81R521 PB-D
 
  By: Naishtat H.B. No. 340
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to required use by insurers of certain standard insurance
  policy forms for residential property insurance.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 2301.008, Insurance Code, is amended to
  read as follows:
         Sec. 2301.008.  ADOPTION AND USE OF STANDARD FORMS. (a)
  Except as provided by Subsection (b), the [The] commissioner may
  adopt standard insurance policy forms, printed endorsement forms,
  and related forms other than insurance policy forms and printed
  endorsement forms.
         (b)  The commissioner shall adopt standard insurance policy
  forms, printed endorsement forms, and related forms other than
  insurance policy forms and printed endorsement forms for use by an
  insurer in writing residential property insurance.
         (c)  In [, that an insurer may use instead of the insurer's
  own forms in] writing insurance subject to this subchapter other
  than residential property insurance, an insurer may use the
  standard forms adopted by the commissioner under Subsection (a)
  instead of the insurer's own forms.  In writing residential
  property insurance, an insurer shall use the standard forms in the
  manner prescribed by Section 2301.0525.
         SECTION 2.  Section 2301.052(b), Insurance Code, is amended
  to read as follows:
         (b)  Subject to Section 2301.0525, an [An] insurer may
  continue to use an insurance policy form or endorsement
  promulgated, approved, or adopted under Article 5.06 or 5.35 before
  June 11, 2003, on written notification to the commissioner that the
  insurer will continue to use the form or endorsement.
         SECTION 3.  Subchapter B, Chapter 2301, Insurance Code, is
  amended by adding Section 2301.0525 to read as follows:
         Sec. 2301.0525.  USE OF CERTAIN STANDARD INSURANCE POLICY
  FORMS REQUIRED. (a)  Each insurer that writes residential property
  insurance in this state shall use the standard insurance policy
  forms adopted by the commissioner under Section 2301.008 for
  residential property insurance and, subject to Subsection (b), may
  also use alternative policy forms approved by the commissioner
  under Section 2301.006.
         (b)  An insurer may not deliver or issue for delivery in this
  state a residential property insurance policy unless the insurer
  informs all applicants for that insurance coverage, in the manner
  prescribed by commissioner rule, that an applicant otherwise
  qualified for that insurance coverage under this code may elect to
  obtain residential property insurance coverage under a standard
  insurance policy adopted by the commissioner under Section
  2301.008.
         SECTION 4.  This Act applies only to an insurance policy
  delivered, issued for delivery, or renewed on or after January 1,
  2010. A policy delivered, issued for delivery, or renewed before
  January 1, 2010, is governed by the law as it existed immediately
  before the effective date of this Act, and that law is continued in
  effect for that purpose.
         SECTION 5.   This Act takes effect September 1, 2009.