85R13322 BEE-F
	By: Bonnen of Galveston	H.B. No. 3430

	A BILL TO BE ENTITLED
	AN ACT
	relating to dispute resolution for certain claims arising under
	insurance policies issued by the Fair Access to Insurance
	Requirements (FAIR) Plan Association; authorizing fees.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Section 2211.003, Insurance Code, is amended by
	adding Subsection (c) to read as follows:
	(c)  Subsection (a) does not apply to a person who is
	required to resolve a dispute under Subchapter D-1.
	SECTION 2.  Subchapter A, Chapter 2211, Insurance Code, is
	amended by adding Sections 2211.004 and 2211.005 to read as
	follows:
	Sec. 2211.004.  CERTAIN CONDUCT IN DISPUTE RESOLUTION
	PROHIBITED. (a) For purposes of this section, "presiding officer"
	includes a judge, mediator, arbitrator, appraiser, or panel member.
	(b)  If a person insured under this chapter is assigned to
	act as presiding officer to preside over or resolve a dispute
	involving the association and another person insured under this
	chapter, the presiding officer shall, not later than the seventh
	day after the date of assignment, give written notice to the
	association and to each other party to the dispute, or the
	association's or other party's attorney, that the presiding officer
	is insured under this chapter.
	(c)  In a proceeding with respect to which the commissioner
	has authority to designate the presiding officer, the association
	or other party that receives notice under Subsection (b) may file
	with the commissioner a written objection to the assignment of the
	presiding officer to the dispute. The written objection must
	contain the factual basis on which the association or other party
	objects to the assignment.
	(d)  The commissioner shall assign a different presiding
	officer to the dispute if, after reviewing the objection filed
	under Subsection (c), the commissioner determines that the
	presiding officer originally assigned to the dispute has a direct
	financial or personal interest in the outcome of the dispute.
	(e)  The association or other party must file an objection
	under Subsection (c) not later than the earlier of:
	(1)  the seventh day after the date the association or
	other party receives actual notice that the presiding officer is
	insured under this chapter; or
	(2)  the seventh day before the date of the first
	proceeding concerning the dispute.
	(f)  The commissioner may, on a showing of good cause, extend
	the deadline to file an objection under Subsection (e).
	Sec. 2211.005.  APPLICABILITY OF CERTAIN OTHER LAW. (a)  A
	person may not bring a private action against the association,
	including a claim against an agent or representative of the
	association, under Chapter 541 or 542.  Notwithstanding any other
	provision of this code or this chapter, a class action under
	Subchapter F, Chapter 541, or under Rule 42, Texas Rules of Civil
	Procedure, may be brought against the association only by the
	attorney general at the request of the department.
	(b)  Chapter 542 does not apply to the processing and
	settlement of claims by the association.
	SECTION 3.  Subchapter D, Chapter 2211, Insurance Code, is
	amended by adding Sections 2211.158 and 2211.159 to read as
	follows:
	Sec. 2211.158.  REQUIRED POLICY PROVISIONS: DEADLINE FOR
	FILING CLAIM; NOTICE CONCERNING RESOLUTION OF CERTAIN DISPUTES.
	(a)  An insurance policy issued by the association must:
	(1)  require an insured to file a claim under the policy
	not later than the first anniversary of the date on which the damage
	to property that is the basis of the claim occurs; and
	(2)  contain, in boldface type, a conspicuous notice
	concerning the resolution of disputes under the policy, including:
	(A)  the processes and deadlines for appraisal
	under Section 2211.174 and alternative dispute resolution under
	Section 2211.175;
	(B)  the binding effect of appraisal under Section
	2211.174; and
	(C)  the necessity of complying with the
	requirements of Subchapter D-1 to seek relief, including judicial
	relief.
	(b)  The commissioner, on a showing of good cause by a person
	insured under this chapter, may extend the one-year period
	described by Subsection (a)(1) for a period not to exceed 180 days.
	Sec. 2211.159.  VOLUNTARY ARBITRATION OF CERTAIN COVERAGE
	AND CLAIM DISPUTES. (a)  A person insured under this chapter may
	elect to purchase a binding arbitration endorsement in a form
	prescribed by the commissioner.  A person who elects to purchase an
	endorsement under this section must arbitrate a dispute involving
	an act, ruling, or decision of the association relating to the
	payment of, the amount of, or the denial of the claim.
