TITLE: Relating to a requirement for and the contents of a declarations page required for certain standard insurance policy forms for personal automobile insurance.

SUMMARY: Relating to a requirement for and the contents of a declarations page required for certain standard insurance policy forms for personal automobile insurance.

FULL TEXT:
AN ACT relating to a requirement for and the contents of a declarations page required for certain standard insurance policy forms for personal automobile insurance. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 2301.056, Insurance Code, is amended by amending Subsection (a) and adding Subsection (b-1) to read as follows: (a) A personal automobile or residential property insurance policy form must include a declarations page that: (1) lists and identifies each type of deductible under the [residential property insurance] policy; and (2) states the exact dollar amount of each deductible under the [residential property insurance] policy. (b-1) If a personal automobile insurance policy or an endorsement attached to the policy contains a provision that may cause the exact dollar amount of a deductible under the policy to increase during the policy term from the initial amount selected by the policyholder, the declarations page must identify or include a written disclosure that clearly identifies the applicable policy provision or endorsement. The policy provision or endorsement must explain how any increase in the applicable deductible amount is determined. SECTION 2. The change in law made by this Act applies only to a personal automobile insurance policy delivered, issued for delivery, or renewed on or after January 1, 2022. A personal automobile insurance policy delivered, issued for delivery, or renewed before January 1, 2022, 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, 2021.