Bill Text: TX HB1739 | 2019-2020 | 86th Legislature | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to recovery under uninsured and underinsured motorist insurance coverage.
Spectrum: Moderate Partisan Bill (Democrat 64-16)
Status: (Engrossed - Dead) 2019-05-09 - Received from the House [HB1739 Detail]
Download: Texas-2019-HB1739-Comm_Sub.html
Bill Title: Relating to recovery under uninsured and underinsured motorist insurance coverage.
Spectrum: Moderate Partisan Bill (Democrat 64-16)
Status: (Engrossed - Dead) 2019-05-09 - Received from the House [HB1739 Detail]
Download: Texas-2019-HB1739-Comm_Sub.html
86R11900 TYPED | ||
By: Geren, Davis of Dallas, Shine, Leach, | H.B. No. 1739 | |
Kuempel, et al. |
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relating to recovery under uninsured and underinsured motorist | ||
insurance coverage. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subchapter C, Chapter 1952, Insurance Code, is | ||
amended by adding Sections 1952.1061, 1952.1062, and 1952.1063 to | ||
read as follows: | ||
Sec. 1952.1061. NOTICE OF CLAIM. A claimant provides | ||
notice of a claim, including notice for the purposes of Subchapter | ||
D, Chapter 541, and Subchapter B, Chapter 542, for uninsured or | ||
underinsured motorist coverage by providing written notification | ||
to the insurer that reasonably informs the insurer of the facts of | ||
the claim. | ||
Sec. 1952.1062. LEGAL DETERMINATION NOT PREREQUISITE TO | ||
RECOVERY. (a) An insurer may not require as a prerequisite to | ||
asserting a claim under uninsured or underinsured motorist coverage | ||
a judgment or other legal determination establishing the other | ||
motorist's liability or uninsured or underinsured status. A | ||
judgment or other legal determination described by this subsection | ||
is not a prerequisite to having a claim for the purposes of Chapters | ||
541 and 542. | ||
(b) An insurer may not require as a prerequisite to payment | ||
of benefits under uninsured or underinsured motorist coverage a | ||
judgment or other legal determination establishing the other | ||
motorist's liability or the extent of the insured's damages before | ||
benefits are paid under the policy. | ||
(c) An insurer must attempt in good faith to effectuate a | ||
prompt, fair, and equitable settlement of a claim once liability | ||
and damages have become reasonably clear. | ||
Sec. 1952.1063. PREJUDGMENT INTEREST; ATTORNEY'S FEES. (a) | ||
Prejudgment interest accrues on an uninsured or underinsured | ||
motorist claim on the earlier of: | ||
(1) the 180th day after the date the claimant notifies | ||
the insurer of the claim in accordance with Section 1952.1061; or | ||
(2) the date on which suit is filed against the insurer | ||
to recover under the uninsured or underinsured motorist coverage. | ||
(b) For the purposes of recovery of attorney's fees under | ||
Section 38.002, Civil Practice and Remedies Code, a claim for | ||
uninsured or underinsured motorist coverage is presented when the | ||
insurer receives notice of the claim in accordance with Section | ||
1952.1061. | ||
SECTION 2. (a) Except as provided by this section, the | ||
change in law made by this Act applies only to a cause of action that | ||
accrues on or after the effective date of this Act. A cause of | ||
action that accrues before the effective date of this Act is | ||
governed by the law in effect immediately before that date, and that | ||
law is continued in effect for that purpose. | ||
(b) The change in law made by this Act does not affect the | ||
enforceability of any provision in an insurance policy delivered, | ||
issued for delivery, or renewed before January 1, 2020, that | ||
conflicts with the change in law made by this Act. | ||
SECTION 3. This Act takes effect September 1, 2019. |