TX| The Texas Department of Insurance has adopted updated Consumer Bills of Rights for Personal Automobile Insurance and Homeowners, Dwelling, and Renters Insurance. The revisions, developed and petitioned by OPIC, update the consumer notices to reflect 2025 statutory changes enacted by the 89th Legislature.
Key changes
- Appraisal rights — SB 458: Adds notice of the right of either the policyholder or insurer to request appraisal to resolve a dispute over the amount of a covered loss.
- Written adverse-action reasons — HB 2067: Adds notice that an insurer must provide a written explanation when it declines, cancels, or nonrenews a policy.
- Use of credit information — SB 1644: Adds notice that insurers must review and update credit information, reassess policy rating, and adjust premiums based on updated credit information at least every three years. It also explains that an insured may request re-underwriting and re-rating using current credit information once each year; at renewal, the insurer must do so if requested.
- Protection following a spouse’s death — SB 1238: Adds notice that insurers may not discriminate based on an insured’s marital status following the death of a spouse.
Effective date and distribution
- January 1, 2027: Insurers must begin providing the applicable 2026 Consumer Bill of Rights.
- The updated notice must be provided with each new personal auto or homeowners, dwelling, or renters policy, and with renewal notices until the insurer has previously provided the policyholder the 2026 version.
- Before January 1, 2027, insurers may use either the current Bill of Rights or the version effective November 1, 2024.
TX Notice of Adopted Changes to Consumer Bill of Rights, Chapter 5