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