By Hunter of Nueces H.B. No. 2225
74R3180 PB-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to certain liquidated demands when property is destroyed
1-3 by fire.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Article 6.13, Insurance Code, is amended to read
1-6 as follows:
1-7 Art. 6.13. POLICY A LIQUIDATED DEMAND. (a) A property
1-8 <fire> insurance policy, in case of a total loss by fire of a
1-9 structure <property> insured under the policy, shall be held and
1-10 considered to be a liquidated demand against the company for the
1-11 full amount of that <such> policy. The provisions of this article
1-12 shall not apply to personal property.
1-13 (b) The <On and after January 1, 1951, the> provisions of
1-14 Subsection (a) <the preceding paragraph> of this article shall be
1-15 incorporated verbatim in each property <and every fire> insurance
1-16 policy that includes <hereafter issued as> coverage against damage
1-17 by fire on any real property in this State. The commissioner of
1-18 insurance<; and it shall be the duty of the Board of Insurance
1-19 Commissioners>, by proper order and procedure, shall <to> compel
1-20 compliance with this article <statute>.
1-21 SECTION 2. This Act takes effect September 1, 1995, and
1-22 applies only to an insurance policy that is delivered, issued for
1-23 delivery, or renewed on or after January 1, 1996. A policy that is
1-24 delivered, issued for delivery, or renewed before January 1, 1996,
2-1 is governed by the law as it existed immediately before the
2-2 effective date of this Act, and that law is continued in effect for
2-3 that purpose.
2-4 SECTION 3. The importance of this legislation and the
2-5 crowded condition of the calendars in both houses create an
2-6 emergency and an imperative public necessity that the
2-7 constitutional rule requiring bills to be read on three several
2-8 days in each house be suspended, and this rule is hereby suspended.