	(b)  An arbitration under this section shall be conducted in
	the manner and under rules and deadlines prescribed by the
	commissioner by rule.
	(c)  The association may offer a person insured under this
	chapter an actuarially justified premium discount on a policy
	issued by the association if the person elects to purchase a binding
	arbitration endorsement under this section. The premium discount
	may not exceed 10 percent of the premium for the policy, before the
	application of the discount.
	(d)  The commissioner shall adopt rules necessary to
	implement and enforce this section, including rules defining
	"actuarially justified" for the purposes of this section.
	SECTION 4.  Chapter 2211, Insurance Code, is amended by
	adding Subchapter D-1 to read as follows:
	SUBCHAPTER D-1. CLAIMS: SETTLEMENT AND DISPUTE RESOLUTION
	Sec. 2211.171.  DEFINITIONS. In this subchapter:
	(1)  "Association policy" means an insurance policy
	issued by the association.
	(2)  "Claim" means a request for payment under an
	association policy. The term also includes any other claim against
	the association, or an agent or representative of the association,
	relating to an insured loss, under any theory or cause of action of
	any kind, regardless of the theory under which the claim is
	asserted, the cause of action brought, or the type of damages
	sought.
	(3)  "Claimant" means a person who makes a claim.
	Sec. 2211.172.  EXCLUSIVE REMEDIES AND LIMITATION ON AWARD.
	(a) This subchapter provides the exclusive remedies for a claim
	against the association, including an agent or representative of
	the association.
	(b)  Subject to Section 2211.176, the association may not be
	held liable for any amount other than covered losses payable under
	the terms of the association policy.
	(c)  The association, or an agent or representative of the
	association, may not be held liable for damages under Chapter 17,
	Business & Commerce Code, or, except as otherwise specifically
	provided by this chapter, under any provision of any law providing
	for additional damages, exemplary damages, or a penalty.
	Sec. 2211.173.  FILING OF CLAIM; CLAIM PROCESSING. (a)
	Subject to Section 2211.158(b), an insured must file a claim under
	an association policy not later than the first anniversary of the
	date on which the damage to property that is the basis of the claim
	occurs.
	(b)  The claimant may submit written materials, comments,
	documents, records, and other information to the association
	relating to the claim. If the claimant fails to submit information
	in the claimant's possession that is necessary for the association
	to determine whether to accept or reject the claim, the association
	may, not later than the 30th day after the date the claim is filed,
	request in writing the necessary information from the claimant.
	(c)  The association shall, on request, provide a claimant
	reasonable access to all information relevant to the determination
	of the association concerning the claim. The claimant may copy the
	information at the claimant's own cost or may request the
	association to provide a copy of all or part of the information to
	the claimant. The association may charge a claimant the actual cost
	incurred by the association in providing a copy of information
	under this section, excluding any amount for labor involved in
	making any information or copy of information available to a
	claimant.
	(d)  Unless the applicable 60-day period described by this
	subsection is extended by the commissioner under Section 2211.180,
	not later than the later of the 60th day after the date the
	association receives a claim or the 60th day after the date the
	association receives information requested under Subsection (b),
	the association shall provide the claimant, in writing,
	notification that:
	(1)  the association has accepted coverage for the
	claim in full;
	(2)  the association has accepted coverage for the
	claim in part and has denied coverage for the claim in part; or
	(3)  the association has denied coverage for the claim
	in full.
	(e)  In a notice provided under Subsection (d)(1), the
	association must inform the claimant of the amount of loss the
	association will pay and of the time limit to demand appraisal under
	Section 2211.174.
	(f)  In a notice provided under Subsection (d)(2) or (3), the
	association must inform the claimant of, as applicable:
	(1)  the portion of the loss for which the association
	accepts coverage and the amount of loss the association will pay;
	(2)  the portion of the loss for which the association
	denies coverage and a detailed summary of the manner in which the
	association determined not to accept coverage for that portion of
	the claim; and
	(3)  the time limit to:
	(A)  demand appraisal under Section 2211.174 of
	the portion of the loss for which the association accepts coverage;
	and
	(B)  provide notice of intent to bring an action
	as required by Section 2211.175.
	(g)  In addition to a notice provided under Subsection (d)(2)
	or (3), the association shall provide a claimant with a form on
	which the claimant may provide the association notice of intent to
	bring an action as required by Section 2211.175.
