The Texas Department of Insurance published a bulletin announcing amendments to the state's Consumer Bill of Rights for personal automobile and residential property insurance.
There are four major changes made in both the English and Spanish versions of the Bills of Rights:
- HB 2067 requires insurers to provide policyholders and applicants with a written explanation detailing exactly why a policy was declined, canceled, or nonrenewed
- SB 1238 states that insurers are strictly prohibited from discriminating against an insured or charging a different rate based on a change in marital status following the death of a spouse
- SB 1644 requires insurers to review and update an insured's credit report at least every 36 months to reassess policy ratings and adjust premiums. Policyholders have the right to request a re-rating based on a current credit report
- SB 458 requires certain personal auto and residential property insurance policies to have an appraisal provision to settle disputes.
Insurers must provide an updated Bill of Rights starting January 1, 2027.
The bulletin can be found here.
Ray Sugrim
Ray Sugrim is an Insurance Editor with FC&S Expert Coverage Interpretation, a division of National Underwriter Company and Arc Network. Ray is responsible for helping develop and edit content for subscribers. Ray is a St John’s University graduate with a degree in Risk Management & Insurance and is a CPCU candidate.