Texas House Debates ‘Hailstorm’ Bill
Tasked with investigating violations, the i-r-s could render the rule useless by refusing to enforce it.
Jon the texas house is expected to vote on a bill today that could impact your bank account.
Supporters of the bill say it will lower premium costs for home and business owners while critics argue it protects insurance companies from having to pay out claims. our rachel glaser has the story.
From floods to wild fires, house bill 17-74 includes all forces of nature.
Known as the hail storm bill, state representative greg bonnen filed the proposal to stop storm- chasing attorneys and reduce frivolous lawsuits that hike premiums. state rep.
Greg bonnen - r- friendswood the legislature has an opportunity to end that abuse and to keep affordable and accessible property insurance available.
The insurance watchdog organization - texas watch - thinks the bill willmake it easier for insurers to delay and deny legitimate claims for home and business owners.
Ware wendell - texas watch, executive director this bill would gut your property rights, if it passes your insurance policy will not be worth the paper it's printed on.
Under h-b 17-74, insurance companies can assume responsibility for suits filed against an individual employee, like an adjuster.
A move that would send more cases to federal court, which ware wendell says will take twice as long and double the cost.
Ware wendell - texas watch, executive director long story short you're going to have a very hard time taking your insurance company to court, meanwhile they have their own private army of adjusters and lawyers to deny and to delay your claims. the non-profit group, texans for lawsuit reform, says 36 thousand weather-related lawsuits were filed in the last five years.
Before 20-12, the number of cases averaged around 750 per year.
Greg bonnen - r- friendswood we've already started to see with 12 companies raising rates and seven companies either limiting or reducing or eliminating coverage and that will become a more severe problem.
H-b 17-74 would reduce penalties for insurers that wrongly delay claims from 18 percent to 10 percent.
And add penalties for attorneys who file "abusive" lawsuits on behalf of policy holders.
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