| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the refund of unearned premium for a personal |
|
|
automobile or residential property insurance policy. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 558.002, Insurance Code, is amended by |
|
|
adding Subsections (d) and (e) to read as follows: |
|
|
(d) An insurer shall refund the appropriate portion of any |
|
|
unearned premium to the policyholder not later than the 15th |
|
|
business day after the effective date of cancellation or |
|
|
termination of a policy of personal automobile or residential |
|
|
property insurance, as those terms are defined by Section 2301.051. |
|
|
(e) For purposes of this section, "business day" means a day |
|
|
other than a Saturday, Sunday, or holiday recognized by this state. |
|
|
SECTION 2. Section 558.002, Insurance Code, as amended by |
|
|
this Act, applies only to an insurance policy delivered, issued for |
|
|
delivery, or renewed on or after September 1, 2013. A policy that is |
|
|
delivered, issued for delivery, or renewed before September 1, |
|
|
2013, 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 3. This Act takes effect immediately if it receives |
|
|
a vote of two-thirds of all the members elected to each house, as |
|
|
provided by Section 39, Article III, Texas Constitution. If this |
|
|
Act does not receive the vote necessary for immediate effect, this |
|
|
Act takes effect September 1, 2013. |