| 13 | | - | adding Subsection (d-1) to read as follows: |
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| 14 | | - | (d-1) Subject to Section 2210.575, if the association |
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| 15 | | - | wholly or partly denies a claim under this section, a claimant may |
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| 16 | | - | maintain an action against the association concerning the denial |
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| 17 | | - | regardless of whether the association later accepts the previously |
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| 18 | | - | denied portion of the claim. |
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| 19 | | - | SECTION 2. Section 2210.576(a), Insurance Code, is amended |
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| 11 | + | adding Subsections (d-1) and (e-1) to read as follows: |
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| 12 | + | (d-1) If the association does not wholly or partly accept |
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| 13 | + | coverage for the claim under Subsection (d), the unaccepted |
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| 14 | + | coverage is considered denied. |
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| 15 | + | (e-1) In a notice described by Subsection (d)(1) or (2), the |
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| 16 | + | association shall include an itemized list of the portions of the |
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| 17 | + | claim for which coverage is accepted. Coverage for any portion not |
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| 18 | + | included on the itemized list is considered denied and coverage for |
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| 19 | + | the claim is considered not to have been accepted in full. |
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| 20 | + | SECTION 2. Section 2210.575(a), Insurance Code, is amended |
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| 21 | | - | (a) The only issues a claimant may raise in an action |
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| 22 | | - | brought against the association under Section 2210.575 are: |
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| 23 | | - | (1) whether the association's denial of coverage was |
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| 24 | | - | proper, regardless of whether the association later accepts the |
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| 25 | | - | claim; and |
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| 26 | | - | (2) the amount of the damages described by Subsection |
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| 27 | | - | (b) to which the claimant is entitled, if any. |
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| 28 | | - | SECTION 3. The change in law made by this Act applies only |
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| 22 | + | (a) If the association denies coverage for a claim in part |
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| 23 | + | or in full and the claimant disputes that determination, the |
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| 24 | + | claimant, not later than the expiration of the limitations period |
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| 25 | + | described by Section 2210.577(a), but after the date the claimant |
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| 26 | + | receives the notice described by Section 2210.573(d) |
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| 27 | + | [2210.573(d)(2) or (3)], must provide the association with notice |
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| 28 | + | that the claimant intends to bring an action against the |
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| 29 | + | association concerning the partial or full denial of the claim. |
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| 30 | + | SECTION 3. Section 2210.577(a), Insurance Code, is amended |
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| 31 | + | to read as follows: |
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| 32 | + | (a) Notwithstanding any other law, a claimant who brings an |
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| 33 | + | action against the association under Section 2210.575 must bring |
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| 34 | + | the action not later than the second anniversary of the date on |
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| 35 | + | which the person receives a notice described by Section |
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| 36 | + | 2210.573(d) [2210.573(d)(2) or (3)]. |
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| 37 | + | SECTION 4. The change in law made by this Act applies only |
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