	Sec. 2211.1731.  PAYMENT OF CLAIM. (a) Except as provided
	by Subsection (b), if the association notifies a claimant under
	Section 2211.173(d)(1) or (2) that the association has accepted
	coverage for a claim in full or has accepted coverage for a claim in
	part, the association shall pay the accepted claim or accepted
	portion of the claim not later than the 10th day after the date
	notice is made.
	(b)  If payment of the accepted claim or accepted portion of
	the claim is conditioned on the performance of an act by the
	claimant, the association shall pay the claim not later than the
	10th day after the date the act is performed.
	Sec. 2211.174.  DISPUTES CONCERNING AMOUNT OF ACCEPTED
	COVERAGE. (a) If the association accepts coverage for a claim in
	full and a claimant disputes only the amount of loss the association
	will pay for the claim, or if the association accepts coverage for a
	claim in part and a claimant disputes the amount of loss the
	association will pay for the accepted portion of the claim, the
	claimant may request from the association a detailed summary of the
	manner in which the association determined the amount of loss the
	association will pay.
	(b)  If a claimant disputes the amount of loss the
	association will pay for a claim or a portion of a claim, the
	claimant, not later than the 60th day after the date the claimant
	receives the notice described by Section 2211.173(d)(1) or (2), may
	demand appraisal in accordance with the terms of the association
	policy.
	(c)  If a claimant, on a showing of good cause and not later
	than the 15th day after the expiration of the 60-day period
	described by Subsection (b), requests in writing that the 60-day
	period be extended, the association may grant an additional 30-day
	period in which the claimant may demand appraisal.
	(d)  If a claimant demands appraisal under this section:
	(1)  the appraisal must be conducted as provided by the
	association policy; and
	(2)  the claimant and the association are responsible
	in equal shares for paying any costs incurred or charged in
	connection with the appraisal, including a fee charged under
	Subsection (e).
	(e)  If a claimant demands appraisal under this section and
	the appraiser retained by the claimant and the appraiser retained
	by the association are able to agree on an appraisal umpire to
	participate in the resolution of the dispute, the appraisal umpire
	is the umpire chosen by the two appraisers. If the appraiser
	retained by the claimant and the appraiser retained by the
	association are unable to agree on an appraisal umpire to
	participate in the resolution of the dispute, the commissioner
	shall select an appraisal umpire from a roster of qualified umpires
	maintained by the department. The department may:
	(1)  require appraisers to register with the department
	as a condition of being placed on the roster; and
	(2)  charge a reasonable registration fee to defray the
	cost incurred by the department in maintaining the roster and the
	commissioner in selecting an appraisal umpire under this
	subsection.
	(f)  Except as provided by Subsection (g), the appraisal
	decision is binding on the claimant and the association as to the
	amount of loss the association will pay for a fully accepted claim
	or the accepted portion of a partially accepted claim and is not
	appealable or otherwise reviewable. A claimant that does not
	demand appraisal before the expiration of the periods described by
	Subsections (b) and (c) waives the claimant's right to contest the
	association's determination of the amount of loss the association
	will pay with reference to a fully accepted claim or the accepted
	portion of a partially accepted claim.
	(g)  A claimant or the association may, not later than the
	second anniversary of the date of an appraisal decision, file an
	action in a district court in the county in which the loss that is
	the subject of the appraisal occurred to vacate the appraisal
	decision and begin a new appraisal process if:
	(1)  the appraisal decision was obtained by corruption,
	fraud, or other undue means;
	(2)  the rights of the claimant or the association were
	prejudiced by:
	(A)  evident partiality by an appraisal umpire;
	(B)  corruption in an appraiser or appraisal
	umpire; or
	(C)  misconduct or wilful misbehavior of an
	appraiser or appraisal umpire; or
	(3)  an appraiser or appraisal umpire:
	(A)  exceeded the appraiser's or appraisal
	umpire's powers;
	(B)  refused to postpone the appraisal after a
	showing of sufficient cause for the postponement;
	(C)  refused to consider evidence material to the
	claim; or
	(D)  conducted the appraisal in a manner that
	substantially prejudiced the rights of the claimant or the
	association.
