Texas House Bill HB720

Texas 2021 - 87th Regular

Caption

Relating to supplemental liability insurance for foster homes.

Impact

If enacted, this bill would significantly alter the landscape of insurance requirements for foster homes, enhancing the security for foster parents and the children they serve. By requiring insurers to make available supplemental liability insurance, it aims to minimize potential financial burdens that foster homes could face in the event of legal liabilities not covered by standard insurance policies. The required coverage limits of at least $10,000 per occurrence and per year aim to provide a baseline level of protection for foster caregivers.

Summary

House Bill 720 introduces provisions concerning supplemental liability insurance specifically for foster homes in Texas. The bill mandates that insurers must offer an opportunity for foster homes to purchase additional liability insurance that covers any damages arising from acts or omissions while caring for children placed in foster care. This legislation aims to fill gaps in existing liability coverage, ensuring that foster parents have adequate financial protection in their caregiving duties.

Contention

While the bill has clear intentions of bolstering the support for foster homes, it may also raise discussions regarding the affordability of such supplemental insurance for foster parents. Critics may argue that adding a new insurance requirement could create financial strain on individuals already standing in as caregivers, potentially impacting the recruitment and retention of foster parents. Moreover, there could be differing opinions on whether the stipulated coverage amount is adequate to protect foster homes from the complexities of legal liabilities that might arise.