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A BILL TO BE ENTITLED
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AN ACT
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relating to a dispute relating to a denial of coverage by the Texas |
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Windstorm Insurance Association. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 2210.573, Insurance Code, is amended by |
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adding Subsection (d-1) to read as follows: |
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(d-1) Subject to Section 2210.575, if the association |
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wholly or partly denies a claim under this section, a claimant may |
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maintain an action against the association concerning the denial |
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regardless of whether the association later accepts the previously |
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denied portion of the claim. |
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SECTION 2. Section 2210.576(a), Insurance Code, is amended |
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to read as follows: |
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(a) The only issues a claimant may raise in an action |
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brought against the association under Section 2210.575 are: |
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(1) whether the association's denial of coverage was |
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proper, regardless of whether the association later accepts the |
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claim; and |
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(2) the amount of the damages described by Subsection |
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(b) to which the claimant is entitled, if any. |
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SECTION 3. The change in law made by this Act applies only |
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to a claim filed on or after the effective date of this Act. A claim |
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filed before the effective date of this Act is governed by the law |
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applicable to the claim immediately before the effective date of |
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this Act, and that law is continued in effect for that purpose. |
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SECTION 4. This Act takes effect September 1, 2019. |