Two laws proposed by the Texas Association of Public Insurance Adjusters 

Bills proposed:

• House Bill 1706, authored by Representative Mary Ann Perez. Read House Bill 1706.

• Senate Bill 796, authored by Senator Mayes Middleton. Read Senate Bill 796.

Good News

Governor Abbott just signed one of the bills, HB 1706, into law. Because of this, insurers, even surplus lines, are not permitted to issue any policy endorsements that forbid an insured from hiring a public adjuster. Out of concern regarding the increasing number of carriers adopting “Anti-Public Adjuster” language in their policies, TAPIA pursued this legislation. The right of policyholders to work with public adjusters is protected by the new law. Go through House Bill 1706. Since it safeguards both policyholders’ right to receive assistance with their claim and public adjusters’ right to contract, this is likely the most crucial of the two bills. 

Bad News

It’s important to remember that once the law was passed and the regular session ended, Texans for Lawsuit Reform vowed to reject it. TLR remained mute during every hearing and didn’t get in touch with TAPIA to discuss any issues with the bill. There is no way to determine if the Governor’s decision was caused by the unexpectedly late opposition.
In order to develop plans for the upcoming session in 2025, TAPIA continues to investigate ideas during special sessions.

All TAPIA members are sincerely appreciated for their membership and engagement in support of these initiatives.

Bills proposed:

• House Bill 1706, authored by Representative Mary Ann Perez, prevents insurers – including surplus lines –from issuing any policy endorsement prohibiting an insured from contracting with a public adjuster. TAPIA pursued this legislation out of concern for the growing number of carriers including “Anti-Public Adjuster” language in their policies. The new statute will preserve policyholder rights to contract with public adjusters if they want to. Read House Bill 1706.

• Senate Bill 796, authored by Senator Mayes Middleton, requires arbitration for cases originating in Texas to be held in Texas. This puts an end to the long-standing practice of holding arbitration proceedings related to surplus lines insurance contracts in New York. The new law is expected to save Texas policyholders considerable time and expense should they pursue arbitration. Read Senate Bill 796.

In today’s world, passing legislation in a successful manner is difficult.

Hundreds of measures introduced in the first few weeks of the session were never even heard. The legislative branch, state agencies, friends, and the industry as a whole all value and trust TAPIA as a voice for the public adjusting community. They have been working on it since TAPIA’s early years in the 1990s, so this is not an accident.

Their ability to show how unethical behavior harms consumers puts us in a much stronger position to advocate for regulation.

The only insurance experts in the sector who are dedicated to protecting policyholder rights are public adjusters. Legislators respect that viewpoint and pay attention to it. Both of their bills were born out of one or more communications from members raising fresh issues with surplus line endorsements and practices. Good things happen when members and the Board communicate with one another. All of this will be covered in the next meetings and communications.

At the TAPIA Fall 2023 Conference (October 9–11 in Corpus Christi), there will be further information concerning the application of the new legislation. On the TAPIA homepage, you may find additional information about the conference.

 

You may have recently received a notification outlining the additional costs associated with your flood insurance. According to insurance experts, the bulk of policyholders would be impacted by this rise. The Federal Emergency Management Agency declared a modification to have charges reassessed a few years ago. Since then, the cost of almost everything has increased.

That has worsened the problem. According to projections, 80% of Texans would pay upwards of $10 more per month or roughly $100 more annually when FEMA made revisions.

As opposed to what FEMA predicted, the Insurance Council of Texas claims that the majority of Texans are paying an additional $15 per month. Leaders claim that inflation is to blame. It has become necessary to raise insurance premiums in tandem with rising home prices.

The price you pay is affected by three factors, according to FEMA. Your proximity to a source of flooding, the frequency of your floods, and the expense of rebuilding your house all factor into this decision. Insurance industry representatives claimed that FEMA made the modifications because the previous method of calculating premiums was ineffective.

According to Rich Johnson, a spokesman for the Insurance Council of Texas, “In the past, they were actually paying out more in claims than they were getting in premiums, and that’s just not a way to do business.” 

Maybe you don’t have flood insurance if you didn’t receive a notice in the mail. The homeowner’s insurance you have is not included in this. Although it is hurricane season, you won’t immediately get a response if you call your provider. 30 days are needed. This is why it’s critical to make that decision right away.

How Long Does a Texas Home Insurance Claim Take?

You need money to pay for repairs as soon as possible if a calamity like a fire, hail, storm, or water damages your home. Insurance companies have strict guidelines for when you should pay your premiums, but they don’t use the same standards in cases where they are required to pay you instead of the other way around. The insurance claim procedure is governed by the Texas Department of Insurance; however, insurers don’t always abide by the regulations. When this occurs, you should always get advice from a knowledgeable Houston insurance claim attorney since you can be entitled to interest if your claim is not processed promptly..

What are the deadlines an insurance company must follow in Texas?

The business has 15 days from the time you notify them of the loss under the law before it must confirm receipt of your claim and begin an investigation. The firm will then dispatch an adjuster to assess the damage to your home. The insurance provider will be inundated with claims if a natural disaster strikes the area, and it can take them longer to send an adjuster to your home. You will also need to provide evidence of loss, an estimation of the cost of repairs, and a list of the things that were harmed by the covered incident.  The corporation may be employing delay strategies if it continually requests additional documentation or switches the adjuster in charge of your case. The only thing you can do is request that they call your Houston homeowners insurance attorney. The business has 15 days from the time you submit the necessary paperwork to accept or reject your claim. If the insurance provider provides a plausible justification for the delay, they are permitted to extend the response window to 45 days. For instance, the insurer has 30 days to accept or deny liability if they suspect arson.

