H.B. No. 1706
AN ACT
relating to the right of an insured to enter into a contract with a
public insurance adjuster.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter A, Chapter 4102, Insurance Code, is
amended by adding Section 4102.007 to read as follows:
Sec. 4102.007. RIGHT TO CONTRACT WITH LICENSE HOLDER. (a)
Notwithstanding Sections 4001.002 and 4102.002, this section
applies to a commercial or residential property insurance policy
issued by an insurer, including:
(1) a capital stock insurance company;
(2) a mutual insurance company;
(3) a county mutual insurance company;
(4) a Lloyd's plan;
(5) a reciprocal or interinsurance exchange;
(6) a farm mutual insurance company; and
(7) an eligible surplus lines insurer if this state is
the insured's home state as defined by Section 981.002.
(b) An insurance policy, including any endorsement, to
which this section applies may not include a provision that
prohibits an insured from contracting with a public insurance
adjuster for services provided under this chapter.
(c) An insured is not required to enter into a contract
described by Subsection (b).
SECTION 2. Section 4102.007, Insurance Code, as added by
this Act, applies only to an insurance policy delivered, issued for
delivery, or renewed on or after January 1, 2024.
SECTION 3. This Act takes effect September 1, 2023.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 1706 was passed by the House on April
14, 2023, by the following vote: Yeas 142, Nays 1, 2 present, not
voting; and that the House concurred in Senate amendments to H.B.
No. 1706 on May 15, 2023, by the following vote: Yeas 143, Nays 0,
1 present, not voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 1706 was passed by the Senate, with
amendments, on May 10, 2023, by the following vote: Yeas 30, Nays
0.
______________________________
Secretary of the Senate
APPROVED: __________________
Date
__________________
Governor