By: West, et al. S.B. No. 213

(In the Senate - Filed November 12, 2024; February 3, 2025, read first time and referred to Committee on Business & Commerce; March 19, 2025, reported adversely, with favorable Committee Substitute by the following vote: Yeas 10, Nays 0; March 19, 2025, sent to printer.) Click here to see the committee vote

COMMITTEE SUBSTITUTE FOR S.B. No. 213 By: Nichols

A BILL TO BE ENTITLED

AN ACT

relating to prohibiting insurers from requiring the tying of residential property and personal automobile insurance policies.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Chapter 551, Insurance Code, is amended by adding Subchapter F to read as follows:

SUBCHAPTER F. CONTINGENCY OF RESIDENTIAL PROPERTY AND PERSONAL

AUTOMOBILE POLICIES

Sec. 551.251. DEFINITION. In this subchapter, "residential property insurance" and "personal automobile insurance" have the meanings assigned by Section 38.002, Insurance Code.

Sec. 551.252. EXEMPTIONS. This subchapter does not apply to:

(1) a windstorm and hail insurance policy;

(2) a flood insurance policy; or

(3) a personal umbrella insurance policy.

Sec. 551.253. REQUIRED TYING OF RESIDENTIAL PROPERTY AND PERSONAL AUTOMOBILE POLICIES. It is an unfair method of competition or an unfair or deceptive act or practice in the business of insurance under Chapter 541 to:

(1) make the issuance, delivery, or renewal of a residential property insurance policy contingent on the purchase of a personal automobile insurance policy from the same insurer or an affiliated insurer or agent; or

(2) make the issuance, delivery, or renewal of a personal automobile insurance policy contingent on the purchase of a residential property insurance policy from the same insurer or an affiliated insurer or agent.

SECTION 2. This Act takes effect September 1, 2025.

* * * * *