Bill Text: TX HB3510 | 2017-2018 | 85th Legislature | Comm Sub

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Bill Title: Relating to replacement cost coverage in policies issued by the Texas Windstorm Insurance Association.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2017-05-11 - Placed on General State Calendar [HB3510 Detail]

Download: Texas-2017-HB3510-Comm_Sub.html

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85R23745 SCL-D
By: Faircloth H.B. No. 3510
Substitute the following for H.B. No. 3510:
By: Phillips C.S.H.B. No. 3510

A BILL TO BE ENTITLED
AN ACT
relating to replacement cost coverage in policies issued by the
Texas Windstorm Insurance Association.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 2210.207(c) and (d), Insurance Code,
are amended to read as follows:
(c) If, on the effective date of an association policy [at
the time of loss], the total amount of insurance applicable to a
dwelling is equal to 80 percent or more of the full replacement cost
of the dwelling or equal to the maximum amount of insurance
otherwise available through the association, coverage applicable
to the dwelling under the policy is extended to include the full
cost of repair or replacement, without a deduction for
depreciation.
(d) If, on the effective date of an association policy [at
the time of loss], the total amount of insurance applicable to a
dwelling is equal to less than 80 percent of the full replacement
cost of the dwelling and less than the maximum amount of insurance
available through the association, liability for loss under the
policy may not exceed the replacement cost of the part of the
dwelling that is damaged or destroyed, less depreciation.
SECTION 2. Section 2210.207, Insurance Code, as amended by
this Act, applies only to an insurance policy delivered, issued for
delivery, or renewed on or after January 1, 2018. A policy
delivered, issued for delivery, or renewed before January 1, 2018,
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.
SECTION 3. This Act takes effect September 1, 2017.