	(h)  Except as provided by Subsection (g), a claimant may not
	bring an action against the association with reference to a claim
	for which the association has accepted coverage in full.
	Sec. 2211.175.  DISPUTES CONCERNING DENIED COVERAGE. (a)
	If the association denies coverage for a claim in part or in full
	and the claimant disputes that determination, the claimant, not
	later than the expiration of the limitations period described by
	Section 2211.177(a) but after the date the claimant receives the
	notice described by Section 2211.173(d)(2) or (3), must provide the
	association with notice that the claimant intends to bring an
	action against the association concerning the partial or full
	denial of the claim. A claimant that does not provide notice of
	intent to bring an action before the expiration of the period
	described by this subsection waives the claimant's right to contest
	the association's partial or full denial of coverage and is barred
	from bringing an action against the association concerning the
	denial of coverage.
	(b)  If a claimant provides notice of intent to bring an
	action under Subsection (a), the association may require the
	claimant, as a prerequisite to filing the action against the
	association, to submit the dispute to alternative dispute
	resolution by mediation or moderated settlement conference, as
	provided by Chapter 154, Civil Practice and Remedies Code.
	(c)  The association must request alternative dispute
	resolution of a dispute described by Subsection (b) not later than
	the 60th day after the date the association receives from the
	claimant notice of intent to bring an action.
	(d)  Alternative dispute resolution under this section must
	be completed not later than the 60th day after the date a request
	for alternative dispute resolution is made under Subsection (c).
	The 60-day period described by this subsection may be extended by
	the commissioner in accordance with Section 2211.180 or by the
	association and a claimant by mutual consent.
	(e)  If the claimant is not satisfied after completion of
	alternative dispute resolution, or if alternative dispute
	resolution is not completed before the expiration of the 60-day
	period described by Subsection (d) or any extension under that
	subsection, the claimant may bring an action against the
	association in a district court in the county in which the loss that
	is the subject of the coverage denial occurred. An action brought
	under this subsection shall be presided over by a judge appointed by
	the judicial panel on multidistrict litigation designated under
	Section 74.161, Government Code. A judge appointed under this
	section must be an active judge, as defined by Section 74.041,
	Government Code, who is a resident of the county in which the loss
	that is the basis of the disputed denied coverage occurred or of a
	county adjacent to the county in which that loss occurred.
	(f)  If a claimant brings an action against the association
	concerning a partial or full denial of coverage, the court shall
	abate the action until the notice of intent to bring an action has
	been provided and, if requested by the association, the dispute has
	been submitted to alternative dispute resolution, in accordance
	with this section.
	(g)  A moderated settlement conference under this section
	may be conducted by a panel consisting of one or more impartial
	third parties.
	(h)  If the association requests mediation under this
	section, the claimant and the association are responsible in equal
	shares for paying any costs incurred or charged in connection with
	the mediation.
	(i)  If the association requests mediation under this
	section, and the claimant and the association are able to agree on a
	mediator, the mediator is the mediator agreed to by the claimant and
	the association. If the claimant and the association are unable to
	agree on a mediator, the commissioner shall select a mediator from a
	roster of qualified mediators maintained by the department. The
	department may:
	(1)  require mediators to register with the department
	as a condition of being placed on the roster; and
	(2)  charge a reasonable registration fee to defray the
	cost incurred by the department in maintaining the roster and the
	commissioner in selecting a mediator under this subsection.
	(j)  The commissioner shall establish rules to implement
	this section, including provisions for expediting alternative
	dispute resolution, facilitating the ability of a claimant to
	appear with or without counsel, establishing qualifications
	necessary for mediators to be placed on the roster maintained by the
	department under Subsection (i), and providing that formal rules of
	evidence shall not apply to the proceedings.
	Sec. 2211.176.  ISSUES BROUGHT TO SUIT; LIMITATIONS ON
	RECOVERY. (a) The only issues a claimant may raise in an action
	brought against the association under Section 2211.175 are:
	(1)  whether the association's denial of coverage was
	proper; and
	(2)  the amount of the damages described by Subsection
	(b) to which the claimant is entitled, if any.