When will I receive my insurance funds?

How long does it take to process a house insurance claim? Your claim must be paid by the insurance company within five days. If they don’t, there might be a valid reason for the holdup; however, if they’re just stalling, your attorneys will remind them that they’ll also be required to pay interest on that money. That might hasten the process a little. However, if the business denies your claim, wait for the denial letter and take it right away to your attorneys. You have the ability to appeal the judgment if your counsel determines that the denial was unfair.

Important Deadlines for Home Insurance Claims

The text of your insurance policy, which is essentially a contract between you and the insurance company, often governs time frames for filing claims more so than state regulations. Texas home insurance rules, however, offer assistance to insureds in the state of Texas. The time frame for insurance companies to reply to a claimant once they submit a claim is particularly governed by Texas Code 542.056.

How long do claims for home insurance typically take to process?

Check your policy for the dates for how long you have to file a claim if you sustain damage or a sizable loss. Keep in mind that there may be other smaller deadlines, such as those for submitting specific papers, in addition to this major date. Learn more about the deadlines for insurance claims on your policy.

Providing your insurance company with loss information

The majority of insurance plans require prompt or predetermined notification. In any case, it is advised to inform the insurer as soon as possible after learning of a loss. If a wait lasts too long, insurance firms frequently try to prevent homeowners from receiving money from an insurance claim. They can claim that the homeowner’s tardiness has “prejudiced” them and that forcing the insurance provider to deal with the claim now that so much time has gone by would be unjust.

Hurricane Season has officially begun and will finish on November 30th. Make sure you and your family are safe by having a strategy.

Plan beforehand

– In your home, write down the emergency phone numbers and post them on the refrigerator or close to each phone. Also, program them into your mobile device.

– Prepare a supply kit for emergencies.

– Find the closest shelter and the many routes you can use to travel there from your house. 

– Learn how to locate shelters in your area if they haven’t been established before a disaster.

– Pet Owners Determine in advance where you can take your pets in the event of an evacuation, such as pet-friendly hotels, out-of-town friends or relatives, or shelters. If you are asked to leave your house, local animal shelters might be able to advise you on what to do with your pets.

Collect supplies for emergencies

Gather everything you could possibly require. Be sure to prepare the following:

– A store of food and water for emergencies.

– An emergency supply of medication.

– Emergency power sources like flashlights (and additional batteries, of course).
both personal items and safety.

– Important papers, such as wills, passports, and personal identification documents.

– Extinguisher for fires. Make certain that your family is aware of where it is and how to use it.

– Read the recommendations for utilizing fire extinguishers from the National Fire Protection Association.

Understand the distinction between a hurricane “watch” and “warning.”

Check online, on TV, or the radio for National Weather Service advisories. Alerts come in two varieties:

– A hurricane watch indicates that hurricane conditions, defined as sustained winds of 74 mph or more, are possible in the designated area. 48 hours before they anticipate tropical cyclone-force winds (persistent winds of 39 to 73 mph) to begin, meteorologists issue hurricane watches.

– An advisory for a hurricane is more serious. It signifies that a specific area is likely to see hurricane-force winds. To give residents ample time to make preparations for the storm, experts issue these warnings 36 hours before tropical-storm-force winds are anticipated in the area.

– Visit the Hurricane Center of the National Weather Service for further details on hurricane watches and warnings. Upon learning that there is.

Prepare your Vehicle

Before the storm arrives, make sure your car is prepared.

– Fill the gas tank of your car.

– Transport vehicles under cover or into your garage.

– Keep an emergency kit in your car at all times.

– For details on how to get your automobile ready and what to put in your kit, go to Ready.gov.

– If you don’t have a car, think about arranging transportation with friends or family or contacting the authorities if you need to escape.

Prepare your family and pets

– Talk to your family members about your emergency plan.

– Keep monitoring for storm-related developments. Check the internet, watch TV, or listen to the radio.

– Concerning specific needs, contact the hospital, the public health agency, or the police.

– Get guidance on what to do if you or a loved one is elderly or incapacitated and won’t be able to go right away.

– Put agricultural and domestic animals in a secure location. Learn more about keeping pets safe in emergencies.

Prepare your house

– Organize your yard. Check your home for anything that can blow around during the storm and cause damage. Bikes, outdoor furniture, grills, propane tanks, and construction supplies should be moved inside or underneath the cover.

– Lock the doors and windows. To protect your windows, use storm shutters or staple pieces of plywood to the exterior window frames. This can protect you from shards of broken glass.

– Prepare to shut off your electricity. Turn off your power if you notice water, or downed power lines, or if you have to leave your home.

– Drinking water should be placed in clean water containers. This is something you should do in case the storm causes you to lose access to water. You can also restock your bathtub and sinks.

Prepare to evacuate or stay at home

– When officials say to evacuate or stay put, always heed their advice.

– Authorities may issue an order to evacuate (leave your home) if a hurricane is imminent. Never disobey a warning to evacuate. Even strong, well-constructed homes might not withstand a hurricane. Staying at home to preserve your possessions is not worth putting your health and well-being in danger.

– A request to stay at home can be heard. It could be safer to stay home if driving conditions are hazardous.