Texas House Bill 2102, which goes into effect on September 1, 2019, is sending waves throughout the roofing and insurance restoration industry in Texas. The following are a few tips to assist you with compliance:
“Texas law requires a person insured under a property insurance policy to pay any deductible applicable to a claim made under the policy. It is a violation of Texas law for a seller of goods or services who reasonably expects to be paid wholly or partly from the proceeds of a property insurance claim to knowingly allow the insured person to fail to pay, or assist the insured person’s failure to pay, the applicable insurance deductible.”
“Contractor represents and warrants that he or she has reviewed, understands, and will fully comply with Texas House Bill 2102, effective September 1, 2019, which provides that it is unlawful to (i) pay, waive, absorb, or otherwise decline to charge or collect the amount of an insured’s deductible; (ii) provide a rebate or credit in connection with the sale of the good or service that will offset all or part of the amount paid by the insured as a deductible; or (iii) in any other manner assist the insured in avoiding monetary payment of the required insurance deductible.”
If you have any questions or would like to discuss, please feel free to call us at (972) 239-6200 or e-mail Chris@psmclaw.com.
Below is exact wording of H.B. 2102:
H.B. No. 2102 AN ACT relating to the payment of insurance deductibles related to property insurance policies; creating a criminal offense. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subtitle F, Title 5, Insurance Code, is amended by adding Chapter 707 to read as follows: CHAPTER 707. PAYMENT OF INSURANCE DEDUCTIBLE Sec. 707.001. DEFINITIONS. In this chapter: (1) "Person" means an individual, corporation, association, partnership, limited liability company, or other legal entity. (2) "Property insurance policy" means an insurance policy issued by an insurer, including a county mutual insurance company, farm mutual insurance company, Lloyd's plan, or reciprocal or interinsurance exchange, that provides first-party coverage for loss of or damage to real property. Sec. 707.002. PAYMENT OF DEDUCTIBLE REQUIRED. A person insured under a property insurance policy shall pay any deductible applicable to a first-party claim made under the policy. Sec. 707.003. CONSUMER EDUCATION. The department, in coordination with other state agencies and stakeholders as necessary, shall develop and implement an education program related to the payment of property insurance policy deductibles. The program must: (1) provide reasonable methods to educate insurance consumers and providers of goods or services that are regularly paid for from proceeds of property insurance claims; and (2) include information regarding: (A) the requirements of this chapter and Section 27.02, Business & Commerce Code; and (B) the conduct prohibited by Section 27.02, Business & Commerce Code. Sec. 707.004. REASONABLE PROOF OF PAYMENT. An insurer that issues a property insurance policy with replacement cost coverage may refuse to pay a claim for withheld recoverable depreciation or a replacement cost holdback under the policy until the insurer receives reasonable proof of payment by the policyholder of any deductible applicable to the claim. Reasonable proof of payment includes a canceled check, money order receipt, credit card statement, or copy of an executed installment plan contract or other financing arrangement that requires full payment of the deductible over time. Sec. 707.005. RULEMAKING. The commissioner may adopt rules as necessary to implement this chapter. Section 2001.0045, Government Code, does not apply to rules adopted under this SECTION 2. Section 27.02, Business & Commerce Code, is amended to read as follows: Sec. 27.02. GOODS OR SERVICES PAID FOR BY INSURANCE PROCEEDS: PAYMENT OF DEDUCTIBLE REQUIRED (a) In this section, "property insurance policy" has the meaning assigned by Section 707.001, Insurance Code. (b) A contract to provide a good or service that is reasonably expected to be paid wholly or partly from the proceeds of a claim under a property insurance policy and that has a contract price of $1,000 or more must contain the following notice in at least 12-point boldfaced type: "Texas law requires a person insured under a property insurance policy to pay any deductible applicable to a claim made under the policy. It is a violation of Texas law for a seller of goods or services who reasonably expects to be paid wholly or partly from the proceeds of a property insurance claim to knowingly allow the insured person to fail to pay, or assist the insured person's failure to pay, the applicable insurance deductible." (c) A person who sells goods or services commits an offense if the person: (1) advertises or promises to provide a good or service to an insured under a property insurance policy in a transaction in which: (A) the good or service will be paid for by the insured from the proceeds of a property insurance claim; and (B) the person selling the good or service will, without the insurer's consent: (i) pay, waive, absorb, or otherwise decline to charge or collect the amount of the