CHAPTER 2005. HOME WARRANTY AND HOME PROTECTION INSURANCE - Texas Statutes

INSURANCE CODE

TITLE 10. PROPERTY AND CASUALTY INSURANCE

SUBTITLE D. FIRE INSURANCE AND ALLIED LINES,

INCLUDING RESIDENTIAL PROPERTY INSURANCE

CHAPTER 2005. HOME WARRANTY AND HOME

PROTECTION INSURANCE

Sec. 2005.001. DEFINITIONS. In this chapter:

(1) "Home protection insurance" means coverage insuring a

purchaser of a home protection service or product against actual

property loss.

(2) "Home protection service or product" means a service or

product used for the protection of residential property,

including a service or product provided by a person regulated

under Chapter 1702, Occupations Code.

(3) "Home warranty insurance" means coverage:

(A) insuring performance by a builder of residential property of

the builder's warranty obligations to a purchaser of the

residential property; or

(B) insuring against named defects arising from failure of the

builder to construct residential property in accordance with

specified construction standards.

Added by Acts 2005, 79th Leg., Ch.

727, Sec. 2, eff. April 1, 2007.

Sec. 2005.002. AUTHORIZATION TO WRITE CERTAIN INSURANCE. An

insurer authorized to engage in the business of fire insurance

and allied lines or inland marine insurance may write home

warranty insurance or home protection insurance in this state.

Added by Acts 2005, 79th Leg., Ch.

727, Sec. 2, eff. April 1, 2007.

Sec. 2005.003. MANNER OF REGULATION. Home warranty insurance or

home protection insurance is not inland marine insurance, but is

governed in the same manner and to the same extent as inland

marine insurance.

Added by Acts 2005, 79th Leg., Ch.

727, Sec. 2, eff. April 1, 2007.

Sec. 2005.004. LIMITS OF COVERAGE. The amount of coverage under

a home protection insurance policy may not exceed $2,000 for any

single occurrence.

Added by Acts 2005, 79th Leg., Ch.

727, Sec. 2, eff. April 1, 2007.