By: Lozano (Senate Sponsor - Middleton) H.B. No. 3310

(In the Senate - Received from the House May 1, 2023; May 1, 2023, read first time and referred to Committee on Business & Commerce; May 17, 2023, reported favorably by the following vote: Yeas 9, Nays 0; May 17, 2023, sent to printer.) Click here to see the committee vote

A BILL TO BE ENTITLED

AN ACT

relating to deadlines for the claims appraisal process of the Texas Windstorm Insurance Association.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 2210.574, Insurance Code, is amended by amending Subsection (d) and adding Subsection (d-1) to read as follows:

(d) If a claimant demands appraisal under this section:

(1) the appraisal must be conducted as provided by the association policy; [and]

(2) the claimant and the association are responsible in equal shares for paying any costs incurred or charged in connection with the appraisal, including a fee charged under Subsection (e); and

(3) the appraisal must be completed within the period established under Subsection (d-1).

(d-1) In consultation with the association, the commissioner shall adopt rules establishing the period in which an appraisal demanded under this section must be completed. In adopting the rules, the commissioner shall:

(1) allow flexibility for an adequate investigation of the claim that is the subject of the appraisal; and

(2) consider the time necessary to preserve the independence of the appraisers.

SECTION 2. Not later than January 1, 2024, the commissioner of insurance shall adopt rules required by Section 2210.574, Insurance Code, as amended by this Act.

SECTION 3. Section 2210.574, Insurance Code, as amended by this Act, applies only to an appraisal demanded on or after January 1, 2024. An appraisal demanded before January 1, 2024, is governed by the law in effect on the date the appraisal was demanded, and that law is continued in effect for that purpose.

SECTION 4. This Act takes effect September 1, 2023.

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