or service and offers to pay, waive, rebate, trade,
subsidize, credit, or otherwise cover:
(A) all or part of any applicable insurance
deductible; or
(B) [a rebate in] an amount equal to all or part
of any applicable insurance deductible or other uninsured amount
owed by an insured under the terms of the applicable policy;
(2) the good or service is paid for by the consumer
from proceeds of a property or casualty insurance policy; and
(3) the person knowingly provides or causes to be
provided to an insurer an estimate or other statement of the cost of
repair for the good or service that the person increases or
otherwise manipulates [charges an amount for the good or service
that exceeds the usual and customary charge by the person for the
good or service] by an amount equal to or greater than all or part of
the applicable insurance deductible or other uninsured amount owed
by an insured under the terms of the applicable policy [paid by the
person to an insurer on behalf of an insured or remitted to an
insured by the person as a rebate].
(b) A person who is insured under a property or casualty
insurance policy commits an offense if the person:
(1) submits, either directly or indirectly, a claim
under the policy based on conduct [charges] that is [are] in
violation of Subsection (a) [of this section]; or
(2) knowingly allows a claim in violation of
Subsection (a) [of this section] to be submitted, unless the person
promptly notifies the insurer of the conduct in violation of
Subsection (a) [excessive charges].
SECTION 2. The change in law made by this Act applies only
to an offense committed on or after the effective date of this Act.
An offense committed before the effective date of this Act is
governed by the law in effect on the date the offense was committed,
and the former law is continued in effect for that purpose. For
purposes of this section, an offense was committed before the
effective date of this Act if any element of the offense occurred
before that date.
SECTION 3. This Act takes effect September 1, 2015.