TX
Texas House Bill HB1739

Texas 2019 - 86th Regular

Texas House Bill HB1739 Compare Versions

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1+86R11900 TYPED
12 By: Geren, Davis of Dallas, Shine, Leach, H.B. No. 1739
23 Kuempel, et al.
34
45
56 A BILL TO BE ENTITLED
67 AN ACT
78 relating to recovery under uninsured and underinsured motorist
89 insurance coverage.
910 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1011 SECTION 1. Subchapter C, Chapter 1952, Insurance Code, is
1112 amended by adding Sections 1952.1061, 1952.1062, and 1952.1063 to
1213 read as follows:
13- Sec. 1952.1061. NOTICE OF CLAIM FOR UNFAIR SETTLEMENT
14- PRACTICE. For the purpose of Section 541.060, an insured may
15- provide notice of a claim for uninsured or underinsured motorist
16- coverage by providing a written notification to the insurer that
17- reasonably informs the insurer of the facts of the claim.
18- Sec. 1592.1062. LEGAL DETERMINATION NOT PREREQUISITE TO
19- RECOVERY FOR UNFAIR SETTLEMENT PRACTICE. A judgment or other legal
20- determination establishing the other motorist's liability or the
21- extent of the insured's damages is not a prerequisite to recovery in
22- an action under Section 541.151 for a violation of Section 541.060.
23- Sec. 1592.1063. LIMITATION ON EXTRA-CONTRACTUAL CAUSES OF
24- ACTION. In regard to a claim for uninsured or underinsured motorist
25- coverage, the only extra-contractual cause of action available to
26- an insured is provided by Section 541.151 to recover damages under
27- Section 541.152 for a violation of Section 541.060.
14+ Sec. 1952.1061. NOTICE OF CLAIM. A claimant provides
15+ notice of a claim, including notice for the purposes of Subchapter
16+ D, Chapter 541, and Subchapter B, Chapter 542, for uninsured or
17+ underinsured motorist coverage by providing written notification
18+ to the insurer that reasonably informs the insurer of the facts of
19+ the claim.
20+ Sec. 1952.1062. LEGAL DETERMINATION NOT PREREQUISITE TO
21+ RECOVERY. (a) An insurer may not require as a prerequisite to
22+ asserting a claim under uninsured or underinsured motorist coverage
23+ a judgment or other legal determination establishing the other
24+ motorist's liability or uninsured or underinsured status. A
25+ judgment or other legal determination described by this subsection
26+ is not a prerequisite to having a claim for the purposes of Chapters
27+ 541 and 542.
28+ (b) An insurer may not require as a prerequisite to payment
29+ of benefits under uninsured or underinsured motorist coverage a
30+ judgment or other legal determination establishing the other
31+ motorist's liability or the extent of the insured's damages before
32+ benefits are paid under the policy.
33+ (c) An insurer must attempt in good faith to effectuate a
34+ prompt, fair, and equitable settlement of a claim once liability
35+ and damages have become reasonably clear.
36+ Sec. 1952.1063. PREJUDGMENT INTEREST; ATTORNEY'S FEES. (a)
37+ Prejudgment interest accrues on an uninsured or underinsured
38+ motorist claim on the earlier of:
39+ (1) the 180th day after the date the claimant notifies
40+ the insurer of the claim in accordance with Section 1952.1061; or
41+ (2) the date on which suit is filed against the insurer
42+ to recover under the uninsured or underinsured motorist coverage.
43+ (b) For the purposes of recovery of attorney's fees under
44+ Section 38.002, Civil Practice and Remedies Code, a claim for
45+ uninsured or underinsured motorist coverage is presented when the
46+ insurer receives notice of the claim in accordance with Section
47+ 1952.1061.
2848 SECTION 2. (a) Except as provided by this section, the
2949 change in law made by this Act applies only to a cause of action that
3050 accrues on or after the effective date of this Act. A cause of
3151 action that accrues before the effective date of this Act is
3252 governed by the law in effect immediately before that date, and that
3353 law is continued in effect for that purpose.
3454 (b) The change in law made by this Act does not affect the
3555 enforceability of any provision in an insurance policy delivered,
3656 issued for delivery, or renewed before January 1, 2020, that
3757 conflicts with the change in law made by this Act.
3858 SECTION 3. This Act takes effect September 1, 2019.