Hancock Insurance Bill Makes Your Presuit Demand A Binding Offer

The text as introduced · 234 words

By: Hancock
S.B. No. 2978

A BILL TO BE ENTITLED

AN ACT

relating to presuit notice associated with certain insurance claims

for property damage.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 542A.003, Insurance Code is amended by

adding Subsection (b-1) to read as follows:

(b-1) The amount of money alleged by the claimant to be owed

by the insurer on the claim for damage to or loss of covered

property as required by Subsection (b)(2) must be an amount the

claimant will accept in full payment of the claim, and payment of

that amount by the insurer during the period provided by Subsection

(a) or Section 542A.005(e), as applicable, settles and resolves the

claimant's claim.

SECTION 2. The changes in law made by this Act apply only to

an action commenced on or after the effective date of this Act. An

action commenced before the effective date of this Act is governed

by the law applicable to the action immediately before the

effective date of this Act, and that law is continued in effect for

that purpose.

SECTION 3. 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, 2025.