Texas 2023 - 88th Regular

Texas House Bill HB3391 Compare Versions

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1	1	88R12069 JES-F
2	2	By: Johnson of Dallas H.B. No. 3391
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to disclosures by liability insurers and policyholders to
8	8	third-party claimants; providing an administrative penalty.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Chapter 542, Insurance Code, is amended by
11	11	adding Subchapter C-2 to read as follows:
12	12	SUBCHAPTER C-2. DISCLOSURE OF POLICY INFORMATION TO THIRD-PARTY
13	13	CLAIMANTS
14	14	Sec. 542.141. DISCLOSURE BY INSURER. (a) This section
15	15	applies to an insurer that receives:
16	16	(1) a written request for policy information from a
17	17	claimant asserting a claim that is or might be covered under
18	18	liability insurance coverage provided by the insurer to a
19	19	policyholder against whom the claim is asserted; or
20	20	(2) a claimant's request for policy information
21	21	forwarded under Section 542.142.
22	22	(b) An insurer described by Subsection (a) shall provide to
23	23	the claimant:
24	24	(1) a sworn statement of an officer or claims manager
25	25	of the insurer that contains the following information for each
26	26	policy known by the insurer that provides or may provide relevant
27	27	coverage, including excess or umbrella coverage:
28	28	(A) the name of the insurer;
29	29	(B) the name of each insured;
30	30	(C) the limits of liability coverage; and
31	31	(D) any policy or coverage defense the insurer
32	32	reasonably believes is available to the insurer at the time the
33	33	sworn statement is made; and
34	34	(2) a copy of each policy described by Subdivision (1)
35	35	under which the insurer provides coverage.
36	36	(c) An insurer that fails to comply with this section is
37	37	subject to an administrative penalty under Chapter 84 of not more
38	38	than $500.
39	39	Sec. 542.142. DISCLOSURE BY POLICYHOLDER. (a) This
40	40	section applies to a policyholder that receives a written request
41	41	for policy information from a claimant asserting a claim against
42	42	the policyholder that the policyholder believes is or may be
43	43	covered under liability insurance coverage provided to the
44	44	policyholder.
45	45	(b) A policyholder described by Subsection (a) shall
46	46	promptly:
47	47	(1) disclose to the claimant the name of and type of
48	48	coverage provided by each insurer that provides or may provide
49	49	liability coverage for the claim; and
50	50	(2) forward the claimant's request to each insurer
51	51	included in the disclosure under Subdivision (1).
52	52	Sec. 542.143. INSURER'S DEADLINE FOR PROVIDING REQUESTED
53	53	INFORMATION. An insurer shall provide the information requested
54	54	under Section 542.141 or 542.142 to the claimant not later than the
55	55	30th day after the date the insurer receives the request from the
56	56	claimant or policyholder.
57	57	Sec. 542.144. AMENDMENT OF STATEMENT. (a) An insurer that
58	58	is aware of a material change that affects a fact stated in the
59	59	insurer's sworn statement under Section 542.141 or a policyholder
60	60	that is aware of a material change that affects a fact stated in the
61	61	policyholder's disclosure under Section 542.142 shall provide to
62	62	the claimant a written amended statement or disclosure, as
63	63	applicable, stating the material change.
64	64	(b) An amended statement provided by an insurer under
65	65	Subsection (a) must be sworn and include a copy of each insurance
66	66	policy relevant to the change.
67	67	(c) The insurer or the policyholder must provide the amended
68	68	statement or disclosure described by Subsection (a) not later than
69	69	the second business day after the date the insurer or policyholder
70	70	is aware of the material change.
71	71	SECTION 2. This Act takes effect September 1, 2023.