Insurance Commissioner Jose Montemayor revealed his intention to issue a rule preventing insurance companies from using past water damage claims as the sole basis for denying homeowners insurance in Texas. Montemayor made the remarks during testimony at a Senate Insurance Committee hearing.
According to the Austin American Statesman, Montemayor is prepared to issue the ruling as early as September 6. Under the rule insurers would be required to physically inspect a house before denying coverage due to past water-damage claims filed either on the house in question or by the homeowners.
Montemayor asserted that the rule would help prevent prejudicial treatment against homeowners who have had past water-damage losses.
A Texas Department Insurance spokesperson said such a rule has been under discussion for some time. He could not verify the date on which the commissioner would issue the rule.
After it is introduced, insurers will have 30 days to request a hearing on the rule.
Topics Texas Homeowners
Was this article valuable?
Here are more articles you may enjoy.
Here Are Some AI Doomsday Scenarios Researchers Say Could Put Humanity at Risk 
Blackstone-Backed Insurance Underwriter The Fidelis Partnership Files for IPO 
Florida Farm Manager the Latest to Plead Guilty in Crop Insurance Fraud Probe 
Claims Against NYC Rental Buildings Nearly Doubled Since 2021: Milford Street 