insured's deductible; (ii) provide a rebate or credit in connection with the sale of the good or service that will offset all or part of the amount paid by the insured as a deductible; or (iii) in any other manner assist the insured in avoiding monetary payment of the required insurance deductible; or (2) provides a good or service to an insured under a property insurance policy knowing that the insured will pay for the good or service with the proceeds of a claim under the policy and, without the insurer's consent: (A) pays, waives, absorbs, or otherwise declines to charge or collect the amount of the insured's deductible; (B) provides a rebate or credit in connection with the sale of the good or service that offsets all or part of the amount paid by the insured as a deductible; or (C) in any other manner assists the insured in avoiding monetary payment of the required insurance deductible. (d) An offense under this section is a Class B [A] misdemeanor. SECTION 3. The changes in law made by this Act to Section 27.02, Business & Commerce Code, apply only to an offense committed on or after the effective date of this Act. An offense committed before the effective date of this Act is governed by the law in effect on the date the offense was committed, and the former law is continued in effect for that purpose. For purposes of this section, an offense was committed before the effective date of this Act if any element of the offense occurred before that date. SECTION 4. Section 27.02(b), Business & Commerce Code, as amended by this Act, applies only to a contract entered into on or after the effective date of this Act. SECTION 5. This Act takes effect September 1, 2019.
Most people understand that a criminal record can, and almost certainly will, impact potential career, housing and travel opportunities. Any time a background check is required, a person with a criminal record is likely to be moved to the bottom of the pile or worse, flat out rejected and deemed unworthy of further consideration. Until recently, Texas residents could not avoid the stigma associated with a past conviction for DWI. That all changed, however, when the Legislature amended the law in 2017 with House Bill 3016, which expands the ability of certain persons convicted of non-violent misdemeanors to petition the court to have their records sealed. This includes the ability to seal records of first time DWI convictions, so long as certain conditions are met.
Prior to HB 3016, the Texas Government Code instructed courts to seal the record of a person charged with certain non-violent misdemeanors when their case was dismissed because they successfully completed Deferred Adjudication Community Supervision. However, the law DID NOT allow records for DWI to be sealed – ever. Now, HB 3016 finally changes that rule but many people still do not realize they can seal their DWI records.
Requirements for Sealing DWI Records
Under the new law, a person convicted of a first-offense DWI with a blood-alcohol concentration (BAC) below 0.15 can petition the court to have the records related to that offense sealed through an Order of Non-Disclosure. In order to qualify under the new law, certain criteria must be met:
A person may have their DWI sealed only if:
Required Waiting Periods
The new law requires a person to wait a certain amount of time before petitioning the court to seal their DWI record.
Who is NOT eligible to have a DWI record sealed?
A person is NOT eligible to have their DWI record sealed if:
To find out if you qualify to have your DW record sealed, contact our criminal defense attorneys today at 972-239-6200.
Here at Prevost, Shaff, Mason & Carns, P.L.L.C., one of our most important duties is to stay current on the latest legislative developments and share those updates with our clients, friends and families.
With that in mind, we wanted to share that the Texas Legislature has recently added new provisions to the Texas Estates Code and Transportation Code allowing for the designation of a beneficiary on your vehicle to take title upon your passing without the need for probate or otherwise.
We know organizing an estate after a family member’s passing can be difficult and designating a beneficiary of your vehicle is another great way to help simplify estate matters and make sure your wishes are followed.
The following are the highlights of the new laws:
If you would like to discuss this or other smart estate planning steps further, please give us a call at (972) 239-6200 or e-mail me at Chris@psmclaw.com.
One of our main practice areas here at Prevost, Shaff, Mason & Carns, PLLC is business development and strategy, and our passion is to help our clients plan for the future and protect their accomplishments in every aspect of their lives.
When developing a successful business, one important facet is to create a strong, recognizable brand to further enhance the value of the company today and in the future if and when it sells. As such, we wanted to provide you with the ten best reasons to apply for a registered trademark:
Should you wish to discuss applying for a registered trademark, please give our office a call at (972) 239-6200 or e-mail me at firstname.lastname@example.org.