| 1 | 1 | | By: Manuel H.B. No. 5276 |
|---|
| 2 | 2 | | |
|---|
| 3 | 3 | | |
|---|
| 4 | 4 | | A BILL TO BE ENTITLED |
|---|
| 5 | 5 | | AN ACT |
|---|
| 6 | 6 | | relating to residential property insurance coverage issued by the |
|---|
| 7 | 7 | | Texas Windstorm Insurance Association for low-income housing. |
|---|
| 8 | 8 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|---|
| 9 | 9 | | SECTION 1. Subchapter E, Chapter 2210, Insurance Code, is |
|---|
| 10 | 10 | | amended by adding Section 2210.211 to read as follows: |
|---|
| 11 | 11 | | Sec. 2210.211. RESIDENTIAL PROPERTY INSURANCE: COVERAGE |
|---|
| 12 | 12 | | FOR LOW-INCOME HOUSING. (a) In this section, "low income" means a |
|---|
| 13 | 13 | | household with a combined income that is not less than 31 percent |
|---|
| 14 | 14 | | and not more than 80 percent of the area median income. |
|---|
| 15 | 15 | | (b) To be eligible for coverage under this section, a person |
|---|
| 16 | 16 | | must: |
|---|
| 17 | 17 | | (1) have a low income and reside in the catastrophe |
|---|
| 18 | 18 | | area; or |
|---|
| 19 | 19 | | (2) provide housing with the insurable property to |
|---|
| 20 | 20 | | persons with a low income in the catastrophe area. |
|---|
| 21 | 21 | | (c) An eligible person who has an insurable interest in |
|---|
| 22 | 22 | | insurable property may apply to the association for residential |
|---|
| 23 | 23 | | property insurance coverage, including windstorm and hail |
|---|
| 24 | 24 | | coverage, and an inspection to the property, subject to any rules |
|---|
| 25 | 25 | | established by the board of directors and approved by the |
|---|
| 26 | 26 | | commissioner. |
|---|
| 27 | 27 | | (d) On receipt of a completed application under this section |
|---|
| 28 | 28 | | that complies with all applicable rules and on payment of the |
|---|
| 29 | 29 | | premium in full or in part as authorized under Section 2210.2032, |
|---|
| 30 | 30 | | the association shall direct the issuance of a residential property |
|---|
| 31 | 31 | | insurance policy. |
|---|
| 32 | 32 | | (e) The commissioner shall adopt rules necessary to |
|---|
| 33 | 33 | | implement this section, including rules that: |
|---|
| 34 | 34 | | (1) require premiums and other cost-sharing |
|---|
| 35 | 35 | | requirements for a policy issued under this section to be |
|---|
| 36 | 36 | | affordable to persons with a low income; |
|---|
| 37 | 37 | | (2) prescribe inspection requirements necessary for |
|---|
| 38 | 38 | | issuing a policy under this section; and |
|---|
| 39 | 39 | | (3) prescribe the terms of a policy issued under this |
|---|
| 40 | 40 | | section. |
|---|
| 41 | 41 | | SECTION 2. This Act takes effect September 1, 2023. |
|---|