By: Murphy H.B. No. 3075
A BILL TO BE ENTITLED
AN ACT
relating to notice of punitive and exemplary damages coverage in
certain insurance policies or contracts; adding a provision that
may be subject to a criminal penalty.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter A, Chapter 2301, Insurance Code, is
amended by adding Section 2301.011 to read as follows:
Sec. 2301.011. NOTICE OF PUNITIVE AND EXEMPLARY DAMAGES
COVERAGE FOR CERTAIN PERSONAL LINES. An issuer of a policy or
contract for personal automobile insurance, personal umbrella
insurance, or residential property insurance must disclose on the
policy's declarations page the coverage provided by the policy for
an award of punitive or exemplary damages against the insured.
SECTION 2. The change in law made by this Act applies only
to an insurance policy or contract delivered, issued for delivery,
or renewed on or after January 1, 2016. A policy or contract
delivered, issued for delivery, or renewed before that date is
governed by the law as it existed immediately before the effective
date of this Act, and that law is continued in effect for that
purpose.
SECTION 3. This Act takes effect September 1, 2015.