	(b)  Except as provided by Subsections (c) and (d), a
	claimant that brings an action against the association under
	Section 2211.175 may recover only:
	(1)  the covered loss payable under the terms of the
	association policy less, if applicable, the amount of loss already
	paid by the association for any portion of a covered loss for which
	the association accepted coverage;
	(2)  prejudgment interest from the first day after the
	date specified in Section 2211.1731 by which the association was or
	would have been required to pay an accepted claim or the accepted
	portion of a claim, at the prejudgment interest rate provided by
	Subchapter B, Chapter 304, Finance Code; and
	(3)  court costs and reasonable and necessary
	attorney's fees.
	(c)  Nothing in this chapter, including Subsection (b), may
	be construed to limit the consequential damages, or the amount of
	consequential damages, that a claimant may recover under common law
	in an action against the association.
	(d)  A claimant that brings an action against the association
	under Section 2211.175 may, in addition to the covered loss
	described by Subsection (b)(1) and any consequential damages
	recovered by the claimant under common law, recover damages in an
	amount not to exceed the aggregated amount of the covered loss
	described by Subsection (b)(1) and the consequential damages
	recovered under common law if the claimant proves by clear and
	convincing evidence that the association mishandled the claimant's
	claim to the claimant's detriment by intentionally:
	(1)  failing to meet the deadlines or timelines
	established under this subchapter without good cause, including the
	applicable deadline established under Section 2211.1731 for
	payment of an accepted claim or the accepted portion of a claim;
	(2)  failing to provide the notice required under
	Section 2211.173(d);
	(3)  rejecting a claim without conducting a reasonable
	investigation with respect to the claim; or
	(4)  denying coverage for a claim in part or in full if
	the association's liability has become reasonably clear as a result
	of the association's investigation with respect to the portion of
	the claim that was denied.
	(e)  For purposes of Subsection (d), "intentionally" means
	actual awareness of the facts surrounding the act or practice
	listed in Subsection (d)(1), (2), (3), or (4), coupled with the
	specific intent that the claimant suffer harm or damages as a result
	of the act or practice. Specific intent may be inferred from
	objective manifestations that the association acted intentionally
	or from facts that show that the association acted with flagrant
	disregard of the duty to avoid the acts or practices listed in
	Subsection (d)(1), (2), (3), or (4).
	Sec. 2211.177.  LIMITATIONS PERIOD. (a) Notwithstanding
	any other law, a claimant that brings an action against the
	association under Section 2211.175 must bring the action not later
	than the second anniversary of the date on which the person receives
	a notice described by Section 2211.173(d)(2) or (3).
	(b)  This section is a statute of repose and controls over
	any other applicable limitations period.
	Sec. 2211.178.  CONSTRUCTION WITH OTHER LAW. (a)  To the
	extent of any conflict between a provision of this subchapter and
	any other law, the provision of this subchapter prevails.
	(b)  Notwithstanding any other law, the association may not
	bring an action against a claimant, for declaratory or other
	relief, before the 180th day after the date an appraisal under
	Section 2211.174, or alternative dispute resolution under Section
	2211.175, is completed.
	Sec. 2211.179.  RULEMAKING. (a) The commissioner shall
	adopt rules regarding the provisions of this subchapter, including
	rules concerning:
	(1)  qualifications and selection of appraisers for the
	appraisal procedure and mediators for the mediation process;
	(2)  procedures and deadlines for the payment and
	handling of claims by the association as well as the procedures and
	deadlines for a review of a claim by the association; and
	(3)  any other matters regarding the handling of claims
	that are not inconsistent with this subchapter.
	(b)  All rules adopted by the commissioner under this section
	must promote the fairness of the process, protect the rights of
	aggrieved policyholders, and ensure that policyholders may
	participate in the claims review process without the necessity of
	engaging legal counsel.
	Sec. 2211.180.  COMMISSIONER EXTENSION OF DEADLINES. (a)
	The commissioner, on a showing of good cause, may extend any
	deadline established under this subchapter.
	(b)  For the purposes of Subsection (a), "good cause"
	includes military deployment.
	Sec. 2211.181.  OMBUDSMAN PROGRAM. (a) The department
	shall establish an ombudsman program to provide information and
	educational programs to assist persons insured under this chapter
	with the claim processes under this subchapter.
	(b)  Not later than March 1 of each year, the department
	shall prepare and submit to the commissioner a budget for the
	ombudsman program, including approval of all expenditures incurred
	in administering and operating the program. The commissioner shall
	adopt or modify and adopt the budget not later than April 1 of the
	year in which the budget is submitted.
