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A BILL TO BE ENTITLED
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AN ACT
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relating to arbitration provisions in surplus lines insurance |
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contracts. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 981.101, Insurance Code, is amended by |
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adding Subsection (d) to read as follows: |
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(d) An arbitration under a surplus lines insurance contract |
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that is related to a risk located entirely in this state must be |
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conducted in this state, and the arbitration agreement in the |
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insurance contract must be interpreted in accordance with the laws |
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of this state. This subsection applies to an arbitration under a |
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surplus lines insurance contract entered into in or outside of this |
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state. |
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SECTION 2. Section 981.101(d), Insurance Code, as added by |
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this Act, applies only to a surplus lines insurance contract |
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delivered, issued for delivery, or renewed on or after January 1, |
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2024. |
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SECTION 3. This Act takes effect September 1, 2023. |