By: Thompson of Brazoria H.B. No. 3851
A BILL TO BE ENTITLED
AN ACT
relating to the waiving of insurance deductibles and other
manipulation of charges in the insurance claims process, creating
an offense.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The heading to Section 27.02, Business and
Commerce Code, is amended to read as follows:
Sec. 27.02. WAIVING OF DEDUCTIBLES AND OTHER MANIPULATION
OF CHARGES IN INSURANCE CLAIMS CERTAIN INSURANCE CLAIMS FOR
EXCESSIVE CHARGES
SECTION 2. Sections 27.02(a) and (b), Business and Commerce
Code, are amended to read as follows:
(a) A person who provides sells goods or services and is
wholly or partially compensated with payments arising from a claim
under a property or casualty insurance policy commits an offense
if:
(1) the person advertises or promises to provide the
good or service and to pay, waive, absorb, rebate, subsidize,
credit, or otherwise cover for any reason [:
[(A)] all or part of any applicable insurance
deductible or other uninsured amount owed by an insured under the
terms of the applicable policy; [or
[(B) a rebate in an amount equal to all or part of
any applicable insurance deductible;]
(2) the good or service is paid for by the consumer
from proceeds of a property or casualty insurance policy; and
(23) the person knowingly provides or causes to be
provided to an insurer any estimate or other statement as to the
cost of repair for the good or service provided that has been
increased, inflated, or otherwise manipulated [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) knowingly submits a claim under the policy based
on conduct charges that 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.
(c) An offense under this section is a Class A
misdemeanor.
SECTION 2. This Act takes effect September 1, 2015.