	(c)  Not later than May 1 of each year, the association shall
	transfer to the ombudsman program money in an amount equal to the
	amount of the budget adopted under Subsection (b). The ombudsman
	program, not later than April 30 of each year, shall return to the
	association any unexpended funds that the program received from the
	association in the previous year.
	(d)  The department shall, not later than the 60th day after
	the date of a catastrophic event, as defined by the commissioner for
	the purposes of this subsection, prepare and submit an amended
	budget to the commissioner for approval and report to the
	commissioner the approximate number of claimants eligible for
	ombudsman services. The commissioner shall adopt rules as
	necessary to implement an amended budget submitted under this
	section, including rules regarding the transfer of additional money
	from the association to the program.
	(e)  The ombudsman program may provide to persons insured
	under this chapter information and educational programs through:
	(1)  informational materials;
	(2)  toll-free telephone numbers;
	(3)  public meetings;
	(4)  outreach centers;
	(5)  the Internet; and
	(6)  other reasonable means.
	(f)  The ombudsman program is administratively attached to
	the department. The department shall provide the staff, services,
	and facilities necessary for the ombudsman program to operate,
	including:
	(1)  administrative assistance and service, including
	budget planning and purchasing;
	(2)  personnel services;
	(3)  office space; and
	(4)  computer equipment and support.
	(g)  The ombudsman program shall prepare and make available
	to each person insured under this chapter information describing
	the functions of the ombudsman program.
	(h)  The association, in the manner prescribed by the
	commissioner by rule, shall notify each person insured under this
	chapter concerning the operation of the ombudsman program.
	(i)  The commissioner may adopt rules as necessary to
	implement this section.
	SECTION 5.  (a) Except as otherwise specifically provided
	by this section, this Act applies only to an insurance policy that
	is delivered, issued for delivery, or renewed by the Fair Access to
	Insurance Requirements Plan Association on or after the 60th day
	after the effective date of this Act. An insurance policy that is
	delivered, issued for delivery, or renewed by the Fair Access to
	Insurance Requirements Plan Association before the 60th day after
	the effective date of this Act 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.
	(b)  The deadline to file a claim under an insurance policy
	delivered, issued for delivery, or renewed before the 60th day
	after the effective date of this Act by the Fair Access to Insurance
	Requirements Plan Association 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.
	(c)  If a person insured by the Fair Access to Insurance
	Requirements Plan Association disputes the amount the association
	will pay for a partially or fully accepted claim filed by the
	person, Section 2211.174, Insurance Code, as added by this Act,
	applies only if the insurance policy under which the claim is filed
	is delivered, issued for delivery, or renewed on or after the 60th
	day after the effective date of this Act.
	(d)  If a person insured by the Fair Access to Insurance
	Requirements Plan Association disputes the amount the association
	will pay for a partially or fully accepted claim filed by the person
	and the insurance policy under which the claim is filed is
	delivered, issued for delivery, or renewed before the 60th day
	after the effective date of this Act:
	(1)  Section 2211.174, Insurance Code, as added by this
	Act, does not apply to the resolution of the dispute; and
	(2)  notwithstanding any other provision of this Act,
	the claimant must attempt to resolve the dispute through any
	appraisal process contained in the association policy under which
	the claim is filed before an action may be brought against the Fair
	Access to Insurance Requirements Plan Association concerning the
	claim.
	(e)  The person insured by the Fair Access to Insurance
	Requirements Plan Association and the association may agree that an
	appraisal conducted under Subsection (d)(2) of this section is
	binding on the parties.
	(f)  An action brought against the association concerning a
	claim described by Subsection (d) of this section shall be abated
	until the appraisal process under Subsection (d)(2) of this section
	is completed.
	(g)  Notwithstanding Sections 2211.175 and 2211.176,
	Insurance Code, as added by this Act, Subsection (b) of this
	section, or any other provision of this Act, Sections 2211.176(b),
	(c), (d), and (e), Insurance Code, apply to any cause of action that
	accrues against the Fair Access to Insurance Requirements Plan
	Association on or after the effective date of this Act and the basis
	of which is a claim filed under an insurance policy that is
	delivered, issued for delivery, or renewed by the association,
	regardless of the date on which the policy was delivered, issued for
	delivery, or renewed.
	SECTION 6.  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, 2017.